behavioral insights

Beyond the confines of choice architecture: A critical analysis

Behavioral science units across the world advise policy makers on the use of nudge techniques with the goal to improve health, wealth, and happiness. Nudges use psychology to steer people toward or away from making particular choices by designing …

Communicating relative risk changes with baseline risk: presentation format and numeracy matter

_Background_: Treatment benefits and harms are often communicated as relative risk reductions and increases, which are frequently misunderstood by doctors and patients. One suggestion for improving understanding of such risk information is to also …

Homo heuristicus in the financial world: From risk management to managing uncertainty

What--if anything--can psychology and decision science contribute to risk management in financial institutions? The turmoils of recent economic crises undermine the assumptions of classical economic models and threaten to dethrone Homo oeconomicus, …