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Behavioral Law and Economics

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  • Sunstein,Cass R.

Abstract

This exciting volume marks the birth of a new field, one which attempts to study law with reference to an accurate understanding of human behavior. It reports new findings in cognitive psychology which show that people are frequently both unselfish and over-optimistic; that people have limited willpower and limited self-control; and that people are 'boundedly' rational, in the sense that they have limited information-processing powers, and frequently rely on mental short-cuts and rules of thumb. Understanding this behavior has large-scale implications for the analysis of law, in areas including environmental protection, taxation, constitutional law, voting behavior, punitive damages for civil rights violations, labor negotiations, and corporate finance. With a better knowledge of human behavior, it is possible to predict the actual effects of law, to see how law can promote society's goals, and to reassess the questions of what law should be doing.

Suggested Citation

  • Sunstein,Cass R. (ed.), 2000. "Behavioral Law and Economics," Cambridge Books, Cambridge University Press, number 9780521667432, January.
    • Handle: RePEc:cup:cbooks:9780521667432
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    Cited by:

    1. Shara Monteleone & Rene van Bavel & Nuria Rodríguez-Priego & Gabriele Esposito, 2015. "Nudges to Privacy Behaviour: Exploring Alternative Approaches to EU Data Protection Regulation," JRC Research Reports JRC96695, Joint Research Centre.
    2. van Winden Frans A.A.M. & Ash Elliott, 2012. "On the Behavioral Economics of Crime," Review of Law & Economics, De Gruyter, vol. 8(1), pages 181-213, June.
    3. Margaret Hogg & Geraint Howells & David Milman, 2007. "Consumers in the Knowledge-Based Economy (KBE): What creates and/or constitutes consumer vulnerability in the KBE?," Journal of Consumer Policy, Springer, vol. 30(2), pages 151-158, June.
    4. Marco Fabbri & Michael Faure, 2018. "Toward a “constitution” for behavioral policy-making," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 65(3), pages 241-270, September.
    5. Denis Horvath & Juraj Gazda & Branislav Brutovsky, 2017. "A new bio-inspired, population-level approach to the socioeconomic evolution of dynamic spectrum access services," International Journal of Modern Physics C (IJMPC), World Scientific Publishing Co. Pte. Ltd., vol. 28(05), pages 1-21, May.

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