Methodological Approaches to Teaching Behavioral Economics

Scientific Proceedings of  Vanadzor State University Humanitarian and Social Sciences (ISSN 2738-2915)        

2023 vol 2

Methodological Approaches to Teaching Behavioral Economics

 Hrayr Papoyan


Key words: new behavioral economics, models of behavioral economics, rational behavior, paradoxes, the effect of control (endowment effect), games of justice

 The economy is a living organism because it is managed by an economic man, but the assertion that human behavior is purely rational is rejected by modern researchers. As rational and irrational components of human choice move into the economy, they significantly influence market relations. To better understand the essence of people as subjects of the economy, it is necessary to thoroughly understand their economic behavior, to identify the reasons and consequences of making the certain economic decision. Based on the findings of the researchers in the field of behavioral economics, subjects of market relations cannot be manipulated by major market players or pressure from the majority, thereby controlling and successfully froming their behavior. The researches of leading scientists in the field of behavioral economics, their developed business games and teaching methodologies were studied in article. Teaching behavioral economics, as a separate university course, will help students acquire more up-to-date knowledge and skills.