Policy and Choice: Public Finance through the Lens of Behavioral Economics In Policy and Choice economists William Congdon, Jeffrey Kling, and Sendhil Mullainathan argue that public finance not only can incorporate many lessons of behavioral economics but also can se
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| Title | : | Policy and Choice: Public Finance through the Lens of Behavioral Economics |
| Author | : | |
| Rating | : | 4.97 (383 Votes) |
| Asin | : | 0815722583 |
| Format Type | : | Paperback |
| Number of Pages | : | 247 Pages |
| Publish Date | : | 2011-12-14 |
| Genre | : |
Editorial : " Policy and Choice is a must-read for students of public finance. If you want to learn how the emerging field of behavioral economics can help lead to better policy, there is nothing better."N. Gregory Mankiw, Harvard University, former chairman of the President's Council of Economic Advisers, and author of Principles of Economics
"This fantastic volume will become the standard reference for those interested in understanding the impact of behavioral economics on government tax and spending policies. The authors take a stream of research which had highlighted particular 'nudges' and turn it into a comprehensive framework for thinking about policy in a more realistic world where psychology is incorporated into economic decisionmaking. This excellent book will be widely used and cited."Jonathan Gruber, Massachusetts Institute of Technology, former Treasury Department official, and author of Public Finance and Public Policy
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Traditional public finance provides a powerful framework for policy analysis, but it relies on a model of human behavior that the new science of behavioral economics increasingly calls into question. In Policy and Choice economists William Congdon, Jeffrey Kling, and Sendhil Mullainathan argue that public finance not only can incorporate many lessons of behavioral economics but also can serve as a solid foundation from which to apply insights from psychology to questions of economic policy.The authors revisit the core questions of public finance, armed with a richer perspective on human behavior. They do not merely apply findings from psychology to specific economic problems; instead, they explore how psychological factors actually reshape core concepts in public finance such as moral hazard, deadweight loss, and incentives.Part one sets the stage for integrating behavioral economics into public finance by interpreting the evidence from psychology and developing a framework for
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