Includes bibliographical references and index.

Ch. 1. Rationality, irrationality, and rationalization --
Pt. 1. Consumer purchasing decisions --
Ch. 2. Transaction utility and consumer pricing --
Ch. 3. Mental accounting --
Ch. 4. Status quo bias and default options --
Ch. 5. The winner’s curse and auction behavior --
Pt. 2. Information and uncertainty --
Ch. 6. Bracketing decisions --
Ch. 7. Representativeness and availability --
Ch. 8. Confirmations and overconfidence --
Ch. 9. Decision under risk and uncertainty --
Ch. 10. Prospect theory and decision under risk or uncertainty --
Pt. 3. Time discounting and the long and short run --
Ch. 11. Disagreeing with ourselves: projection and hindsight biases --
Ch. 12. Naïve procrastination --
Ch. 13. Committing and uncommitting --
Pt. 4. Social preferences --
Ch. 14. Selfishness and altruism --
Ch. 15. Fairness and psychological games --
Ch. 16. Trust and reciprocity.

Introduction to Behavioral Economics is focused on the broad principles of behavior, which are illustrated using real-world examples from experimental literature as well as experiential examples. Real-world examples are drawn from news items, historical accounts and the economics literature. Experimental examples are drawn from the economics literature. These examples are discussed providing explanatory figures and interpretations. With the rise of both behavioral finance and behavioral industrial organization, undergraduates now clamor for formal training and instruction in behavioral economics. Introduction to Behavioral Economics covers all the ways consumers and other economic agents behave in nonrational manner and prepares readers to make rational economic choices. This text provides experiments as a set of examples of the broader principles of behavior.