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Pre-course Recommended Reading Kahneman, D. (2003). Maps of Bounded Rationality: Psychology for Behavioral Economics. The American Economic Review, 93(5), 1449-1475. Camerer, C. (1999). Behavioral Economics: Reunifying Psychology and Economics. PNAS, 96, 10575-1057. Kenrick, D. T., Griskevicius, V., Sundie, J. M., Li, N. P., Li, Y. J., & Neuberg, S. L. (2009). Deep Rationality: The Evolutionary Economics of Decision Making. Social Cognition, 27(5), 764-785. Sunstein, C. (2012, in press). The Storrs Lectures: Behavioral Economics and Paternalism. Yale Law Journal. Ashraf, N., Camerer, C. F., & Loewenstein, G (2005). Adam Smith, Behavioral Economist. Journal of Economic Perspectives, 19 (3), 131145. Uchitelle, L. (2001, February 11). Following the Money, But also the Mind. The New York Times. Belluck, P. (2011, January 20). To Really Learn, Quit Studying and Take a Test. The New York Times.
Week 1: Irrationality
Week 1 "Required" Reading Ariely, D. & Norton, M. I. (2008). How actions createnot just reveal preferences. Trends in Cognitive Sciences, 12(1). (Working paper version.) Ariely, D., Loewenstein, G., & Prelec, D. (2005). Tom Sawyer and the construction of value. Journal of Economic Behavior & Organization, 60(1). (Working paper version.) Tetlock, P. E., & Mellers, B. A. (2002). The great rationality debate. Psychological Science, 13(1), 94-99. Copyright is by permission of the American Psychological Society. Johnson, E., & Goldstein, D. (2003). Do defaults save lives? Science, 302(5649), 1338-1339. Davidai, S., Gilovich, T., & Ross, L.D. (2012). The meaning of default options for potential organ donors. PNAS, 109(38), 15201-15205.
Week 1 Recommended Reading Rabin, M. (1998). Psychology and Economics. Journal of economic literature, 36(1), 11-46. Brenner, L., Rottenstreich, Y., & Sood, S. (1999). Comparison, Grouping, and Preference. Psychological Science, 10(3), 225-229. Copyright is by permission of the American Psychological Society. Johansson, P., Hall, L., Sikstrm, S., & Olsson, A. (2005). Failure to Detect Mismatches Between Intention and Outcome in a Simple Decision Task. Science, 310(5745), 116-119. Simon, D., Krawczyk, D. C., & Holyoak, K. J. (2004). Construction of Preferences by Constraint Satisfaction. Psychological Science, 15(5), 331- 336. Copyright is by permission of the American Psychological Society. Amir, O. & Levav, J. (2008). Choice Construction versus Preference Construction: the Instability of Preferences Learned in Context. Journal of Marketing Research, 45(2). (Working paper version.) Ariely, D., Loewenstein, G.F. & Prelec, D. (2003) Coherent Arbitrariness: Stable Demand Curves without Stable Preferences. The Quarterly Journal of Economics, 118(1), 73-106. Pope, D., & Simonsohn, U. (2011). Round Numbers as Goals: Evidence from Baseball, SAT takers, and the Lab. Psychological Science, 22(1), 71-79. Copyright is by permission of the American Psychological Society. Gottlieb, D. A., Weiss, T., & Chapman, G. B. (2007). The Format in which Uncertainty Information is Presented Affects Decision Biases. Psychological Science, 18(3), 240-246. Copyright is by permission of the American Psychological Society. Levav, J., & Fitzsimons, G. J. (2006). When Questions Change Behavior: the Role of Ease of Representation. Psychological Science, 17(3), 207-213. Copyright is by permission of the American Psychological Society. Peder, Z. (2013, February 11). In Pursuit of Taste, en Masse. The New York Times.
