Myopic Loss Aversion
A cognitive bias where individuals tend to avoid risks when they perceive potential losses more acutely than potential gains.
127 topics found for
“behavioral economics”
Probability Matching
A decision-making strategy where individuals allocate resources proportionally to the probability of an outcome occurring, rather than optimizing the most likely outcome.
Preference Reversal
A phenomenon where individuals' preferences between options change when the options are presented in different ways or contexts.
Decoy Effect
A cognitive bias where consumers change their preference between two options when presented with a third, less attractive option.
Hyperbolic Discounting
A cognitive bias where people disproportionately prefer smaller, immediate rewards over larger, later rewards.
Behavioral Insights Team
An organization that applies behavioral science to policy and practice to improve public services and outcomes.
Behavioral Game Theory
The study of strategic decision making, incorporating psychological insights into traditional game theory models.
Reward Substitution
A strategy where less immediate or tangible rewards are substituted with more immediate or tangible ones to encourage desired behaviors.
Allais Paradox
A decision-making paradox that shows people's preferences can violate the expected utility theory, highlighting irrational behavior.