In the world of mainstream American economics, Richard Thaler’s study of behavioral quirks like loss aversion and the status-quo bias was seen as subversive.
Kahneman isn’t the only one celebrating. Many economists believe that Thaler’s award was long overdue. The Nobel announcement credited Thaler, whose work has explored mental quirks such as loss aversion and the status-quo bias, for building “a bridge between the economic and psychological analyses of individual decision-making.” That’s true. But Thaler’s greatest achievement may have been in persuading economists—a notoriously hidebound lot—to question the “rational economic man” assumption that they once held so dear. These days, most decent universities offer classes in behavioral economics, and some of the top schools in the U.S., such as Harvard and Berkeley, have made major commitments to the field. Meanwhile, governments around the world, and multinational institutions such as the World Bank, look to behavioral economics to inform policymaking.
https://www.newyorker.com/news/john-cassidy/the-making-of-richard-thalers-economics-nobel
Kahneman isn’t the only one celebrating. Many economists believe that Thaler’s award was long overdue. The Nobel announcement credited Thaler, whose work has explored mental quirks such as loss aversion and the status-quo bias, for building “a bridge between the economic and psychological analyses of individual decision-making.” That’s true. But Thaler’s greatest achievement may have been in persuading economists—a notoriously hidebound lot—to question the “rational economic man” assumption that they once held so dear. These days, most decent universities offer classes in behavioral economics, and some of the top schools in the U.S., such as Harvard and Berkeley, have made major commitments to the field. Meanwhile, governments around the world, and multinational institutions such as the World Bank, look to behavioral economics to inform policymaking.
https://www.newyorker.com/news/john-cassidy/the-making-of-richard-thalers-economics-nobel
No comments:
Post a Comment