Annotation
The lecture is divided into four main sections:
1. Behavioral decision making (intertemporal decision making, decision making under uncertainty, so called “paradoxes” of decision making like “preference reversal” and “conjunction effect”);
2. Elementary Methods of Experimental Economics (principles of experimentation, hypothesis testing, methods of non-parametric statistics;
3. Behavioral game theory (fairness and reciprocity, bounded rationality);
4. Recent developments in Behavioral Economics (Neuro-Economics, mental modeling) Graduates of the module describe behavioral principles of strategic and non-strategic decision making in an economic environment. This enables them to evaluate purely theoretical problems more adequately and to design an appropriate economic environment for applied decision problems as well. Moreover, graduates conduct simple economic experiments in order to test how suitable selected economic and institutional designs are to deal with economic problems.