Week 2: Psychology of Money
Week 2 "Required" Reading Shah, A. M., & Wolford, G. (2007). Buying Behavior. Psychological Science, 18(5), 369-370. Frederick, S., Novemsky, N., Wang, J., Dhar, R., & Nowlis, S. (2009). Opportunity Cost Neglect. Journal of Consumer Research, 36(4), 553-561. Vohs, K. D., Mead, N. L., & Goode, M. R. (2006). The Psychological Consequences of Money. Science, 314(5802), 1154-1156.
Week 2 Recommended Reading Spiller, S. A. (2011). Opportunity Cost Consideration. Journal of Consumer Research, 38(4), 595-610. Magen, E., Dweck, C. S., & Gross, J. J. (2008). The Hidden-Zero Effect: Representing a Single Choice as an Extended Sequence Reduces Impulsive Choice. Psychological Science, 19(7), 648-649. Mogilner, C. (2010). The Pursuit of Happiness: Time, Money, and Social Connection. Psychological Science, 21(9), 1348-1354. Boyce, C. J., Brown, G. D., & Moore, S. C. (2010). Money and Happiness: Rank of Income, not Income, Affects Life Satisfaction. Psychological Science, 21(4), 471-475. Quoidbach, J., Dunn, E. W., Petrides, K. V., & Mikolajczak, M. (2010). Money Giveth, Money Taketh Away: The Dual Effect of Wealth on Happiness. Psychological Science, 21(6), 759-763. Maddux, W. W., Yang, H., Falk, C., Adam, H., Adair, W., Endo, Y., Carmon, Z., & Heine, S. J. (2010). For Whom is Parting with Possessions more Painful? Cultural Differences in the Endowment Effect. Psychological Science, 21(12), 1910-1917. Iyengar, S.S., Wells, R.E., & Schwartz, B. (2006). Doing Better but Feeling Worse: Looking for the Best Job Undermines Satisfaction. Psychological Science, 17(2), 143150. Weber, B., Rangel, A., Wibral, M., Falk, A., & Akerlof, G. A. (2009). The Medial Prefrontal Cortex Exhibits Money Illusion. PNAS, 106(13), 5025-5028. Frank, R. (2011, May 14). Why Worry? Its Good for You. The New York Times. Nocera, J. (2012, April 27). My Faith-based Retirement. The New York Times. Surowiecki, J. (2012, June 4). The Fairness Trap. The New Yorker.
Week 3: Dishonesty
Week 3 "Required" Reading Mazar, N., Amir, O., & Ariely, D. (2008). The Dishonesty of Honest People: A Theory of Self-concept Maintenance. Journal of marketing research, 45(6), 633-644. Gino, F., Ayal, S., & Ariely, D. (2009). Contagion and Differentiation in Unethical Behavior: The Effect of One Bad Apple on the Barrel. Psychological Science, 20(3), 393-398. Copyright is by permission of the American Psychological Society. Yang, Y., Raine, A., Lencz, T., Bihrle, S., LaCasse, L., & Colletti, P. (2005). Prefrontal White Matter in Pathological Liars. British Journal of Psychiatry, 187, 320-325. Copyright is by permission of the British Psychological Society. Zhong, C. & Liljenquist, K. (2006). Washing away your sins: Threatened morality and physical cleansing. Science, 313(5792), 1451-1452. Shalvi, S., Dana, J., Handgraaf, M., & De Dreu, C. (2011). Justified Ethicality: Observing Desired Counterfactuals Modifies Ethical Perceptions and Behavior. Organizational Behavior and Human Decision Processes, 115(2), 181-190.
