Behavioral Economics

Definition 1

Discipline that includes a psychological or sociological explanation of economic behavior.

Source: Behavioral Science Lab, 2017

Definition 2

The field of behavioral economics studies and describes economic decision-making. According to its theories, actual human behavior is less rational, stable, and selfish than traditional normative theory suggests (see also homo economicus), due to bounded rationality, limited self-control, and social preferences.

Source: Behavioral Economics