Humans frequently do not act in ways that maximize profits. In a sense, this means people are not as rational as we once thought. But if people are not rational, does it mean that they are totally unpredictable? Not really. During this introductory syllabus we will cover several ways of approaching decision making and see how it applies to real world problems.
1- Behavioral Economics I.
Kahneman and Tversky prospect theory: biases, heuristics and framing
2- Behavioral Economics II
Sunstein and Thaler: nudging and the architecture of choice theory
3- Persuasive Technology
BJ Fogg’s model of behavior.
4- Ingenious blend: how to apply theory to product design. The importance of value and the behavioral approach to design