Bachelor
2023/2024
Behavioral and Experimental Economics
Type:
Compulsory course (Economics)
Area of studies:
Economics
Delivered by:
Department of Economics
When:
3 year, 1 module
Mode of studies:
offline
Open to:
students of all HSE University campuses
Instructors:
Ivan Susin
Language:
English
ECTS credits:
3
Contact hours:
28
Course Syllabus
Abstract
Behavioral economics, as name suggests, focuses on the behavior of economic agents. Most of ''classic'' economic theory relies on highly stylized and abstract models of individuals, so it often produces unrealistic individual-level predictions, questionable explanations and normative recommendations. The main goal of behavioral economics is to bring theory closer to reality and empirical data. It uses insights from other sciences (in particular, cognitive science and psychology) and experimental results to help creating more accurate economic models, better-performing institutions, and better business results. This course will expand students' understanding of decision-making processes, as well as introduce them to both formal models and economic experiments.
Learning Objectives
- Expand knowledge in the field of behavioral economics.
- Familiarize yourself with economic experiments and their results.
- Improve own decision-making process.
Expected Learning Outcomes
- Basics of behavioral economics
- After completion of the course, students will be able to look at the world around them through the prism of their knowledge about the real behavior of people and possible deviations of behavior from classical economic theory.
Course Contents
- Introduction. History and development of Decision Theory and Behavioral Economics.
- Decisions, beliefs and biases
- Decisions under risk
- Time and attention
- Social preferences
- Nudges, applications and problems
Assessment Elements
- Homework 1"Homework" / "Test" includes several separate tasks, each of which has its own maximum score (listed next to the task itself). Solutions to problems must be submitted in writing - handwritten or formatted in the form of neatly typed text in Word or LaTeX with compilation in PDF format, with detailed explanations, graphs (if necessary), formulas, references to theoretical provisions (definitions, theorems). In extreme cases, homework can be submitted by email (scan), but as one file.
- Homework 2"Homework" / "Test" includes several separate tasks, each of which has its own maximum score (listed next to the task itself). Solutions to problems must be submitted in writing - handwritten or formatted in the form of neatly typed text in Word or LaTeX with compilation in PDF format, with detailed explanations, graphs (if necessary), formulas, references to theoretical provisions (definitions, theorems). In extreme cases, homework can be submitted by email (scan), but as one file.
- Homework 3"Homework" / "Test" includes several separate tasks, each of which has its own maximum score (listed next to the task itself). Solutions to problems must be submitted in writing - handwritten or formatted in the form of neatly typed text in Word or LaTeX with compilation in PDF format, with detailed explanations, graphs (if necessary), formulas, references to theoretical provisions (definitions, theorems). In extreme cases, homework can be submitted by email (scan), but as one file.
- Test 1"Homework" / "Test" includes several separate tasks, each of which has its own maximum score (listed next to the task itself). Solutions to problems must be submitted in writing - handwritten or formatted in the form of neatly typed text in Word or LaTeX with compilation in PDF format, with detailed explanations, graphs (if necessary), formulas, references to theoretical provisions (definitions, theorems). In extreme cases, homework can be submitted by email (scan), but as one file.
Interim Assessment
- 2023/2024 1st module0.25 * Homework 1 + 0.25 * Homework 2 + 0.25 * Homework 3 + 0.25 * Test 1
Bibliography
Recommended Core Bibliography
- Malmendier, U., 2018. Behavioral corporate finance. In Handbook of Behavioral Economics: Applications and Foundations 1 (Vol. 1, pp. 277-379). North-Holland.
- Martin S. Hagger, & Mike Weed. (2019). DEBATE: Do interventions based on behavioral theory work in the real world? International Journal of Behavioral Nutrition and Physical Activity, (1), 1. https://doi.org/10.1186/s12966-019-0795-4
- Methods in experimental economics : an introduction, Weimann, J., 2019
- Richard H. Thaler. (2018). Behavioral economics: Past, present, and future. Revista de Economía Institucional, (38), 9. https://doi.org/10.18601/01245996.v20n38.02
- Richard H. Thaler. (2018). From Cashews to Nudges: The Evolution of Behavioral Economics. American Economic Review, (6), 1265. https://doi.org/10.1257/aer.108.6.1265
- Thaler, R. H. . (DE-588)124552080, (DE-576)168627329. (2009). Nudge : improving decisions about health, wealth and happiness / Richard H. Thaler and Cass R. Sunstein. London [u.a.]: Penguin Books. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edswao&AN=edswao.306469715
Recommended Additional Bibliography
- Dhami, S. S. (2019). The Foundations of Behavioral Economic Analysis : Volume I: Behavioral Economics of Risk, Uncertainty, and Ambiguity. Oxford: OUP Oxford. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsebk&AN=2030015