Behavioral economics has identified a range of biases as a result of the way people think and feel. According to behavioral economics, people are not always patient, consistent and forward looking: our thinking is subject to impulsivity, lack of processing capability and is often affected by the context in which we make decisions. We are influenced by emotions, visceral urges and impulses and we often regret the decisions we make. Finally, the power of social norms and our desire to conform make non optimal behavior contagious and socially approved.
- Thorough introduction to the heuristics (mental shortcut to solve problems and make judgments quickly) and cognitive biases
- Examples of bad decisions in our daily life and discussion on the drivers of human “irrationality”
- Self-control problems: lack of patience, impulsivity, weak willpower, present bias, procrastination, and time inconsistency.
- Strategies for reducing failures of self-control: self-deployed vs. other-deployed strategies and, situational vs. cognitive intervention targets.
- Monetary and non-monetary incentives: the role of intrinsic motivations, social signals, size and framing of incentives.
- Introduction to behavioral insights as a set of new tools to close the intention-action gap.
Introduction how to run experiments to test the efficacy of behavioral interventions
Advanced topics (depending on participants’ interests):
- Specific applications and concrete examples of behavioral analysis applied to real-world problems.
During the course, participants have the opportunity to present and (try to) solve a challenge they face in their work and organization. We will brainstorm on the causes of the behavior we wish to change and work together on specific solutions based on the material presented during the course.