Behavioral economics can inform environmental policy from "summary" of Economics of the Environment by Robert N. Stavins
Behavioral economics offers valuable insights that can be applied to the design of environmental policies. By recognizing that individuals do not always act rationally or in their own self-interest, policymakers can better understand the factors that influence behavior and tailor policies accordingly. For example, people may not always respond to financial incentives in the way that traditional economic models predict. Understanding these behavioral biases can help policymakers design more effective and efficient policies. By taking into account how individuals actually make decisions, rather than how they are assumed to make decisions in traditional economic models, policymakers can design policies that are more likely to achieve ...
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