Science topics: EconBehavioural Economics
Science topic
Behavioural Economics - Science topic
Behavioral economics and the related field, behavioral finance, study the effects of social, cognitive, and emotional factors on the economic decisions of individuals and institutions and the consequences for market prices, returns, and the resource allocation. The fields are primarily concerned with the bounds of rationality of economic agents. Behavioral models typically integrate insights from psychology with neo-classical economic theory. In so doing they cover a range of concepts, methods, and fields.Behavioral analysts are not only concerned with the effects of market decisions but also with public choice, which describes another source of economic decisions with related biases towards promoting self-interest.
Publications related to Behavioural Economics (3,251)
Sorted by most recent
Human actions induce and modify droughts. However, scientific gaps remain with respect to how hydrological processes, anthropogenic dynamics, and individuals' perceptions of impacts are intrinsically entangled in drought occurrence and evolution. This adds complexity to drought assessment studies that cannot be addressed by the natural and environm...
We present an economics framework appropriate to the exceptionally broad scope of the climate change problem. This considers that economic and social processes, particularly those involved in purposive transitions of energy technologies and systems, involve the interplay between three distinct domains of decision-making and associated actors. The f...
Price anomalies in the stock market are often difficult to explain using traditional financial theories, and such price anomalies severely affect the specific investment behavior of investors in the stock market and the trend of stock price movements. In order to study the causes of these anomalies and conclude certain countermeasures, this paper c...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
What do we expect when we say something to someone, and what do they expect when they hear it? When is a conversation successful? The book considers a wide set of two-person conversations, and a bit of game theory, to show how conversational statements and their interpretations are governed by beliefs. Thinking about beliefs is suitable for communi...
With a focus on developing sustainable company strategies, this research explores how social sciences might be integrated into management processes. In order to clarify the importance and possible influence of multidisciplinary approaches for environmentally conscious company operations, it looks at important theoretical frameworks, data from empir...
This paper applies the well-known cognitive bias of loss aversion from behavioural economics to student decisions over engagement with mathematically demanding coursework. This bias is shown to predict behaviour that is consistent with mathematics anxiety in a dynamic model of student engagement. It is shown that these forces can imply polarization...
Many heuristics in behavioural economics play important roles in decision-making. The anchoring effect is one of these heuristics which influence peoples decisions in different fields. Through qualitative analysis and case analysis, this paper aims to introduce the applications of the anchoring effect in various situations. And according to the inf...
To err is human, but the incidence of errors can be controlled by proper guidance and action. Success stories proliferating worldwide vouch that applying behavioural economics and nudges in public policies can give significant payoffs. However, a criticism levelled against it is that the citizens' ability to evaluate and judge a piece of informatio...
Background
Appointment non-attendance – often referred to as “missed appointments”, “patient no-show”, or “did not attend (DNA)” – causes volatility in health systems around the world. Of the different approaches that can be adopted to reduce patient non-attendance, behavioural economics-oriented mechanisms (i.e., psychological, cognitive, emotiona...
In this paper, we analyse the UK’s levelling up program, particularly with a focus on the role and impact of financial investment into entrepreneurship and enterprise across the country. We employ a behavioural economics framework (focussing on social preference theory and extrinsic and intrinsic motives) together with stakeholder theory, and the l...
Background Targeted mental health interventions are increasingly described as individualised, personalised or person-centred approaches. However, the definitions for these terms vary significantly. Their interchangeable use prevents operationalisations and measures.
Objective This scoping review provides a synthesis of key concepts, definitions an...
Making progress toward sustainable and resilient communities requires systems-based, integrated approaches to planning and policy, as sustainability issues are complex and consist of multiple interconnected ecological, social, behavioural, economic, political, and cultural challenges. The climate-biodiversity-health (CBH) nexus was developed to fac...
Some scholars express concerns that patriotic education may increase the risk of international conflict by making people more emotional. However, their research may overlook other countries’ challenges to the status quo before international disputes. In this research, we use the behavioural economic paradigm and introduce four emotions into a two-s...
Credibly representing category-of-goods mental accounting in an intertemporal optimisation framework is notoriously difficult, as this modelling approach imposes interrelations between the demand for different categories through first-order conditions. This breaks the principle of nonfungibility, contrary to the rationale of mental-accounting theor...
