A Behavioral Economics Approach to Development Policy

by Shane Parrish on August 11, 2012

Behavioral economics seeks to complement traditional approaches to economics by incorporating insights from psychology and human behavior, and taking a behavioral approach allows us to understand a host of behaviors that are critical to the success of a variety of development policies.

In this video, Sendhil Mullainathan and Saugato Datta present a paper exploring how behavioral economics can inform development policy, from education to health to cash transfer programs.