Behavioral Economics

Welcome to the Investors Trading Academy talking glossary of financial terms and events. Our word of the day is "Behavioral Economics" Behavioral economics is a branch of economics that concentrates on explaining the economic decisions people make in practice, especially when these conflict with what conventional economic theory predicts they will do.

Vernon Smith is a pioneer, discovering a whole new way to study economics and winning a Nobel Prize for doing so. Smith sat down with Reason.tv's Nick Gillespie to discuss a variety of topics, including growing up in Kansas during the Great Depression, his ideological journey from socialist to libertarian, how and why some of Adam Smith's most important intellectual contributions are overlooked, and what experimental economics has to say about the collapse of the housing market.

Advertising tries to convince you to buy things, but nudging is about influencing customers without their knowing. It's only going to be used more and more, but where should we place limits (if at all)? *This video includes a paid sponsor.

How and why the economy works... in 3 minutes. Learn More: https://www.learnliberty.org/ At some point in our distant past, a human who had food met another who had a spear. The two exchanged, and departed better off than when they met.

Share on Twitter: http://clicktotweet.com/6cQ1S Share on Facebook: http://www.facebook.com/sharer.php?u=http://youtu.be/KyM3d4gQGhM In the international bestseller Thinking, Fast and Slow, Daniel Kahneman, the renowned psychologist and winner of the Nobel Prize in Economics, takes us on a groundbreaking tour of the mind and explains the two systems that drive the way we think.

Duke professor Dan Ariely has little faith in human rationality.

Serious Science - http://serious-science.org Neuroscientist Jan Engelmann on the biology of decision-making, parts of the brain responsible for trust, and whether losses matter more than gains http://serious-science.org/neuroeconomics-5122

Comparing Behavioral Economics & Economic Psychology Welcome back to the business psychology Hub Behavioural economics and Economic psychology both apply economic and psychological principles to study human resource related behaviours. So how are these two disciples different? Behavioural Economics is a sub-discipline within the field of behavioural finance.

Daniel Kahneman, Nobel laureate and father of behavioural economics, talks about the cognitive biases that affect our decision-making, a topic explored in his book, Thinking Fast and Slow. Kahneman posits two cognitive systems, which he labels 'System 1' - given over to snap, intuitive judgments, and 'System 2' - which we use consciously to solve problems in a more rational way.

Learn the power of nudge to win at behavioral change ! http://www.bva.fr/en/bva_nudge_unit/