This paper addresses the question of whether the findings of behavioral economics imply that techniques used in cost-benefit analysis should be modified. The findings of behavioral economics considered include the status-quo effect, loss-aversion, overconfidence and hyperbolic discounting. These...

Although it is common in economics to compare institutions on the basis of single dimensional measures of concepts such as efficiency, fairness or freedom, Allan Schmid's Conflict and Cooperation: Institutional and Behavioral Economics rejects that approach with a sharply contrasting vision of...

This article describes the emerging subfield known as behavioral economics, which borrows from psychology, empirically tests assumptions used elsewhere in economics, and provides theories that aim to be more realistic and closely tied to experimental and field data. Highlights from the...