Game harmony describes how harmonious (non-conflictual) or disharmonious (conflictual) the interests of players are in a game, as embodied in the game’s raw payoffs. It departs from the traditional game-theoretic approach in that it is a non-equilibrium behavioral approach which can be...

Economists traditionally model choice as the maximization of a stable utility function. A simple way of modeling envy (though not the only one) is by adding a term which is a negative function of the consumption of the other agent(s) in one's own utility function. This paper briefly reviews some...

In an experiment on markets for services, we find that consumers are likely to stick to defaults and achieve suboptimal outcomes. We unpack two key psychological reasons why they do this - complexity (in terms of non-linearity, number and bundling of tariffs) and consumer inattention. The...

The conjunction fallacy is an anomaly in human reasoning for which the conjunction of two events is rated more likely to occur than one of the events alone. In the context of decision under uncertainty, this violates the monotonicity axiom of probability, and consequentially also Bayes' Rule and...

The underlying motivations for envy or related social preferences and their impact on agricultural innovations are examined by combining data from money burning experimental game and household survey from Ethiopia. In the first stage of the money burning experimental game, income inequality is...

This paper examines the impact of envy or related social preferences on agricultural innovation in Ethiopia by combining experimental and household survey data. In the first stage of a money burning game, income inequality is induced by providing differential endowments and enabling subjects to...

We propose a triple test to evaluate the usefulness of behavioral economics models for public health policy. Test 1 is whether the model provides reasonably new insights. Test 2 is on whether these have been properly applied to policy settings. Test 3 is whether they are corroborated by...