Presenter Information

Hideki Takei

Document Type

Oral Presentation

Campus where you would like to present

SURC Room 137A

Start Date

15-5-2014

End Date

15-5-2014

Keywords

Behavioral Economics, Human Behaviors, Economics

Abstract

Behavioral economics has been used for better result of prediction and assessment of human behaviors and attitudes in various areas such as strategic planning, policy making, medical cares, education, religious service, environmental management, marketing, and sales. While behavioral economics is considered one of new areas of economics, its basic approach was already observed in classical economics such as An Inquiry into the Nature and Causes of the Wealth of Nations by Adam Smith (1776) and Capital: A Critique of Political Economy by Karl Marx (1867). These classical economics discussed human behaviors based on both economic rationality and intuitive (psychological) rationality while the weight was much heavier on the economic rationality. Behavioral economics has the same approach. However, it focuses more on intuitive rationality to develop better models to explain the human behaviors in the informed knowledge-society. In the informed knowledge-society, we tend to have a wide variety of behaviors based on not only economic rationality but also intuitive rationality. This is why behavioral economics and its models are used for the better result of prediction and assessment of our behaviors. This presentation will explain not only basic concept and models of behavioral economics but also practical applications of the models. We chose framing effects and prospect theory for the presentation.

Faculty Mentor(s)

Takei, Hideki

Additional Mentoring Department

ITAM

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May 15th, 2:10 PM May 15th, 2:30 PM

Economics with a Human Face

SURC Room 137A

Behavioral economics has been used for better result of prediction and assessment of human behaviors and attitudes in various areas such as strategic planning, policy making, medical cares, education, religious service, environmental management, marketing, and sales. While behavioral economics is considered one of new areas of economics, its basic approach was already observed in classical economics such as An Inquiry into the Nature and Causes of the Wealth of Nations by Adam Smith (1776) and Capital: A Critique of Political Economy by Karl Marx (1867). These classical economics discussed human behaviors based on both economic rationality and intuitive (psychological) rationality while the weight was much heavier on the economic rationality. Behavioral economics has the same approach. However, it focuses more on intuitive rationality to develop better models to explain the human behaviors in the informed knowledge-society. In the informed knowledge-society, we tend to have a wide variety of behaviors based on not only economic rationality but also intuitive rationality. This is why behavioral economics and its models are used for the better result of prediction and assessment of our behaviors. This presentation will explain not only basic concept and models of behavioral economics but also practical applications of the models. We chose framing effects and prospect theory for the presentation.