Behavioral Economics

The intersection of psychology and economics, behavioral economics looks at human tendencies that involve biology and culture when predicting and explaining economic decision-making.

What Our Food Says About Us

Because middling food like hamburgers is consumed by most people in the affluent West, what we eat does not necessarily reflect inequality or social status.

Why a Life Needs a Price Tag

Although it seems callous, for safety regulation like speed limits and for victims’ compensation like 9/11 we need to quantify the value of a life.

Using a Fat Tail to Describe Stock Market Risk

When the unexpected occurs and changes our view of stock market risk, we call it a black swan or fat tail because it is far from the mean of a bell curve.

How Your Lawn is About More Than Grass

Nothing but grass, lawns began as conspicuous consumption from the English and French aristocracy and now are a middle class manicured status symbol.

Some High Speed Trading History

Depending on how fast news travels, high speed trading can be done through homing pigeons or computers but both have created information asymmetry.

How to Find More of the American Dream

Recognizing that neighborhoods with better schools and other shared characteristics affect income mobility, anti-poverty policy can become more effective.

The Values That Make Us Spend More

For major OECD countries and the U.S., the source and destination for healthcare spending reflect national values about limited government.

The Reason We Should Drive Around in Circles

As we improve our transportation infrastructure, the roundabout has become increasingly attractive because of safety, ease and cost.

Why Major League Baseball Has a C+ Gender Grade

Because the presence of women in Major League Baseball (MLB) management positions is very small, they have diminished their talented human capital supply.

Paying More at the Gas Pump

Because of a low gasoline tax, the Highway Trust Fund does not have enough money to maintain the transportation infrastructure of highways and mass transit.