(mars 2022)

Responsable du cours : Monsieur le professeur Qu Xiangyu

Instructor: Xiangyu QU
Contact Information: xiangyu.qu@u-paris2.fr
Recommended Textbook: Bounded Rationality and Industrial Organization, Ran Spiegler, Ox-
ford University Press.
Suggested Survey Readings:
1. Chapter 6 - Behavioral Industrial Organization, Paul Heidhues and Botond K}oszegi, in: Hand-
book of Behavioral Economics: Applications and Foundations 1.
2. Bounded Rationality in Industrial Organization, Glenn Ellison, in: Advances in economics
and econometrics: theory and applications, ninth World Congress (2).
Course Outline:
Class 1 Loss Aversion and Reference-Point Dependent Preferences
Class 2 Time-inconsistent consumers
Class 3 Markets with boundedly rational or di erentially informed consumers
Class 4 Overcon dence
Class 5 Attention
Grade Policy: attendance, homework and nal exam (or report).
Course Objectives: Behavioral economics has introduced psychological complexity into the stan-
dard economic framework of individual decision making, with the goal of understadning observed
puzzles in market as well as improving the predictive power of models.
Homework: 1 hand-in homeworks due to the next class.
Final Exam or Report: On discussion.