Course Description

Course Name

Behavioural Economics

Session: VDNS3121

Hours & Credits

18 Credit Points

Prerequisites & Language Level

Taught In English

  • There is no language prerequisite for courses at this language level.

Overview

People often make economic decisions that violate the standard assumptions of rationality and self-interest. This paper explores theories of such behaviour that incorporate evidence from psychology and other behavioural sciences.

Economic models often presume (at least implicitly) that decision-makers are rational, self-interested, fully informed and endowed with perfect foresight. It is not difficult to find violations of each of these precepts in real-world economic behaviour, and the study of the "limits to rationality" has become a vibrant and rapidly growing field within economics. This paper will focus on developing theoretical models that capture some of the more "psychological" phenomena observed in the marketplace.

Learning Outcomes
This paper aims to introduce students to key theories, issues and problems in the area of behavioural economics. Particular emphasis will be placed upon considering evidence from a broad spectrum of the behavioural sciences, such as social psychology, anthropology and neuroscience, and incorporating this evidence into economic theory.

*Course content subject to change