Wednesday, May 4, 2011

What is Behavioral Economics?

This is a video with Dan Ariely the author of Predictably Irrational. It talks about the difference between behavioral economics and standard economics. It says that standard economics has more to do with formulas and algorithms, and behavioral economics has experiments that tell us what we can do and what we can’t do, how people actually make decisions, what we are good at and when are actually being irrational.

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