Lecture #14.pdf - Coin Flips and Cognitive Biases Economics 4374(Econ 4374 Lecture 14 1 36 Outline 1 Announcements 2 Nobel Prize 3 Research and PhDs

Lecture #14.pdf - Coin Flips and Cognitive Biases Economics...

This preview shows page 1 - 9 out of 36 pages.

Coin Flips and Cognitive Biases Economics 4374 October 15, 2019 (Econ 4374) Lecture 14 October 15, 2019 1 / 36
Image of page 1
Outline 1 Announcements 2 Nobel Prize! 3 Research and PhDs Research Opportunities 4 Coin Flips Assignment 7 Flipping A LOT of (virtual) coins Digits 5 Bayes’ Rule 6 Other Ways of Writing Bayes’ Rule (Econ 4374) Lecture 14 October 15, 2019 2 / 36
Image of page 2
Announcements Announcements We’ll go over the exam in class on Thursday Assignment 8 posted. due Tuesday, October 22 Design an experiment that could be done in class. Be creative! (Econ 4374) Lecture 14 October 15, 2019 3 / 36
Image of page 3
Nobel Prize! Nobel Prize! Behavioral? Yes! (Econ 4374) Lecture 14 October 15, 2019 4 / 36
Image of page 4
Nobel Prize! Nobel Prize: Duflo and Kremer (and Robinson) “Nudging Farmers to Use Fertilizer” Issue: Farmers in Kenya weren’t using fertilizer (much) even though 1) return on investment was very high, and 2) farmers stated that they planned to use it Theory: Procrastinating, partially naive about it Nudge: Offer small, time-limited discount on cost of acquiring fertilizer (free delivery) just after harvest Result: Increased take-up and yield. (Econ 4374) Lecture 14 October 15, 2019 5 / 36
Image of page 5
Nobel Prize! Nobel Prize: Duflo and Banerjee (and Glennerster and Kothari) “Improving immunisation coverage in rural India: clustered randomised controlled evaluation of immunisation campaigns with and without incentives” Issue: Despite free and available vaccines (at clinics and at monthly immunisation camps), lots of kids in India not fully vaccinated. Theory: Procrastinating, partially naive about it Nudge: Offer small incentive (raw lentils and metal plates) for complete immunisation Result: (Econ 4374) Lecture 14 October 15, 2019 6 / 36
Image of page 6
Nobel Prize! Take-up of preventive health products in developing countries Why? (Econ 4374) Lecture 14 October 15, 2019 7 / 36
Image of page 7
Nobel Prize! Nobel Prize: Kremer (and many others) (borrowed from Handbook on Behavioral Development Economics, Kremer, Rao, and Schillbach) Issue: Under-investment in high-return preventive health opportunities (eg: vaccines, deworming, mosquito nets, water treatment, etc.) I High price-sensitivity, even with big benefits: I Huge costs of treatment for acute conditions, paid F Suggests that liquidity constraints can’t explain all. Why?
Image of page 8
Image of page 9

You've reached the end of your free preview.

Want to read all 36 pages?

  • Fall '17
  • Willa Friedman

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes
A+ icon
Ask Expert Tutors