Behavioural economics, economics, Microeconomics

An economics branch which keep concentrate on illumination the economic decisions people make in practice, particularly when these conflict with what conventional economic theory predicts they can do. Behaviorists try to expand or swap usual ideas of economic rationality with decision-making models borrowed from psychology. According to psychologist’s aspects, the people are excessively influenced by a fear of feeling regret & will often forgo benefits even to avoid only a small risk of feeling they have failed. They are also prone to cognitive dissonance, often holding on to a belief plainly at odds with new evidence, usually because the belief has been held & cherished for a long time. Then there is anchoring, the people are often overly influenced by outside suggestion. People apparently also suffer from status quo bias, they are willing to take bigger gambles to maintain the status quo than they would be to acquire it in the first place.
Posted Date: 2/4/2012 12:01:49 AM | Location : United States







Related Discussions:- Behavioural economics, economics, Assignment Help, Ask Question on Behavioural economics, economics, Get Answer, Expert's Help, Behavioural economics, economics Discussions

Write discussion on Behavioural economics, economics
Your posts are moderated
Related Questions
Member's Quota in IMF  Quota represents the subscription by a member country to the capital fund of the IMF. Quotas are fixed for each country, taking into account such factor

Problem 1: i) To what extent can a country actually rely on the principle of Comparative advantage before engaging in international trade? ii) Explain the different types

1. The total demand (marginal benefit) curve for visiting the Great Barrier Reef is as follows: Price = 5000+100*Fish Biomass (tons per square mile) -10*Number of Trips.   a. Do

Gross Domestic Product and Growth Rates: The rate of growth of the secondary and tertiary sectors has been more than double that of the primary sector, with the secondary sect

Neoclassical economics is dominant approach to economics currently taught and practiced in most of the world (and particularly dominant in Anglo-Saxon countries). It attempts to ex

Estimating Occupational Structure of the Labour Force within Economic Sectors in the Target Year The total output in the economy, the sectoral shares therein and labour produc

What are the three approaches to measuring GDP? The three approaches are: a)  The production approach, b)  The spending approach and c)  The income approach.

Features of bureaucracy: Impersonal Order: The authority is inherent in the post and not the individual who performs the official role. An official is supposed to have a det

Measured cell emf are the basis for standard electrode potentials. chemistry assignments A method for the presentation of the data obtained from measurements of the equilibrium

Type of total outlay