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Behavioral economics confronts a problem when it argues for its scientific relevance based on claims of superior empirical realism while defending models that are almost surely wrong as descriptions of true psychological processes (e.g., prospect theory, hyperbolic discounting, and social preference utility functions). Behavioral economists frequently(More)
Snowshoe hares (Lepus americanus Erxleben, 1777) fluctuate in 9–10 year cycles throughout much of their North American range. Regional synchrony has been assumed to be the rule for these cycles, so that hare populations in virtually all of northwestern North America have been assumed to be in phase. We gathered qualitative and quantitative data on hare(More)
Snowshoe hares (Lepus americanus Erxleben, 1777) fluctuate in 9–10 year cycles throughout much of their North American range. These cycles show large variations in cyclic amplitude and we ask what factors could cause amplitude variation. We gathered data from 1976 to 2012 on hare numbers in the boreal forest of Alaska, Yukon, Northwest Territories, and(More)
This paper presents new data on entrepreneurs' self-described decision processes 5 when choosing where to locate, based on scripted interviews with 49 well-placed business 6 owners and senior managers in charge of location choice. Consideration sets are surprisingly 7 small, especially among those who are successful. According to entrepreneurs' own(More)
This paper addresses the question of why, in spite of its recent success, behavioral economics does not influence most discussions about how economic policy ought to be made. Failing to penetrate into contemporary discourse on leading policy issues is a serious problem, because behavioral techniques often point to policy prescriptions that are at odds with(More)
We introduce a game theory model of individual decisions to cooperate by contributing personal resources to group decisions versus by free riding on the contributions of other members. In contrast to most public-goods games that assume group returns are linear in individual contributions, the present model assumes decreasing marginal group production as a(More)
This paper develops a securities market model in which participants' beliefs diverge and prices are monotonic in beliefs. Relative to rational expectations (i.e., correct and unanimous beliefs), overconfidence among uninformed traders about the precision of experts' information leads to Pareto-superior equilibria. Efficiency-enhancing departures from(More)
Behavioral economists increasingly argue that violations of rationality axioms provide a new rationale for paternalism – to " de-bias " individuals who exhibit errors, biases and other allegedly pathological psychological regularities associated with Tversky and Kahneman's (in Science 185:1124–1131, 1974) heu-ristics-and-biases program. The argument is(More)