Behavioural Economics
Introduction
Behavioural Economics has become a central field in economics and is increasingly popular amongst governments and other economic and financial decision makers. It shows how decision making can be improved by using insights from psychology.
The specialisation in Behavioural Economics consists of a stream of mainstream economics courses and a stream of Behavioural Economics courses. A solid training in mainstream economics provides students with the economic tools to analyze and design policies and strategies. The additional training in Behavioural Economics helps the student to understand why people do not always act as rational economic agents and how economic policies and strategies can be improved to take such deviations from rational behaviour into account. Students will benefit from the expertise of the internationally renowned Behavioural Economics Group at the Erasmus School of Economics, who collaborate with the leading behavioural economists in the world.
In 2002 the Nobel Prize in economics was awarded to Daniel Kahneman and Vernon Smith for their contributions to the field of Behavioural Economics. A popular book that illustrates the value of Behavioural Economics to improve policies and strategies is ‘Nudge’ by Richard Thaler and Cass Sunstein. Traditional economists design new policies based on the assumption that people, if given proper incentives, will choose the optimal course of action. Behavioural economists have shown that people’s choices are not necessarily optimal and are affected by the framing and context of choices. Taking these effects into account will improve the effectiveness of policy measures. This choice architecture influences the way governments think about policy in the US, the UK and recently also in the Netherlands.
Facts
Below you see an overview of the key facts of the Master's specialisation in Behavioural Economics:
Start | September 2012 |
Duration | Full-Time (1 year) |
ECTS | 60 |
Language | English |
Programme Coordinator | Dr. Kirsten I.M. Rohde |
Title | MSc |
Study Association | - |
Curriculum
Below you see an overview of the curriculum of the Master's specialisation in Behavioural Economics:
Courses | Student Workload |
Mainstream Economics | |
Two track courses | 2 * 4 ECTS credits |
Track seminar | 12 ECTS credits |
Behavioural Economics | |
Advanced Behavioural Economics | 4 ECTS credits |
Experimental Economics | 4 ECTS credits |
Behavioural Elective | 4 ECTS credits |
Seminar Applied Behavioural Economics | 12 ECTS credits |
Master's Thesis | 16 ECTS credits |
Programme | 60 ECTS credits |
The Master’s curriculum consists of both courses in mainstream economics and courses in Behavioural Economics. Students can choose between 3 tracks in mainstream economics: a Financial Economics track, an Economics of Management and Organisation track, and a Marketing track. These tracks consist of courses and seminars of the corresponding specialisations of the Master of Economics and Business, as specified below.
In the core Behavioural Economics courses (4 cr.) students will learn the most recent insights from Behavioural Economics. In the seminars (12 cr.) they will learn to apply these insights. Seminars are interactive and require active participation of students. A Master’s thesis, written individually under close supervision by one of our academic staff members, completes the Master’s specialisation.
Note that all information on this page is subject to change.
Tracks
Financial Economics Track |
Advanced Corporate Finance and Strategy |
One course to be chosen from: |
One seminar to be chosen from: |
Behavioural Elective: |
Economics of Management and Organisation Track |
Two courses to be chosen from: |
Seminar Advanced Management Accounting and Control |
Behavioural Elective: |
Marketing Track |
Two courses to be chosen from: |
One seminar to be chosen from: |
Behavioural Elective – one course to be chosen from: |
Application and Admission
The application and admission procedure differs for Dutch university students, HBO students and international students. Please click on this link and then choose to which group you belong and you will be directed to the correct application and admission procedure.
Career Prospects
Students with a Master’s degree in Behavioural Economics have many job opportunities in all sectors of the economy. To give a few examples:
Governments increasingly use the insights from Behavioural Economics to shape policies. Examples are pension design and health policy. Economists with a training in Behavioural Economics will know how to effectively design and improve economic policies and strategies.
In private enterprises Behavioural Economists can help design better marketing policies, contracts, and financial portfolios. Behavioural economists know the biases that affect people's choices and, hence, their insights can help to improve products and contracts.
Behavioural economists also learn which psychological motives play a role in negotiations. They can therefore improve negotiation procedures to the benefit of the company they work for.
Behavioural Economics Group
For information about the Behavioural Economics Group at the Erasmus School of Economics please visit our website.
