In everyday economic life, the endowment effect is a very frequent occurrence. It describes phenomena wherein person values possession more highly when they own it than do not. At present, psychological mechanism of this phenomenon mainly explained by loss aversion, but theory has great defects. A theoretical area behavioral finance effect. order to analyze traits financial market subjects (dec...

Abstract Over the past decades psychological theories have made significant headway into economics, culminating in 2002 (partially) and 2017 Nobel prizes awarded for work field of Behavioral Economics. Many insights imported from psychology economics share a common trait: presumption that decision makers use shortcuts lead to deviations rational behaviour (the Heuristics-and-Biases program). ec...

This paper explores the relationship bet ween economics and the other social sciences and the implications for public policymaking. There are significant limitations inherent in applying the abstract and fragmentary conclusions Of economics directh to public policy matters without first resynthesizing those conclusions to the larger body of knowledge about human behavior and social structure. T...