Nobel Prizing Winning Economist, Kenneth Arrow On Behavioral Econ
I have to admit, I don’t agree with completely with Arrow’s view of behavioral economics. Sure behavioral economics doesn’t provide normative predictions but it does add a layer of understanding that is absent in many neoclassical theories. Regardless, I recommend reading this interview, Arrow is a bright chap and has some brilliant insights on health care, economics, and greed.
My Favorite Questions:
Q. This time around it seems like you hear a lot of dissatisfaction with the rational expectations model. What do you think of behavioral economics?
Q. And if one explanation is the professional standards, why do you think the professional standards have changed?
Q. And on the spectrum of possible solutions to climate change, where would you position yourself?