Week 3 Recommended Reading Gino, F. & Galinsky, A. (2012). Vicarious dishonesty: When psychological closeness creates distance from ones moral compass. Organizational Behavior and Human Decision Processes, 119, (1), 1526. Vohs, K. D. & Schooler, J. W. (2008). The Value of Believing in Free Will: Encouraging a Belief in Determinism Increases Cheating. Psychological Science, 19(1), 49-54. Copyright is by permission of the American Psychological Society. Dijksterhuis, A., Preston, J., Wegner, D. M., & Aarts, H. (2008). Effects of Subliminal Priming of Self and God on Self-attribution of Authorship for Events. Journal of Experimental Social Psychology, 44(1), 2-9. Wang, C. S., Galinsky, A. D., & Murnighan, J. K. (2009). Bad Drives Psychological Reactions, but Good Propels Behavior Responses to Honesty and Deception. Psychological Science, 20(5), 634-644. Copyright is by permission of the American Psychological Society. Mazar, N., & Zhong, C. B. (2010). Do Green Products Make us Better People? Psychological Science, 21(4), 494-498. Copyright is by permission of the American Psychological Society. Gino, F., Norton, M. I., & Ariely, D. (2010). The Counterfeit Self: The Deceptive Costs of Faking It. Psychological Science, 21(5), 712-720. Copyright is by permission of the American Psychological Society. Chance, Z., Norton, M. I., Gino, F., & Ariely, D. (2011). Temporal View of the Costs and Benefits of Self-deception. PNAS, 15655-15659. Brooks, D. (2012, June 12). The Moral Diet. The New York Times. Surowiecki, J. (2012, July 30). Bankers Gone Wild. The New Yorker. Pearlstein, J. (2012, June 22). Why we Lie, Go to Prison, and Eat Cake: 10 Questions with Dan Ariely. Wired.
Week 4: Labor and Motivation
Week 4 "Required" Reading Anik, L., Aknin, L., Norton, M., & Dunn, E. (Working Paper). Feeling Good about Giving: The Benefits (and Costs) of Self-interested Charitable Behavior. Harvard Business School Marketing Unit Working Paper, (10-012). Mochon, D., Norton, M. I., & Ariely, D. (2012). Bolstering and Restoring Feelings of Competence via the IKEA Effect. Intern. J. of Research in Marketing, 29, 363369. Ariely, D., Gneezy, U., Loewenstein, G., & Mazar, N. (2009). Large Stakes and Big Mistakes. Review of Economic Studies, 76, 451-469. Heyman, J., & Ariely, D. (2004). Effort for Payment: A Tale of Two Markets. Psychological Science, 15(11), 787-793. Copyright is by permission of the American Psychological Society. Ariely, D., Kamenica, E. & Prelec, D. (2008). Mans Search for Meaning: The Case of Legos. Journal of Economic Behavior and Organization, 67, 671-677.
Week 4 Recommended Reading DeVoe, S. E. & Iyengar, S. S. (2010). Medium of Exchange Matters: Whats Fair for Goods is Unfair for Money. Psychological Science, 21(2), 159-162. Copyright is by permission of the American Psychological Society. Haisley, E., & Loewenstein, G. (2011). It's not what you get but when you get it: The effect of gift sequence on deposit balances and customer sentiment in a commercial bank. Journal of Marketing Research, 48(1), 103- 115. Ariely, D., Bracha, A., & Meier, S. (2009). Doing Good or Doing Well? Image Motivation and Monetary Incentives in Behaving Prosocially. The American Economic Review, 99(1), 544-555. Woolhandler, S., Ariely, D., & Himmelstein, D. U. (2012). Why Pay for Performance may be Incompatible with Quality Improvement. BMJ: British Medical Journal, 345. Beilock, S. L. & Carr, T. H. (2005). When High-powered People Fail: Working Memory and Choking Under Pressure in Math. Psychological Science, 16(2), 101-105. Copyright is by permission of the American Psychological Society. Porter, E. (2005, April 12). Can Shortcuts be a Force for Thrift? The New York Times. Ariely, D. (2008, November 19). Whats the Value of a Big Bonus? The New York Times.
