Monthly Archives: September 2011
Behavioural Economics and the Rationality Assumption in Economics
Inspired by The Price Is Too Damn High, Canadian Edition and Frances' post on behavioural economics. There is a temptation for non-economists to answer any question that puzzles economists by simply declaring "people are irrational!" "Why are prices so much higher in Canada?" "PEOPLE ARE IRRATIONAL!" "What explains the equity premium puzzle?" "PEOPLE ARE IRRATIONAL!" etc.
Why have double rooms in residence?
One of the little known differences between Canada and the U.K. is the design of university residence rooms. Rooms in British university residences are usually singles. Canadian universities typically have a mix, including a good number of double rooms, with the percentage of doubles varying from campus to campus. Students, typically, prefer singles to doubles. […]
The behavioural economist’s dilemma: induction versus deduction
This summer I went to a conference for behavioural economists and economic psychologists. The presentations were entertaining. Did you know that when coffee is given a fair trade label, people say it tastes better, even if it's just regular coffee? And fair trade coffee, without the fair trade label, doesn't taste as good?* Did you […]
Worthwhile Canadian Initiative 
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