Chapter 8 : Behavioral Economics

The economy of Brazil is in the top ten largest economies along with the United States. It is the biggest in Latin America. Actually it is the seventh largest in the world. Brazil has used its newly found economic mechanism to syndicate its outcome in South America and show more of a role in the Global Businesses. The Obama Administration’s National Security Strategy recognizes Brazil as a developing center of effect, and greets the management of the country’s joint and global issues. The United States and Brazil associations mostly have been good in the recent years. But Brazil has other strengthening relations with neighboring countries and expanding ties with nontraditional partners in the South that’s developing.

What Did You Expect To Learn When You Picked Up The Book? To What Extent – And How Effectively – Were Your Expectations Met?

Understanding behavioral economics will also help in making critical decisions like how much a person need to be saving, how much effort we need to put in our works and where we will choose to live in future.

The majority of the chapter was amusing to read about because I can see the same things in Jacksonville around graduation time, but I think the most critical part of the chapter is Mr. Donleavy’s speech to the

Personally I thought this chapter was a headache. I constantly had to read a page and then reread it. A lot of this information I have head from previous psychology classes, but just reading it was harder to understand rather than having an instructor teach it. I pretty much highlighted the whole book because I thought it was all-important.

1. Which of the chapters appealed to you most? The chapters which appealed to me the most include: Eating intentionally by Shannon Young, because many of our health problems can be traced to poor diet. “Many of the extra steps between farmer and consumer remove nutrients and fiber, and add salt, sugar, fat, and other fillers” (Brubaker, p.51) I also like Consumer Responsibly by Maria Allen Owens, because dealing with debt and money issues is stressful and is leading to economic instability. Survey asked what is your biggest problem?

Why were they of special interest to you? Though overall chapter six did not impress me there was one main area that piqued my interest and that was “The Nonvisual Senses” (page226). It talked about hearing and all the different types of sound waves. What I found extremely special about this concept is “The Ear” figure 6.36 (page227). I had not learned a ton about the ear in my years of high school, so I found it extremely interesting that the figure

1. (10 pts.) Stella Ann Freeman is having a difficult time deciding whether or not to purchase a new car. How would understanding the concept of opportunity costs help her make a decision?

Despite the city’s positive response to the coffee shop’s renovation, other businesses in the area have not followed suit in renovating the many decrepit buildings and abandoned lots. How might the presence of an externality be in part the cause of this?

So far in the course, the material that has sparked my interest the most were the concepts of privilege and oppression. Actually, I would not even say that it sparked my interest; I would say that I could compare my life with these two terms. I grew up on the East side of Detroit, in a neighborhood that looked down on people who did not attend schools in which they have. For example, I went to a predominantly all black private school not too far from my house. But my friends in my neighborhood honestly did not care whether it was a black or white school. They would make fun of me because I attended a private school. I believed that their interpretation of a private school was that the school was preparing us to into formal black Americans.

One topic that stuck out to me the most during this semester was chapter seven, which is The Working Poor and the Underclass. I feel as if this chapter is and will always be a big topic in society today. Being in nursing school and working at the local hospital in our community, I feel as if this is an issue I encounter a lot. Many people I care for on a daily basis are in poverty and cannot pay for their hospital bills. I see homeless people and other individuals barely surviving and just want a warm place and a meal to enjoy. From reading this chapter, I learned that there were different types of poverty, the amount that poverty exists, as well as new information about the homeless population.

There were two pieces that stuck with me the most out of all the readings in the chapter: Apnea and Simple Joys. Focusing on Apnea by Hunt Hawkins, I found this piece particularly interesting because to a certain extent I can see myself being like this father with my own child. Although the poem focuses

This assignment has a maximum total of 100 marks and is worth 10% of your total grade for this course. You should complete it after completing your course work for Units 1 through 5. Answer each question clearly and concisely.

Behavioral economics is “a method of economic analysis that applies psychological insights into human behavior to explain economic decision-making” according to the Google dictionary. This type of economics concludes that people behave irrationally in certain ways. People are neither entirely rational nor entirely irrational, rather their behavior shows a combination of the two. Contrarily, traditional economics assumes that people will make entirely rational decisions, which allows economists to simplify behavior into a model. Juxtaposing the assumption, the coffee mug experiment showed that people behave irrationally in certain cases.

Behavioural economics is the study of the effects that psychology has on the decision making of the economy. This tends to be the way that people think and feel when they are spending money on a certain good or service. The great economist Adam Smith was the first follower of this idea through his book “The theory of moral sentiments” which dates back to 1759. However, it took over 100 years to get a more clarified meaning of how big of a role the psychology of a buyer plays in economics. In behavioural economics there are seven basic principles which all contribute to the decision making process. Behavioural economics can explain how people will react to different situations such as times when there are no economic problems and times when