Short description:

This is the first book to provide a rigorous yet accessible overview of behavioral economics, a growing field that attempts to uncover the psychological processes which mediate the economic decisions we make. Acknowledging that people are swayed by biases and emotions, and don?t necessarily have access to good memories or perfect numeracy, behavioral economics challenges the assumptions of informed self-interest within mainstream economic theories. Whether used by paternalist governments to shape our behavior or advertisers and marketers to sell more products, its insights are important and far-reaching, and this is the perfect primer for anyone wishing to understand the key principles.

Long description:

Behavioral economics is everywhere ? whether used by governments to shape our judgement and decision making, advertisers and marketers to sell products, or even politicians to sell policies, its insights are important and far-reaching.

Behavioral Economics: The Basics is the first book to provide a rigorous yet accessible overview of the growing field that attempts to uncover the psychological processes which mediate all the economic judgements and decisions we make. In seven accessible chapters, the book answers questions like:

• What is behavioral economics?








• How does it help us to understand economic behavior?








• What does it tell us about how people form judgements and make decisions in their private and public lives?








• What does it tell us about the psychological nature of financial catastrophes that afflict our economic system?

With recommended further readings throughout, Behavioral Economics: The Basics is essential for all students taking courses in behavioral economics, economic psychology, consumer psychology, microeconomics and game theory, and also for professionals looking for an accessible introduction to the topic.

'There are now several books about introductions to behavioral economics. These books tend to put the reader right into the theories and experimental evidence of behavioral economics. The topics include behavioral consumer and producer theory, behavioral macro, and behavioral finance. What makes the Corr and Plagnol text unique is that it covers the economic and psychological theories and evidence of behavioral economics but appeals to a wider audience. It does so by putting the theories and evidence of behavioral economics in the context of the history of economic theory, and ideas from social psychology, and business advertising. It addresses the question of what were the shortcomings of orthodox economic theory which what gave rise to behavioral economics. Comparisons between ECONS and HUMANS are in many chapters.' - Roger Frantz, Professor Emeritus, Dept Economics, San Diego State University, US; and Lecturer, Dept of Psychology, San Diego State University, US. He is Editor of the Journal of behavioral Economics for Policy, and Editor of the Routledge Advances in Behavioral Economics and Finance.

Table of Contents:

Preface

Chapter 1: What is Behavioral Economics and Why is it Important?

Chapter 2: The Ascent and Dissent of Economics

Chapter 3: ECON: Homo Economicus

Chapter 4: HUMAN: More Homer (Simpson) than Homo Economicus

Chapter 5: Manners, Monkeys and Moods

Chapter 6: Nudge: Whys, Ways and Weasels

Chapter 7: Sell! The Commercial (and Political) World of Persuasion

Glossary

Select bibliography

Index