Overview
Behavioral economics provides valuable insights into how psychological factors influence environmental decision-making. By understanding concepts like nudges, incentives, and social norms, policymakers can design more effective environmental policies that encourage sustainable behavior. This approac...
Key Terms
Example: Placing recycling bins next to trash cans encourages recycling.
Example: Tax credits for solar panel installation.
Example: People are more upset about losing $10 than they are happy about gaining $10.
Example: Recycling is seen as a socially responsible behavior in many communities.
Example: Using reminders to encourage energy-saving actions.
Example: Policies that limit carbon emissions from factories.
Related Topics
Sustainable Development
Focuses on meeting present needs without compromising future generations, integrating economic, social, and environmental goals.
intermediatePsychology of Decision Making
Explores how psychological factors affect choices, including biases and heuristics.
intermediateEnvironmental Economics
Studies the economic impacts of environmental policies and the costs of environmental degradation.
advancedKey Concepts
NudgesIncentivesLoss AversionSocial Norms