Behavioural Economics

Recommended Prerequisites

Microeconomics.

Teaching Methods

Presentation of fundamental contents by the lecturer and presentation and discussion by the students of synthesis work of scientific papers within each of the topics of the program.

Learning Outcomes

Provide students with an introduction to the principles and methods of Behavioural Economics - the branch of economics that integrates knowledge from psychology to better understand economic behaviours that seem inconsistent with traditional economic theory, which assumes that economic agents behave rationally.
Upon successful completion of this course unit, students should be able to:
- understand how Behavioural Economics can explain some current economic problems that traditional economic theory cannot explain;
- conduct research in the area of behavioural economics, using experimental or non-experimental data.

Work Placement(s)

No

Syllabus

1. The nature and methodology of Behavioural Economics
2. Values, preferences and choices
3. Beliefs and expectations
4. Decision-making under risk and uncertainty
5. Inter-temporal choice
6. Behavioural game theory

Assessment Methods

Assessment
Synthesis work: 50.0%
Mini Tests: 50.0%

Bibliography

Akerlof, G. & Shiller, R. J. (2010). Animal Spirits: How Human Psychology Drives the Economy, and Why It Matters for Global Capitalism.
Princeton University Press-
Kahneman, Daniel 2012. Thinking, fast and slow, London: Penguin.
Thaler, R. H., & Ganser, L. J. (2015). Misbehaving: The making of behavioral economics.
Wilkinson, N. & Klaes, M. (2017). An Introduction to Behavioral Economics. Palgrave Macmillan
A reading list of scientific papers, to be presented and discussed in each topic, will be provided in each edition.