Week 5: Self-control
Week 5 "Required" Reading Ariely, D., & Wertenbroch, K. (2002). Procrastination, Deadlines, and Performance: Self-control by Precommitment. Psychological Science, 13(3), 219-224. Copyright is by permission of the American Psychological Society. Moffitt, T. E., Arseneault, L., Belsky, D., Dickson, N., Hancox, R. J., Harrington, H., ... & Caspi, A. (2011). A Gradient of Childhood Self-control Predicts Health, Wealth, and Public Safety. PNAS, 108(7), 2693-2698. McClure, S. M., Laibson, D. I., Loewenstein, G., & Cohen, J. D. (2004). Separate Neural Systems Value Immediate and Delayed Monetary Rewards. Science, 306(5695), 503-507. Trope, Y., & Fishbach, A. (2000). Counteractive Self-control in Overcoming Temptation. Journal of Personality and Social Psychology, 79(4), 493-506. Copyright is by permission of the American Psychological Society. Keeney, R. L. (2008). Personal Decisions are the Leading Cause of Death. Operations Research, 56(6), 1335-1347. Copyright is by permission of the Institute for Operations Research and the Management Sciences.
Week 5 Recommended Reading Papies, E. K. (2012). Goal Priming in Dieters: Recent Insights and Applications. Current Obesity Reports, 1, 99-105. Myrseth, K. O.R., Fishbach, A., & Trope, Y. (2009). Counteractive Self- Control. Psychological Science, 20, 159-163. Copyright is by permission of the American Psychological Society. Patrick, V., Chun, H. E., & MacInnis, D. (2009). Affective Forecasting and Self-control: When Anticipating Pride Wins over Anticipating Shame in a Self- regulation Context. Journal of Consumer Psychology, 19(3) Erskine, J. A., Georgiou, G. J., & Kvavilashvili, L. (2010). I Suppress, therefore I Smoke: Effects of Thought Suppression on Smoking Behavior. Psychological Science, 21(9), 1225-1230. Copyright is by permission of the American Psychological Society. Wansink, B., Painter, J. E., & North, J. (2005). Bottomless Bowls: Why Visual Cues of Portion Size may Influence Intake. Obesity Research, 13(1), 93-100. Danziger, S. Levav, J. Avnaim-Pesso. L. (2011). Extraneous Factors in Judicial Decisions. PNAS 108(17), 6889-6892. Nordgren, L. F., & Chou, E. Y. (2011). The Push and Pull of Temptation: The Bidirectional Influence of Temptation on Self-control. Psychological Science, 22(11), 1386-1390. Copyright is by permission of the American Psychological Society. Ackerman, J. M., Goldstein, N. J., Shapiro, J. R., & Bargh, J. A. (2009). You wear me out: The vicarious depletion of self-control. Psychological Science, 20(3), 326-332. Copyright is by permission of the American Psychological Society. Rachlin, H. (1990). Why do People Gamble and Keep Gambling Despite Heavy Losses? Psychological Science, 1(5), 294-297. Copyright is by permission of the American Psychological Society. Eigsti, I. M., Zayas, V., Mischel, W., Shoda, Y., Ayduk, O., Dadlani, M. B., ... & Casey, B. J. (2006). Predicting Cognitive Control from Preschool to Late
Adolescence and Young Adulthood. Psychological Science, 17(6), 478-484. Copyright is by permission of the American Psychological Society. Kober, H., Mende-Siedlecki, P., Kross, E. F., Weber, J., Mischel, W., Hart, C. L., & Ochsner, K. N. (2010). Prefrontalstriatal Pathway Underlies Cognitive Regulation of Craving. PNAS, 107(33), 14811-14816. Caldwell, C. (2004, March 1). Select All: Can you have too many choices? The New Yorker. Pinker, S. (2011, September 4). The Sugary Secret of Self Control. The New York Times. Bakalar, N. (2012, February 13). Options Play a Role in Healthier Choices. The New York Times.
