ECON 300 8 - Behavioral Economics

This course is an upper-level course in behavioral economics building on the tools and methods introduced in microeconomic Theory and Research Methods. Empirical evidence from laboratory and the field suggests that human behavior diverges often from standard notions of economic rationality in predictable ways. This course is focused on modeling these departures from perfect rationality, self-interest, and risk-aversion assumptions of conventional economic theory. The course reviews experimental behavioral evidence from the literature regarding human decision processes and focus on formal modeling of this evidence in a way that can be used by economists. Applications of the theory are presented to illustrate how this new framework can improve predictive power of economic theory in applications. Prerequisites: C- or better in ECON 251 and ECON 252 or consent of the instructor. (Not offered 2017 - 2018)