Wednesday, March 30, 2011
Shane O'Mara: Psychology and the Crash
Posted by Liam Delaney
TCD Neuroscience Professor, Shane O'Mara, sketches a number of potential cognitive biases that might have underlay the Irish economic crash in this article (from http://www.irishscience.wordpress.com). Testing the extent to which particular psychological mechanisms can cause macroeconomic fluctuations is a tricky excercise but the article provides much food for thought in terms of potential mechanisms.
Labels: behavioural economics