Behavioral economics: from advising organizations to nudging individuals
SourceJournal of Behavioral Economics for Policy, 1, 1, (2017), pp. 5-10
Article / Letter to editor
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Economische theorie en economisch beleid
Journal of Behavioral Economics for Policy
SubjectInstitute for Management Research
This paper starts from a distinction between “old” and “new” behavioral economics. The former is associated with, amongst others, a Carnegie group around Herbert Simon and a Michigan cluster led by George Katona. The roots of the latter may be traced to the work of especially Amos Tversky and Daniel Kahneman. Concerning the former, the paper illustrates how it emerged out of an interest in organizational policy. Regarding the latter, the paper argues that it serves as a natural input for policy concerning individual decision making. The returning theme is that behavioral economics serves as inherent inspiration for policy proposals.
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