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Rethinking Human Behavior in Economics: Insights from Thaler and Imas

1 min read
Source: NPR
Rethinking Human Behavior in Economics: Insights from Thaler and Imas
Photo: NPR
TL;DR

The Winner's Curse occurs when the winners of auctions or bidding wars tend to overpay and end up paying more than the item's worth, a phenomenon observed across various markets and domains. Richard Thaler, a pioneer in behavioral economics, highlights how irrational bidding behavior leads to this curse and offers advice to avoid it, emphasizing cautious bidding especially in competitive environments with many bidders.

Topics:entertainmenteconomics#auction-behavior#behavioral-economics#bidding-wars#economics#overpayment#winners-curse
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  1. How to avoid 'The Winner’s Curse' : Planet Money  NPR
  2. What economics gets wrong about human behaviour, with Richard Thaler  Financial Times
  3. Behavioral Economics, Then and Now: A Conversation With Alex Imas  Behavioral Scientist
  4. Transcript: What economics gets wrong about human behaviour, with Richard Thaler  Financial Times

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