Part of the MIT OpenCourseWare site, this page supports a 2004 course on economics and psychology. The course integrates psychological insights into economic models of behaviour. It discusses the limitations of standard economic models and surveys the ways in which psychological experiments have been used to learn about preferences, cognition, and behaviour. It includes a syllabus, list of readings, lectures slides / handouts, details of assignments and problem sets.
Lecture materials in Experimental Economics
Miguel A. Fonseca, University of Exeter
Lectures from BEEM109 Experimental Economics and Finance, 2009/10. Slides in PDF format:
- Lecture 1: Introduction
- Lecture 2: Prospect Theory and Mental Accounting
- Lecture 3: Are we Bayesians?
- Lecture 4: Behavioural Game Theory
- Lecture 5: Group Decision-Making and Social Identity
Todd Kaplan, University of Exeter / University of Haifa
Lecture slides in Powerpoint format from Markets, Games and Strategic Behaviour, 2008/09:
- Price competition
- Bertand complements
- Bank runs
- Network externalities
- Information asymmetries
- Vertical markets
- Supplier hold-up problem
- Drafts (PDF format slide-show)
- Price discrimination
- Subgame perfection
Two interactive graphs to illustrate schematically the difference between hyperbolic and exponential (constant discount rate) discounting:
These have been created as demonstrators of what can be done with simple interactive graphs. The same technique could be applied to make other graphs interactive. Email firstname.lastname@example.org to suggest ways this could be adapted.
PowerPoint presentation depicting decision-making under risk, showing how risk attitudes can be examined using choices among lotteries or willingness to pay for insurances. Shows how risk attitudes can be captured in convexity of the indifference curve or strict concavity of the utility function; and how risk aversion can be quantified by the ratio of second and first derivatives of the utility function, implying that it falls as wealth increases.