Course Catalog Information (24-25)
ECON 5
Behavioral Economics
Course Description
This course provides an introduction to the basic principles of conventional economics focusing on purely rational decision making and contrasted with the more realistic behavioral economic model based on scientific studies of actual outcomes. The topics in the course include the structure of the brain, loss-avoidance, emotions, experiences, social norms, framing, endowment effect, fairness, ethics, morals, trust, satisficing, status, herding, and anchors. Other areas of focus include analysis of animal spirits, irrational exuberance, why smart people make investment mistakes, and blurring social and financial arrangements. Topics like the value of nudging people to make superior decisions, charitable donations, and happiness (money isn't everything) are also analyzed.
Student Learning Outcomes
- Demonstrate an understanding of conventional economics based on purely rational, utility-maximizing decision making by 'Homo Economicus'.
- Understand and discuss how the multiple elements of behavioral economics explain various human decisions.
- Compare and contrast behavioral outcomes using psychological, sociological, neurological and institutional factors as well as conventional utility-maximizing behavior.
- Evaluate and explain the desirability of various outcomes Make recommendations for ethical ways to nudge people towards superior decisions.
Course Details
- Units
- 4 Units
- Hours
- Weekly Lecture Hours: 4
- Weekly Lab Hours: 0
- Gen Ed
- General Education Class
- Program Status
- Program Applicable
- Credit
- Credit - Degree Applicable
- Transferability
- Transferable to both UC and CSU
- Grading Method
- Letter Grading
Requisite and Advisory
- Advisory(ies)
- EWRT 1A or EWRT 1AH or ESL 5 ECON 1, ECON 1H, ECON 2 or ECON 2H
- Prerequisite(s)
- Corequisite(s)
Limitations on Enrollment and Entrance Skills
- Limitation(s) on Enrollment
- .