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Behavioral and Experimental Economics Can Inform Public Policy: Some Thoughts

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  • Arno Riedl

Abstract

Experimental and behavioral economics are well established branches in the economic science. This essay presents and discusses some results and behavioral regularities from these fields which are of potential importance for public policy. After a brief introduction of what experimental and behavioral economics is, some behavioural regularities as presentation and framing effects, pro-social behavior, and reciprocity are introduced and it is reported how they interact with prominent trading institutions, taxation, and social and individual well-being. Throughout some implications for public policy are discussed.

Suggested Citation

  • Arno Riedl, 2009. "Behavioral and Experimental Economics Can Inform Public Policy: Some Thoughts," CESifo Working Paper Series 2902, CESifo.
    • Handle: RePEc:ces:ceswps:_2902
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    1. Ellen P. Green, 2012. "Payment Mechanisms in the Healthcare Industry: An Experimental Study of Physician Incentives in a Multiple Principal Agent Setting," Working Papers 12-11, University of Delaware, Department of Economics.
    2. Filippos Exadaktylos & Antonio M. Espin & Pablo Branas-Garza, 2012. "Experimental Subjects are Not Different," Working Papers 12-11, Chapman University, Economic Science Institute.

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    More about this item

    Keywords

    public economics; experimental economics; behavioral economics; public policy;
    All these keywords.

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • D00 - Microeconomics - - General - - - General
    • H00 - Public Economics - - General - - - General

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