Behavioral economics is a descriptive theory

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Behavioral economics is a descriptive theory: it attempts to model how people actually behave. Neoclassical economics is at least partially a normative theory - it says how people should behave in order to act rationally. Do you believe that people should strive to behave “rationally” and avoid behavioral effects, or is that not a worthwhile goal? Why or why not?

Reference no: EM131425992

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