How do people make decisions? How does behavior affect public policies? And can policymakers nudge people into doing things that will benefit them and society at large? Many issues related to the success of public policies come down to a, sometimes understudied, factor: human behavior. In our Behavioral Economics for Better Public Policies course, we focus on that fundamental … [Read more...] about The Free Online Behavioral Economics Course Is Going Strong. Have You Taken It?
When the Lack of Trust Cripples Productivity and Growth
The government says it is progressing in its fight against the COVID-19 pandemic, but firms distrust the news, delaying investments and hiring and slowing economic recovery. A firm manager distrusts her own employees and refuses to delegate responsibilities, complicating efforts to invest, innovate and move into new markets. Citizens distrust firms and demand excessive … [Read more...] about When the Lack of Trust Cripples Productivity and Growth
Building Trust for Social Cohesion and Growth in Latin America and the Caribbean
It would always get a laugh from readers of Peanuts. Lucy would hold the football for Charlie Brown to kick. Then she would pull it back at the last minute and send him flying onto his back. The gag, repeated over and over throughout the years, was funny because of Charlie's absurdly trusting behavior. Having been tricked so many times by Lucy, didn't he realize she would trick … [Read more...] about Building Trust for Social Cohesion and Growth in Latin America and the Caribbean
Trust: A Critical Component of the Fight Against Air Pollution
While the COVID-19 pandemic has killed almost five million, more people die every year because of air pollution, which accounts for about one in five deaths worldwide. The problem, moreover, is especially acute in low- and middle-income countries, where exposure to high levels of air pollution affects 90 percent of the population. Given the substantial human and economic costs, … [Read more...] about Trust: A Critical Component of the Fight Against Air Pollution
Testing the Impact of Social Media on Trust
Trust and a sense of citizenship are the pillars of thriving democracies. They are essential to the willingness of citizens to make individual sacrifices in pursuit of collective endeavors that drive a society’s success. Unfortunately, that trust and sense of citizenship have been at historical lows worldwide recently and have been declining even more rapidly in Latin America … [Read more...] about Testing the Impact of Social Media on Trust