Schedule

Below is a roadmap for the semester. Note that this will inevitably change from the first day you access this course but will be updated as required.

Overview

The class is fundamentally based on lectures. The slides for the lectures can be found at the “content” page. Everything else should be relatively self-explanatory.

  • Content (): This page contains the lectures and recorded videos (as applicable) for the topic. These pages should be read completely. Lectures are not an exact replication of the written content; on the contrary, the lectures are intended to keep you engaged and have a great deal more information than the slides alone. Come to class.

  • Assignments (): This page contains the instructions for assignments. Assignments are always due before 11:59 PM (Eastern).


Introduction to Behavioral Economics Content Assignment
Welcome
Choice under Uncertainty Content Assignment
The Standard Model: Expected Utility
Evidence that Contradicts Expected Utility
Prospect Theory
Applications of Propect Theory
Reference-Dependent Preferences
08 February EXAM 1
Intertemporal Choice — Making Choices over Time Content Assignment
Warm-Up: Interest Rates, Compounding, PDV,…
The Standard Model: Exponential Discounting
Evidence that Contradicts Exponential Discounting
An Alternative Model: Present Bias
Applications of Present Bias
Utility from “Anticipation”
“Projection Bias” — Mispredicting Future Tastes
26 March EXAM 2
Public Policy to Combat Errors Content Assignment
Is “Paternalism” Acceptable or Justified?
Optimal Sin Taxes
Altruism, Fairness, and Social Preferencess Content Assignment
The Standard Model: Self Interest
Evidence That Contradicts the Self-Interest Model
Theories of Social Preferences
Do “Intentions” Matter?
Errors in Statistical Reasoning Content Assignment
The Standard Model: Bayesian Information Processing
Evidence that Contradicts Bayesian Information Processing
An Alternative Model: The “Law Of Small Numbers”
TBD Final Exam