Found 59 article(s) for author 'Cass Sunstein'

Heuristics and Public Policy: Decision Making Under Bounded Rationality

Heuristics and Public Policy: Decision Making Under Bounded Rationality. Cass Sunstein, June 18, 2018, Paper, “How do human beings make decisions when, as the evidence indicates, the assumptions of the Bayesian rationality approach in economics do not hold? Do human beings optimize, or can they? Several decades of research have shown that people possess a toolkit of heuristics to make decisions under certainty, risk, subjective uncertainty, and true uncertainty (or Knightian uncertainty). We outline recent advances in knowledge about the use of heuristics and departures from Bayesian rationality, with particular emphasis on growing formalization of those departures, which add necessary precision.” Link

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Irreparability as Irreversibility

Irreparability as Irreversibility. Cass Sunstein, 2018, Paper, “Some things, people say, are “gone forever.” But what exactly does that mean? Some losses are irreparable in the sense that nothing can be done to restore the status quo ante – or if something can be done, it is not enough (or perhaps outsiders can never know if it is). The Irreversible Harm Precautionary Principle takes the form of an insistence on paying a premium to freeze the status quo and to maintain flexibility for the future, while new information is acquired. In many settings, it makes sense to pay for an option to avoid a risk of irreversible losses. An implicit understanding of option value can be found in the emphasis on irreversibility in National Environmental Policy Act and other federal statutes, along with many international agreements.” Link

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Which Europeans Like Nudges? Approval and Controversy in Four European Countries

Which Europeans Like Nudges? Approval and Controversy in Four European Countries. Cass Sunstein, January 29, 2018, Paper, “Policy makers show an increasing interest in “nudges”—behaviorally motivated interventions that steer people in certain directions but maintain freedom of consumer choice. Despite this interest, little evidence has surfaced about which population groups support nudges and nudging. We report the results of nationally representative surveys in Denmark, Hungary, Italy, and the United Kingdom. Individual, household, and geographic characteristics served as predictors of nudge approval, and the count of significant predictors as measures of controversy.Link

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Should Governments Invest More in Nudging?

Should Governments Invest More in Nudging? John Beshears, Cass Sunstein, August 2017, Paper, “Governments are increasingly adopting behavioral science techniques for changing individual behavior in pursuit of policy objectives. The types of “nudge” interventions that governments are now adopting alter people’s decisions without coercion or significant changes to economic incentives. We calculated ratios of impact to cost for nudge interventions and for traditional policy tools, such as tax incentives and other financial inducements, and we found that nudge interventions often compare favorably with traditional interventions. We conclude that nudging is a valuable approach that should be used more often in conjunction with traditional policies, but more calculations are needed to determine the relative effectiveness of nudging.Link

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Deregulating Is Not So Easy

Deregulating Is Not So Easy. Cass Sunstein, July 25, 2017, Opinion, “In what sounded like a major announcement, the Trump administration last week highlighted numbers showing it was making big strides in controlling regulations. It is true that the pace of rulemaking has slowed dramatically. Thus far, the Office of Information and Regulatory Affairs has approved just 41 regulations, meaning that we might see fewer than 100 in all of 2017. That would be less than one-fifth of the average under the most recent Republican president, George W. Bush.” Link

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Should Governments Invest More in Nudging?

Should Governments Invest More in Nudging? Cass Sunstein, June 5, 2017, Paper, “Governments are increasingly adopting behavioral science techniques for changing individual behavior in pursuit of policy objectives. The types of “nudge” interventions that governments are now adopting alter people’s decisions without coercion or significant changes to economic incentives. We calculated ratios of impact to cost for nudge interventions and for traditional policy tools, such as tax incentives and other financial inducements, and we found that nudge interventions often compare favorably with traditional interventions. We conclude that nudging is a valuable approach that should be used more often in conjunction with traditional policies, but more calculations are needed to determine the relative effectiveness of nudging.Link

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Human Agency and Behavioral Economics Nudging Fast and Slow

Human Agency and Behavioral Economics: Nudging Fast and Slow. Cass Sunstein, 2017, Book, “This groundbreaking series is designed to make available in book form unique behavioral economic contributions. It provides a publishing opportunity for behavioral economist authors who have a novel perspective and have developed a special ability to integrate economics with other disciplines. It will allow these authors to fully develop
their ideas. In general, it is not a place for narrow technical contributions. Theoretical/conceptual, empirical, and policy contributions are all
welcome.Link

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Trump’s Safe and Sane ‘Regulatory Reform’ Idea

Trump’s Safe and Sane ‘Regulatory Reform’ Idea. Cass Sunstein, March 3, 2017, Opinion, “In one of his few statements since joining government, presidential adviser Stephen Bannon announced that one of the Trump administration’s principal goals was “the deconstruction of the administrative state.” Given the critical role of federal agencies in protecting public health and safety, that’s pretty provocative. But President Donald Trump’s latest action suggests that reform is the aim, rather than deconstruction — and the reform might even turn out to be reasonable.Link

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