Competition, incentives, and belief formation (B01)

• Subject Area: Economic Theory
• Term: since 2017
• Project identifier: Deutsche Forschungsgemeinschaft (DFG) - Project number 280092119

In the first funding period, we analyzed how some important behavioral biases affect individual behavior in competitive settings. In the second funding period, we want to build on our previous work and go into two complementary new directions. First, we want to extend our analysis of the effects of non-standard preferences and belief biases to organizational change in firms in competitive environments, and to political economy issues of climate change. Second, we want to better understand how belief biases are formed and how they can persist if there are opportunities to learn from past mistakes. We will continue combining theoretical research with experimental studies.

• DFG Programme: CRC/Transregios
• Subproject of: TRR 190: Rationality and Competition: The Economic Performance of Individuals and Firms
• Applicant Institution: Humboldt-Universität zu Berlin
• Project Heads: Dr. Takeshi Murooka, until 3/2018; Professor Dr. Klaus Schmidt; Dr. Yves Le Yaouanq, until 9/2021