ECX5600 · Behavioural economics

Overview

Research in economics has increasingly incorporated fields such as psychology, sociology, and biology. Together with this, the methods in economic research have expanded to include designed experiments and more recently advanced technology such as fMRI. Findings from such empirical research, along with interactions with other fields using the new methods, provide valuable input for the development of new models of economic behaviour and improve the applicability of economic theories. This unit introduces findings in psychology, behavioural and experimental economics and discuss alternative models of individual decisions and the related implications in economic exchange.

Offerings

Assessment

The Handbook lists an examination for this unit.

Assessment details may change. Please refer to the assessment information in Moodle closer to the start of the teaching period.

Requisites

Learning outcomes

1. understand neoclassical economics models of decision making and scientific findings showing how empirically individuals may depart from the predictions of neoclassical models (also known as behavioural “irrationality”)
2. provide alternative behavioural models that are used to explain the behavioural “irrationality”
3. apply the knowledge from behavioural economics to analyse real-world problems, such as policy making, contract designing, marketing, and management
4. propose behavioural economics interventions to reduce inefficiencies resulting from cognitive biases.

Workload

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. You are expected to complete all pre-class activities prior to your scheduled class, and post-class activities should be completed after your scheduled class. Learning activities may include a combination of teacher directed, peer directed and online engagement activities.

Student experience, not official rules. Nothing here changes what the Handbook says.