Discover the concept of homo economicus, its origins, and why it's essential in economics. Explore its rational decision-making model and its limitations today.

In a previous post, we considered three of seven "irrational" habits of highly rational people. Here we consider the remaining four, as well as some suggestions for distinguishing the genuinely ...

New research on chimpanzees is forcing scientists to rethink where the line between human and animal minds really lies. In carefully designed experiments, chimps are not just grabbing at treats or ...

Explore the sunk cost dilemma, a key financial concept impacting decisions on investing in failing projects. Learn how to manage it with real-world examples and insights.

Warner Bros. Discovery CFO Gunnar Wiedenfels enraged strikers with remarks about the company's cost savings in an earnings call. (Photo by David Livingston/Getty Images) As Warner Bros. Discovery’s ...

Be they small or big, simple or complex, we are constantly making decisions every waking hour of our lives. But are our decisions rational or irrational? Are they always made in our best interests? In ...

A “gut feeling” emerges when information and experience work together with efficiency and accuracy. Here’s how you can sharpen your intuition for better decision-making. Risk is inherent in making ...

Loïc Berger receives funding from the Agence Nationale de la Recherche (ANR) under the project INDUCED (ANR-17-CE03-0008-01). Loïc Berger is associate researcher at the European Institute on Economics ...