This chapter explores effective teaching methods for behavioural economics, an interdisciplinary field that integrates insights from psychology, sociology, neuroscience, and economics. effective teaching can be defined as the set of knowledge, strategies, processes, and behaviors employed by a teacher that lead to positive learning outcomes for the...
This paper seeks to understand whether the way in which inequality is communicated through measurements influences individuals’ fairness perceptions regarding wealth inequality. It begins from the premise that prominent measures of inequality, such as the Gini coefficient, fall short of providing an intuitive understanding of inequality for most pe...
We delve into the fascinating crossroads of artificial intelligence (AI) and cognitive science, spotlighting the OpenAI advanced language model, ChatGPT. Renowned for generating human-like text, ChatGPT has been widely used in various applications. However, its ability to replicate human cognitive processes, particularly decision-making behavior, r...
Behavioural finance is comparatively a new field of study. In this, an attempt is made to determine whypeoplemakeirrationalfinancialdecisions by combining behaviourandcognitive psychology principles with traditional and emotional finance.Behaviouralfinanceisthecombination of three domains, Human behaviour, Economics and Finance and Sociology. It is...
Abstract
Purpose – Generation Z (Gen-Z), sometimes known as ‘‘digital natives’’, represents the first generation to become immersed in digital communication. In a multicultural environment, this study aims to explore which types of factors are most beneficial in connection with Gen-Z’s impulsive purchase behaviour.
Design/methodology/approach – T...
Behaviour change is about making long-term changes to habits and ways of doing things. Davis, Campbell, Hildon, Hobbs, and Michie's (2015) study on health-related behaviours shows that even small changes can make a big difference in people's health and life expectancy. Swann et al. (2010) say that these changes can affect the health of other people...
Adopting a symbiotic perspective, this study aimed to examine the paradoxical interrelationship of the energy–economy–environment nexus through the novel lens of Yin–Yang cognitive harmony. With a broad sample of countries (6 African lions, 5 Asian tigers, 3 NAFTA countries, and 10 top European Union economies), we applied the cointegration and ful...
The outbreak of the COVID-19 pandemic marked the beginning of huge changes both in the economy and in the attitudes of purchasers in many market sectors. The dynamically changing reality and uncertainty about the future resulted in a variety of consumer reactions such as: refraining from purchasing certain goods and services and postponing spending...
Tourists harm the destination environment in many different ways. Behavioural economics contributes to the formulation of public and private policies to reduce this harm. The nudging agenda is converging with tourism, where managers and policymakers realise that the implementation of nudges leads to lower costs, higher effectiveness of behavioural...
Over the decades, the nudge idea of behavioural economics (BE), disseminated by Thaler & Sunstein (2008) in their well-known book, has generated controversial views among many academics and scientists around the world. As an application area of behavioural economics (BE), nudge theory and the nudge concept has found many supporters, but at the same...
Background
Expanding free HIV testing service (HTS) access to include private clinics could increase testing rates. A donor funded programme, GP Care Cell, offered free HIV testing at selected private doctor-led clinics but uptake was low. We investigated whether HTS demand creation materials that used behavioural economics principles could increas...
With the increasing advances in behavioural economics, the concept of nudging has swept into various administrations as a tool to influence the behaviour of citizens. Nudges are interventions that make a particular choice more likely to be chosen by impacting the automatic cognitive process of the choice maker while preserving the freedom of choice...
A human capital driven economy is less vulnerable to catastrophic effects than a natural resource driven economy. In the face of black swan events like the COVID-19 pandemic, it is important for economies to re-examine their economic anchor to inform their recovery rate. This paper uses economic system rationality entropy to measure resilience by e...
The subject matter of the article is the theoretical-methodical and applied principles of behavioural economics and their implementation in Ukrainian society. The goal of the work is to analyse the theory of irrationality in the economic context to find out what its character is in modern Ukrainian conditions, as well as to confirm the main paradox...
This paper draws on behavioural economic geography to identify the factors affecting uneven development. It uses the lens of economic competitiveness and focuses on the association between differences in human behavioural traits and competitiveness in the context of localities across the UK. It focuses on the policy requirement for ‘levelling up’ b...
