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Behavioral Public Economics: Welfare and Policy Analysis with Non-Standard Decision-Makers

B. Douglas Bernheim () and Antonio Rangel ()

No 11518, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: This paper has two goals. First, we discuss several emerging approaches to applied welfare analysis under non-standard ("behavioral") assumptions concerning consumer choice. This provides a foundation for Behavioral Public Economics. Second, we illustrate applications of these approaches by surveying behavioral studies of policy problems involving saving, addiction, and public goods. We argue that the literature on behavioral public economics, though in its infancy, has already fundamentally changed our understanding of public policy in each of these domains.

JEL-codes: D0 D1 D6 D9 H0 H1 H4 (search for similar items in EconPapers)
Date: 2005-08
New Economics Papers: this item is included in nep-evo, nep-hpe, nep-pbe and nep-pke
Note: EH PE
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Working Paper: Behavioral Public Economics: Welfare and Policy Analysis with Non-Standard Decision-Makers (2005) Downloads
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