Logo - springer
Slogan - springer

Economics | Bounded Rationality and Public Policy - A Perspective from Behavioural Economics

Bounded Rationality and Public Policy

A Perspective from Behavioural Economics

Munro, Alistair

2009

Available Formats:
eBook
Information

Springer eBooks may be purchased by end-customers only and are sold without copy protection (DRM free). Instead, all eBooks include personalized watermarks. This means you can read the Springer eBooks across numerous devices such as Laptops, eReaders, and tablets.

You can pay for Springer eBooks with Visa, Mastercard, American Express or Paypal.

After the purchase you can directly download the eBook file or read it online in our Springer eBook Reader. Furthermore your eBook will be stored in your MySpringer account. So you can always re-download your eBooks.

 
$189.00

(net) price for USA

ISBN 978-1-4020-9473-6

digitally watermarked, no DRM

Included Format: PDF

download immediately after purchase


learn more about Springer eBooks

add to marked items

Hardcover
Information

Hardcover version

You can pay for Springer Books with Visa, Mastercard, American Express or Paypal.

Standard shipping is free of charge for individual customers.

 
$239.00

(net) price for USA

ISBN 978-1-4020-9472-9

free shipping for individuals worldwide

usually dispatched within 3 to 5 business days


add to marked items

Softcover
Information

Softcover (also known as softback) version.

You can pay for Springer Books with Visa, Mastercard, American Express or Paypal.

Standard shipping is free of charge for individual customers.

 
$239.00

(net) price for USA

ISBN 978-90-481-8134-6

free shipping for individuals worldwide

usually dispatched within 3 to 5 business days


add to marked items

  • Pioneers the theoretical analysis of public policy in a context of bounded rationality
  • Brings together public and behavioral economics
  • Surveys the behavioral anomalies most relevant in a public policy context
  • Provides a new perspective on stated preference and environmental valuation

The economist’s advice to society rests largely on a picture of citizens as infinitely rational beings, shrewd, calculating and above all consistent in their behaviour. But as the last thirty years of economic experiments and field work has revealed, humans are far from perfectly consistent. On the contrary, choices and preferences often seem highly sensitive to context. Systematic deviations from rationality – "anomalies" are widespread and they have been well-documented in the laboratory and the field. What then can the economist say about desirable public policies?

Bounded Rationality and Public Policy brings together the work of experimental economists and applies it to public economics. Experimental evidence on anomalies such as the endowment effect, anchoring and mental accounts is presented and critically appraised. The implications of bounded rationality for the efficient boundaries of the state are considered. The author argues that in general bounded rationality does not imply a larger optimal role for the state and indeed the converse may be true. New kinds of policies based on the framing and labeling of choices are discussed and their impact is analysed. The author also considers optimal tax and benefit policy and the best role for stated preference and other methods widely employed in non-market valuation.

Throughout this Work, the emphasis is on using models of human behaviour that are well-grounded in empirical evidence. The author shows that even when behaviour is not fully rational, economists have much to say about the design of public policy.

Content Level » Research

Keywords » behavioral economics - behavioural economics - bounded rationality - economics - fiscal policy - merit wants - non-market valuation - public policy - welfare

Related subjects » Economic Policy - Economics - Economic Theory - Environmental / Development / Agricultural Economics - Public Finance - Social Policy / Labor / Population Economics

Table of contents 

Anomalies.- Information, Learning and Markets.- Markets and Reference Dependent Preferences.- Welfare.- Public Policy and Bounded Rationality.- Standard Fiscal Policy and Merit Wants.- Agency and Dependency.- Tax Policy.- Framing Matters: Non-Standard Fiscal Policy.- Stated Preference and Non-Market Decisions.

Popular Content within this publication 

 

Articles

Read this Book on Springerlink

Services for this book

New Book Alert

Get alerted on new Springer publications in the subject area of Economics.