In 2004, during a lecture at Case Western Reserve University, the American writer Kurt Vonnegut spoke about his passion for applying scientific thinking to literary criticism. The worldwide acknowledgment of his interdisciplinary inventiveness, consisting in analysing humanistic works from both literary and scientific perspectives, can only prove t...
In a seminal paper, Frederick et al. (J Consum Res 36:553-561, 2009) showed that people's willingness to purchase a consumer good declined dramatically when opportunity costs were made more salient (Cohen's d = 0.45-0.85). This finding suggests that people normally do not pay sufficient attention to opportunity costs and as a result make poorer and...
Fairness norms and resulting behaviours are an important prerequisite for cooperation in human societies. At the same time, financial incentives are commonly used to motivate social behaviours, yet it remains unclear how financial incentives affect fairness-based behaviours. Combining a decision paradigm from behavioural economics with hierarchical...
We report the results of an experimental test of whether preaching the normative appeal of the sure-thing principle leads decision-makers to make choices that satisfy it. We use Allais-type decision problems to observe the incentive-compatible choices of 147 subjects, which either violate the sure-thing principle or adhere to it. Subjects are prese...
The farmers’ Behaviour Insight Project (FBIP) in the eastern Terai region of Nepal has been evaluating the value of behavioural economics in understanding decision-making by farm women and men, and using these behavioural insights to design, test and assess selected interventions in agricultural technology dissemination. Many government policy docu...
Taxation is the most important and obvious source of funding for governments
around the world. Any service that benefits the public will necessitate taxation to
cover at least a portion of the costs. Nigeria has a range of alternatives for
financing its public expenditures and implementing its fiscal policies. However,
tax compliance and remittance...
The issues of how a human thinks and what influences his decisions, the ratio of rational and irrational in consumer behaviour, and how the decision-making process works while purchasing goods are phenomena of human nature that are being researched and explained by modern behaviourists. In the conditions of active globalization, the external enviro...
Objectives: Electronic health records (EHRs) are considered important for improving efficiency and reducing costs of a healthcare system. However, the adoption of EHR systems differs among countries and so does the way the decision to participate in EHRs is presented. Nudging is a concept that deals with influencing human behaviour within the resea...
For the motivation of more sustainable mobility behaviour, interventions based on behavioural sciences such as psychology and behavioural economics are being used to effectively reduce individual car use. Urban mobility apps offer new opportunities to use digital interventions in a targeted way to promote sustainable mobility behaviour (e.g. bicycl...
Childhood vaccination is a key public health strategy that safeguards lives and stop the spread of infectious illnesses. Despite the known advantages of vaccination, several nations still have poor immunization rates for children. There has been a rise in focus on concepts of behavioural economics to boost vaccination rates in the recent years. Thi...
The Farmer Behaviour Insights Symposium aims to present the key findings of the Farmer Behaviour Insights Project (FBIP) to key stakeholders in Bangladesh, India, and Nepal. This Regional Symposium provides a platform to discuss the Behavioural Economics methodology as an approach to understanding farm-household management decision making and how i...
Pest control is one of the ecosystem services most affected by the intensification of agriculture. Pests can lead to significant losses in crop yields and jeopardise food security. In this context, installing hedgerows around greenhouses is presented as an opportunity to improve the presence of natural enemies and favour the control of pests. Howev...
Problem gambling is a non-substance-based addictive disorder that can cause significant distress and dramatic consequences. Despite extensive research in neuroscience and clinical/social psychology, few contributions have been made from formal models of behavioural economics. We apply Cumulative Prospect Theory (CPT) to provide a formal analysis of...
Psychological and cultural evolutionary accounts of human sociality propose that beliefs in punitive and monitoring gods that care about moral norms facilitate cooperation. While there is some evidence to suggest that belief in supernatural punishment and monitoring generally induce cooperative behavior, the effect of a deity's explicitly postulate...
Background
Health science is evolving extremely rapidly at worldwide level. There is a large volume of articles about health economics that are published each year. The main purpose of this research is to explore health economics in the world's scholarly literature based on a scient metric analysis to outline the evolution of research in the field....
