The class will read and discuss current research in economics with a focus on game theory and decision theory. Students will be expected to make a verbal presentation. Students must complete both parts of this course (parts A and B) within the same academic year in order to receive credit.
The seminar will focus on theoretical and experimental issues in behavioral economics. We will study the relationships between the mathematical models of individual behavior (both utility maximization and psychologically motivated models) and the kinds of behavior we can observe in the lab. We will design experiments to test various theories and also study the types of behavior for which we don't have good models yet and try to understand what a good model would look like. Prerequisite: Prior knowledge of behavioral economics will be useful. The course
The course focuses on classical models of choice in abstract settings, as well as uncertain and intertemporal environments. We will also study recent models that incorporate insights from psychology, such as temptation and self-control.