For roughly two decades, the new science of behavioral economics has been challenging what economists call “rational choice theory.” Rational choice theory described that primate species called Homo ...

Behavioral economics helps investors understand irrational market behaviors and customer choices. Examples of behavioral economic theories include loss aversion and sunk-cost fallacy. Recognizing ...

Discover how economists' assumptions shape economic models, affecting predictions about consumer behavior, resource ...

Irrational behavior is a part of human nature, but as MIT professor Ariely has discovered in 20 years of researching behavioral economics, people tend to behave irrationally in a predictable fashion.

I recently read an article by the Nobel Prize-winning economist Paul Krugman in which he described the renewed battle between so-called freshwater economists (so named because they are largely based ...

Behavioral economist Dan Ariely studies the way people make economic decisions. In his book, Predictably Irrational, he explains how the reasoning... Dissecting People's 'Predictably Irrational' ...

Forbes contributors publish independent expert analyses and insights. Tim Maurer covers how personal finance is more personal than finance. Aug 22, 2021, 07:00am EDT Aug 23, 2021, 10:40am EDT This ...

A Nobel Prize winning behavioural economist tackles some of the biggest issues facing Britain and explains why humans aren’t always rational. Show more How do human choices, biases, and behaviours ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

With the amount of messaging that inundates individuals on a daily basis, it can be frustrating for retailers to make their mark. Here is the problem: retailers spend a majority of their time and ...