Twitter sentiment has been used as a predictor to predict price values or trends in both the stock market and housing market. The pioneering works in this stream of research drew upon works in behavioural economics to show that sentiment or emotions impact economic decisions. Latest works in this stream focus on the algorithm used as opposed to the...
The environmental assessment literature has neglected the distorting effect of cognitive and unconscious motivational biases (CUMB) in environmental assessment processes. This is problematic because CUMB are present in most, if not all, decision-making situations and can significantly distort decision-making processes. This article assesses how deb...
Consumer preference studies in economics rest heavily on the behavioural interpretation of preference especially in the form of Revealed Preference Theory (RPT). Viewing purchasing decisions as a kind of human reasoning, in this paper we are interested in generalising behaviourism to preference-based argumentation where existing frameworks are argu...
Behavioural theory has become a driving force for relaunching and rethinking the conceptual foundations of conventional economic theory, giving impetus to the study of behavioural economics, including behavioural finance and the theory of international portfolio investment. The theory of international portfolio investment justifies the benefits of...
Background:
Patients' treatment decisions may be influenced by the ways in which treatment options are presented. There is little evidence on how patients with advanced cancer choose preferences for advance directives (ADs) in China. Informed by behavioural economics, we assess whether end-of-life (EOL) cancer patients held deep-seated preferences...
For the last three years we have discussed a lot about becoming a proactive and responsible health and fitness industry, and we are building a collective effort integrating the resources, infrastructure, and intellectual capacity to do it right. As you will see in detail in this report, during the last 18 months we have developed a unique data infr...
Carbon pricing can steer energy choices towards low-carbon fuels and foster energy conservation efforts. Simultaneously, higher fossil fuel prices may exacerbate energy poverty. A just portfolio of climate policies therefore requires a balanced instrument mix to jointly combat climate change and energy poverty. We review recent policy developments...
Introduction:
Despite advances in HIV and HIV co-morbidity service delivery, substantial challenges remain in translating evidence-based interventions into routine practice to bring optimal care and prevention to all populations. While barriers to successful implementation are often multifactorial, healthcare worker behaviour is critical for on-th...
The UK faces both a productivity crisis and an export crisis which will permanently lower real living standards unless they are fixed soon. Skills (especially vocational) training is inadequate and significant numbers of working age people are on welfare benefits for health reasons. Companies have not spent sufficiently on research and development...
Religious revivalism in Nigeria has significantly hindered peace and growth by causing a tremendous amount of worry, anxiety, and unrest among Nigerians. This article examines the cyclical negative effects of religious revivalism in Nigeria. The study offers insights into Nigerian culture and the pervasive influences of religious revivalism via com...
Introduction
Palliative care (PC) is a medical specialty focusing on providing relief from the symptoms and stress of serious illnesses such as cancer. Early outpatient specialty PC concurrent with cancer-directed treatment improves quality of life and symptom burden, decreases aggressive end-of-life care and is an evidence-based practice endorsed...
The research aims to analyze the application of nudges in two public policies implemented in the state of Alagoas: the policy for children and adolescents and on drugs. From a behavioural perspective, we used a documental analysis of the work plans that govern the execution of the project as well as of the legal documents that regulate the function...
Background
The Northern Ireland Cohort for the Longitudinal Study of Ageing (NICOLA) is a prospective, longitudinal study of a representative cohort of older adults living in Northern Ireland, United Kingdom. Its aim is to explore the social, behavioural, economic and biological factors of ageing and how these factors change as people age. The stud...
Globalization, seen as a simultaneous transformation in economics, politics and culture, has led to more intense competition in different sectors of the economy. In the banking sector the analysis of customer satisfaction, loyalty and trust has been considered of great interest in recent years. In this study, we analyse the development of bank cust...
Objective:
To determine the effectiveness of exercise rehabilitation in people with multimorbidity. Exercise capacity was the primary outcome. Secondary outcomes were: health-related quality of life, activities of daily living, cardiometabolic outcomes, mental health outcomes, symptom scores, resource utilization, health behaviours, economic outco...
