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Behavioral Economics
A field of economics that examines the effects of psychological, cognitive, emotional, cultural, and social factors on economic decisions.
Neoclassical Economic Model
An economic theory that focuses on how the equilibrium state of markets is reached through supply and demand forces, emphasizing utility maximization and profit maximization.
Behavioral Economics
A field of economics that studies the effects of psychological, cognitive, emotional, cultural, and social factors on the economic decisions of individuals and institutions.
Overconfidence Effect
The bias where an individual's subjective confidence in their judgments is greater than their objective accuracy.
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