To equip students with the advanced theoretical and empirical tools necessary to integrate psy chological realism into formal economic modelling, enabling them to advance the frontier of economic science through rigorous, evidence-based research. 

CLO 1: Appraise the foundational literature and empirical anomalies that delineate systematic deviations from the rational agent model. 

CLO 2: Synthesize non-standard preference axioms with formal microeconomic frameworks to model complex decision-making processes. 

CLO 3: Construct a structurally identified experimental protocol to measure latent behavioral parameters in diverse institutional settings. 

CLO 4: Reformulate traditional economic paradigms by integrating behavioral insights into novel cross-disciplinary research and policy domains. 

Learning

Foundations, Axioms, and Reference Dependence: 

Axiomatic Prospect Theory: Formalizing the S-shaped value function, loss aversion, and the reflection effect. Reference Point Endogeneity: Structural modeling of expectations based reference points (Koszegi-Rabin framework). Salience and Limited Attention: Model ing how local context and stimulus intensity distort decision weights and market outcomes. 

Intertemporal Choice and Bounded Willpower: 

Time Inconsistency: The mathematics of β, δ preferences and the derivation of quasi hyperbolic discounting. Naivety vs. Sophistication: Modeling the demand for commitment devices and the structural estimation of self-control parameters. State-Dependent Prefer ences: Projection bias, temptation utility, and the dynamics of habit formation in life-cycle models. 

Social Preferences and Institutional Behaviour: 

Distributive Justice: Formalizing inequity aversion (Fehr-Schmidt) and the role of social comparison in labor markets. Psychological Game Theory: Modeling reciprocity, guilt aver sion, and intention-based utility in strategic interactions. Trust and Evolutionary Altruism: The institutional impact of social capital and the mechanics of altruistic punishment. 

Non-Bayesian Updating and Belief Formation: 

Heuristics and Biases: Modeling the “Law of Small Numbers,” base-rate neglect, and rep resentativeness in information processing. Ego Utility and Motivated Reasoning: The demand for overconfidence, self-signaling, and the strategic manipulation of beliefs. Infor mation Frictions: Correlation neglect and the propagation of biased beliefs within social and economic networks. 

Experimental Methodology and Identification: 

Experimental Taxonomy: Designing Lab, Artefactual Field, Framed Field, and Natural Field experiments. Structural Identification: Distinguishing between competing behavioral theories using econometric modeling and maximum likelihood estimation. The Replication Frontier: Implementing Pre-Analysis Plans (PAPs), power analysis, and open-science pro tocols to ensure research robustness. 

Behavioural Finance and Market Anomalies: 

Limits to Arbitrage: Formalizing the impact of noise trader risk, fundamental risk, and implementation costs on market efficiency. Asset Pricing Irregularities: Modeling the eq uity premium puzzle, the disposition effect, and long-term momentum/reversal patterns. Speculative Bubbles: Behavioral foundations of asset price bubbles, investor sentiment, and herd behavior in financial markets.