Week 6: Emotion
Week 6 "Required" Reading Slovic, P., Zionts, D., Woods, A., Goodman, R., & Jinks, D. (2011). Psychic Numbing and Mass Atrocity. In Shafir, E. (ed.), The Behavioral Foundations Of Policy (11-56). Gigerenzer, G. (2004). Dread Risk, September 11, and Fatal Traffic Accidents. Psychological Science, 15(4), 286-287. Copyright is by permission of the American Psychological Society. Gilbert, D. T., Lieberman, M. D., Morewedge, C. K., & Wilson, T. D. (2004). The Peculiar Longevity of Things Not So Bad. Psychological Science, 15(1), 14-19. Copyright is by permission of the American Psychological Society. Loewenstein, G. (2000). Emotions in Economic Theory and Economic Behavior. The American Economic Review, 90(2), 426-432.
Week 6 Recommended Reading Inbar, Y., Pizarro, D., Gilovich, T. & Ariely, D. (2013). Moral Masochism: On the Connection Between Guilt and Self-Punishment. Emotion, 13(1). Andrade, E. B., & Ariely, D. (2009). The Enduring Impact of Transient Emotions on Decision Making. Organizational Behavior and Human Decision Processes, 109(1), 1-8. Gilbert, D. T., Morewedge, C. K., Risen, J. L., & Wilson, T. D. (2004). Looking Forward to Looking Backward: The Misprediction of Regret. Psychological Science, 15(5), 346-350. Copyright is by permission of the American Psychological Society. Cryder, C. E., Lerner, J. S., Gross, J. J., & Dahl, R. E. (2008). Misery is not Miserly: Sad and Self-focused Individuals Spend More. Psychological Science, 19(6), 525-530. Copyright is by permission of the American Psychological Society. McGraw, A. P., & Warren, C. (2010). Benign Violations: Making Immoral Behavior Funny. Psychological Science, 21(8), 1141-1149. Copyright is by permission of the American Psychological Society. Helzer, E. G., & Pizarro, D. A. (2011). Dirty Liberals! Reminders of Physical Cleanliness Influence Moral and Political Attitudes. Psychological Science, 22(4), 517-522. Copyright is by permission of the American Psychological Society. Cohen, J. D. (2005). The Vulcanization of the Human Brain: A Neural Perspective on Interactions Between Cognition and Emotion. The Journal of Economic Perspectives, 19(4), 3-24. Levav, J., & McGraw, A. P. (2009). Emotional Accounting: How Feelings about Money Influence Consumer Choice. Journal of Marketing Research, 46, 66-80 Coates, John (2012, June 10). The Biology of Bubble and Crash. The New York Times.
Post-course Recommended Reading
Amir, O., Ariely, D., Cooke, A., Dunning, D., Epley, N., Gneezy, U., Koszegi, B., Lichtenstein, B., Mazar, N., Mullainathan, S., Prelec, D., Shafir, E. & Silva, J. (2005). Psychology, Behavioral Economics, and Public Policy. Marketing Letters, 16(3). (Working Paper version.) Ariely, D. & Grneisen, A. (2013). How To Turn Consumers Green. McKinsey on Society, Vol. 4. Just, D., Mancino, L., & Wansink, B. (2007). Could Behavioral Economics Help Improve Diet Quality for Nutrition Assistance Program Participants? USDA-ERS Economic Research Report, 43. Camerer, C., Issacharoff, S., Loewenstein, G., O'donoghue, T., & Rabin, M. (2003). Regulation for Conservatives: Behavioral Economics and the Case for 'Asymmetric Paternalism. University of Pennsylvania Law Review, 151(3), 1211-1254. McKenzie, C. R., Liersch, M. J., & Finkelstein, S. R. (2006). Recommendations Implicit in Policy Defaults. Psychological Science, 17(5), 414-420. Copyright is by permission of the American Psychological Society. Timmer, C. P. (2010). Behavioral Dimensions of Food Security. PNAS, 109(31), 12315-12320. Loewenstein, G., Ubel, P (2010, July 14). Economics Behaving Badly. The New York Times. Tritch, T. (2007, February 14). Helping People Help Themselves. The New York Times.