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Article Review

Crime policy and behavioural economics: an article review

The variety of posts of this blog is the proof that the potential applications of Behavioural Economics are plenty. The present article reviews a paper in which the author, Pickett (2018), illustrates some examples of its use for crime deterrence. The decision of committing a crime has been analysed in economic terms with a simple model where potential offenders evaluate the […]

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Article Review

Would you give up your favorite shoes to get your money back?

Prospect Theory highlights the fundamental role of the Endowment Effect in trading goods: the value people give to certain goods is highly influenced by their initial endowment (reference point).

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Article Review

Adapting to the Destitute Situations: Poverty Cues Lead to Short-Term Choice

Review of a paper by Liu, Feng, Suo, Lee, Li (2012) In previous posts (“Scarcity”, “Through the psychology of poverty”), we showed how scarcity affects the way people consider problems and take decisions. Although scarcity may concern many kinds of goods, including even available time, in this article we will consider only the lack of […]

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Article Review

Enhancing the Efficacy of Teacher Incentives through Loss Aversion: A Field Experiment

Review of a paper by Fryer, Levitt, List and Sadoff (2012) Improving the productivity of teachers has long been a priority in Public Policy. In recent years, there has been growing enthusiasm among policy makers for initiatives that tie teacher incentives to the achievement of their students. However, evidence as to the efficacy of such […]

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Article Review

BE environmentally moral to save the planet

Taking into account economic behavior in the environmental economic political process could change the impact of economic measures

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Article Review

Paracetamol packs’ size, frictions and deaths

Review of Hawton K., Bergen H., Simkin S., Dodd S., Pocock P., Bernal W., Gunnel D., Kapur N. (2013) Have you ever noticed that sometimes very small obstacles prevent you from completing a task or pursuing an objective? For instance, you might have thought about changing your phone provider since your offer was not convenient […]

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Article Review

A Social Norms Approach to Preventing Binge Drinking at Colleges and Universities

Review of the paper by Michael P. Haines (1996) It is well-known that increased alcohol consumption of young people is a persistent problem and college and university students are no exception. The Northern Illinois University (NIU) came up with a solution that has since spread to other US universities and even high schools. It all […]

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Article Review

Through the psychology of poverty

What explains the differences in economic decisions amongst poor and rich individuals? In 2014 Johannes Haushofer and Ernst Fehr, professors at Princeton and Zurich University, respectively, have written the article “On the Psychology of Poverty” for the Science magazine (original version here). They show evidence that poverty causes psychological consequences such as negative affectivity and […]