This module introduces students to the field of Behavioural Economics which combines economic analysis with insights from psychology to understand human behaviour. Behavioural Economics has been one of the fastest growing areas in Economics in recent years with wide-reaching impact beyond academia. It is concerned with developing empirically grounded theories of behaviour which will be able to predict real life choices of human actors better than many of the more normatively grounded theories of classical economics.
In this module we will focus on behavioural microeconomics. Students will learn the most important empirical and theoretic findings of behavioural economics and discuss policy applications. The module will also provide an introduction into experimental methods used frequently by behavioural economists. Both theoretical concepts and models as well as empirical and specifically experimental results play an important role in the development of this relatively young field and many of the readings will reflect this.