Projects per year
Abstract
Behavioural Economics (BE) acknowledges that individuals often make choices that are not entirely rational. The UK Competition and Markets Authority and Financial Conduct Authority have recently highlighted the relevance of BE. This article explains the difference it makes to the economic analysis of competition and why it is seen as particularly relevant to financial product markets. BE is already being used to frame and test theories of harm. It also brings experimental techniques to the analytical toolkit. The current approach is illustrated with examples from recent and ongoing cases. Finally, the risks of over-intervention and unintended harm from inappropriate remedies are highlighted.
| Original language | English |
|---|---|
| Pages (from-to) | 141-151 |
| Number of pages | 11 |
| Journal | Competition Law Journal |
| Volume | 14 |
| Issue number | 2 |
| Publication status | Published - 16 Jun 2015 |
Keywords
- Behavioural economics
- competition policy
- financial product markets
Projects
- 1 Finished
-
CCP Centre for Competition Policy Phase 2 (2009-14)
Hviid, M., Akman, P., Davies, S., Hargreaves-Heap, S., Harker, M., Kassim, H., Lyons, B., Stephan, A., Sugden, R., Waddams, C., Wadlow, C., Zizzo, D., Allen-Rogers, D., Allen-Rogers, D. & Allen-Rogers, D.
Economic and Social Research Council
1/09/09 → 30/11/14
Project: Research
Research output
- 1 Book
-
Behavioural Economics in Competition and Consumer Policy
Mehta, J. (ed.), Fatas, E., Fletcher, A., Hargreaves-Heap, S., Harker, M., Hanretty, C., Hviid, M., Lyons, B., Mariuzzo, F., Sugden, R., Waddams, C., Zhu, M. & Mehta, J., 2013, ESRC Centre for Competition Policy. 120 p.Research output: Book/Report › Book