behavioural economics Archive

Rational-Actor Model The Core Question

Direct statement of the core challenge facing economics from one of the top (not so young) young economists, Xavier Gabaix  at Big Think.  The whole post  is great,  with eight economists identifying theoretical directions (and follow the links). The most central open question in economic theory, as I see it, is how to model realistic […]

Nudge Fads, Behavioural Econ & Paternalists

Tyler Cowen links to an interesting paper on economic research that relies on behavioural economics. Behavioural Economics identifies psychological biases that lead to irrational decisionmaking, and frequently leads to suggestions of ‘nudge policy’, where policymakers use those biases to drive policy outcomes. Only problem is, nudge approaches aren’t part of a transparent policy discussion, and […]

Subscribe to Updates!
Same day blog updates only. No spam. Screw social media.