Behavioural economics and mathematics: chronicles of an alliance

Behavioural economics and mathematics: chronicles of an alliance The recent Nobel Prize for economic sciences assigned to Richard H. Thaler highlights the growing importance of behavioural economics in explaining the actions of economic agents. This interdisciplinary branch of economics adopts methods and tools from other social sciences such a psychology and sociology. Nevertheless, the success of behavioural economics does not imply that economics should dismiss the mathematical formalisation of their models. The failure of the neoclassical approach is a consequences of the unrealistic assumptions concerning the decision making of economic agents, and not due to their mathematical formalisation. In this article we explore how different mathematical tools are perfectly compatible with the assumptions coming from behavioural economics and how they can be quite useful to explain stylised facts and make good forecasts. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Lettera Matematica Springer Journals

Behavioural economics and mathematics: chronicles of an alliance

Loading next page...
 
/lp/springer_journal/behavioural-economics-and-mathematics-chronicles-of-an-alliance-2zvpst1h0q
Publisher
Springer Milan
Copyright
Copyright © 2018 by Centro P.RI.ST.EM, Università Commerciale Luigi Bocconi
Subject
Mathematics; Mathematics, general; Theoretical, Mathematical and Computational Physics; Mathematical Methods in Physics; Applications of Mathematics; History of Mathematical Sciences; History of Science
ISSN
2281-6917
eISSN
2281-5937
D.O.I.
10.1007/s40329-018-0210-z
Publisher site
See Article on Publisher Site

Abstract

The recent Nobel Prize for economic sciences assigned to Richard H. Thaler highlights the growing importance of behavioural economics in explaining the actions of economic agents. This interdisciplinary branch of economics adopts methods and tools from other social sciences such a psychology and sociology. Nevertheless, the success of behavioural economics does not imply that economics should dismiss the mathematical formalisation of their models. The failure of the neoclassical approach is a consequences of the unrealistic assumptions concerning the decision making of economic agents, and not due to their mathematical formalisation. In this article we explore how different mathematical tools are perfectly compatible with the assumptions coming from behavioural economics and how they can be quite useful to explain stylised facts and make good forecasts.

Journal

Lettera MatematicaSpringer Journals

Published: Jan 29, 2018

References

You’re reading a free preview. Subscribe to read the entire article.


DeepDyve is your
personal research library

It’s your single place to instantly
discover and read the research
that matters to you.

Enjoy affordable access to
over 12 million articles from more than
10,000 peer-reviewed journals.

All for just $49/month

Explore the DeepDyve Library

Unlimited reading

Read as many articles as you need. Full articles with original layout, charts and figures. Read online, from anywhere.

Stay up to date

Keep up with your field with Personalized Recommendations and Follow Journals to get automatic updates.

Organize your research

It’s easy to organize your research with our built-in tools.

Your journals are on DeepDyve

Read from thousands of the leading scholarly journals from SpringerNature, Elsevier, Wiley-Blackwell, Oxford University Press and more.

All the latest content is available, no embargo periods.

See the journals in your area

Monthly Plan

  • Read unlimited articles
  • Personalized recommendations
  • No expiration
  • Print 20 pages per month
  • 20% off on PDF purchases
  • Organize your research
  • Get updates on your journals and topic searches

$49/month

Start Free Trial

14-day Free Trial

Best Deal — 39% off

Annual Plan

  • All the features of the Professional Plan, but for 39% off!
  • Billed annually
  • No expiration
  • For the normal price of 10 articles elsewhere, you get one full year of unlimited access to articles.

$588

$360/year

billed annually
Start Free Trial

14-day Free Trial