Behavioral Economics (ECON 370) Nudges, Framing, and Decision Bias Exam Review
University of Wisconsin-Madison
Behavioral Economics (ECON 370) | Exam Review

Overview
A review of framing, defaults, present bias, loss aversion, and the policy logic behind nudges and behavioral interventions.

Key topics
•framing effects
•defaults and nudges
•present bias
•loss aversion

Suggested study tasks
•classify one intervention as a nudge or not
•compare classical and behavioral predictions
•explain one bias with a policy example

Common pitfalls
•calling every policy change a nudge
•forgetting what the baseline rational model predicts