![Figure 1. Prospect Theory's Value Function[7]](publication/369437225/figure/fig1/AS:11431281129359498@1679514352702/Prospect-Theorys-Value-Function7_Q320.jpg)
![Figure 2. Weighting functions with corresponding probability values[10]](publication/369437225/figure/fig2/AS:11431281129370026@1679514352898/Weighting-functions-with-corresponding-probability-values10_Q320.jpg)
In recent years, behavioural economics has gradually entered the public domain. It attempts to incorporate human behaviour, psychology and cognitive knowledge into economic analysis and theory. Therefore, to a certain extent, behavioural economics also influences entrepreneurs' strategic decisions. In this paper, we will illustrate how behavioural...
[Forthcoming in Journal of Financial Literacy and Wellbeing] Financial education is a crucial determinant of informed decisions, in both the private and social spheres. From a life cycle perspective, it improves personal finance. From youth to retirement, basic economic and financial competences, including specific pension literacy, help to plan fo...
The field of behavioural economics is an emerging area of study which has answered various questions that revolve around core economic problems. Therefore, it becomes essential to look into strategic decision making in small and micro enterprises through a behavioural perspective since such enterprises are run by individuals and there is an absence...
Community‐based conservation is a widely adopted wildlife governance approach, but questions remain about the conditions under which this form of wildlife governance achieves success. Particularly, participating communities are often marked by considerable wealth and risk heterogeneities that are driven by differences in livestock or agricultural h...
Behavioural economists often claim that their policy recommendations are justified by cost–benefit analysis (CBA), but without adequate explanation of the methodology they have in mind. I sketch the outlines of a CBA methodology that is compatible with the findings of behavioural economics and is in accord with my account in Sugden (2018) of a well...
Background:
For women who undergo cosmetic breast augmentation, their post-operative risk assessment may not match their pre-operative understanding of the involved risks and likelihood of revision surgeries. This may be due to the potential issues surrounding whether patients are being fully informed about all possible risks and related financial...
Demographic changes pose major challenges to the financing of public pension
systems and thus to public finances. In Germany, various reform approaches
concerning old-age provision are presented in the coalition agreement of 2021. In
this research expertise, particular attention is paid to two selected pension policy
reform projects that affect bot...
Mental health is inextricably linked to both poverty and future life chances such as education, skills, labour market attachment and social function. Poverty can lead to poorer mental health, which reduces opportunities and increases the risk of lifetime poverty. Cash transfer programmes are one of the most common strategies to reduce poverty and n...
Studying individuals’ motivation to engage in physical activity raises the question of whether physical activity is a consumption good (enjoyment) or an investment good (a health investment). The aims of the study were: (i) What kind of motivational background is it possible to identify for different forms of physical activity among adults, and (ii...
This paper aims to test whether visual nudges help improving attention towards existing instructions to increase waste sorting accuracy. The study was conducted in a quasi-experimental setting over a period of 8 weeks in two buildings of a large UK university campus. Two treatments were tested against a control group: one considered the impact of v...
Replacing car travel with walking and cycling lowers emissions, improves air quality and makes communities healthier. Rates of active travel typically increase when dedicated infrastructure is implemented. But policymakers in multiple countries regularly contend with two obstacles: designing infrastructure that people will make use of and securing...
Failure to meet international targets set for the human immunodeficiency virus HIV pandemic suggests that more effective public health strategies are needed. New strategies informed by behavioural economics are now increasingly being tested, with promising results. However, the evidence base is diverse and challenging for policymakers to interpret....
We propose a static model of agriculture household behaviour and incorporate two behavioural aspects in it-namely altruistic tendencies and perceptions related to crime. We use a game theoretic framework, based upon the standard agricultural household model proposed by Singh et al. (World Bank Econ Rev 1:149–179, 1986) which is well suited for a ru...
Amartya Sen’s Capability Approach, elaborated at the intersection of philosophy and economics, is a people-centred framework for the assessment of social states. It provides an account of human beings, their agency, freedom, and well-being. Rationality takes prominence in this account but it is reconsidered as reasoning. Beyond the dominant axiomat...
Amartya Sen's Capability Approach, elaborated at the intersection of philosophy and economics, is a people centred framework for the assessment of social states. It provides an account of human beings, their agency, freedom, and well-being. Rationality takes prominence in this account but it is reconsidered as reasoning. Beyond the dominant axiomat...
