behavioral economics: Foundations, applications and contemporary perspectives of economics

The book offers a comprehensive overview of behavioral economics, explaining how real human decisions depart from classical rationality due to cognitive biases, emotions, heuristics, social pressure, and time and attention constraints. He presents the psychological foundations of decision making, such as Prospect Theory and bounded rationality, which show why people judge gains and losses unequally and resort to mental shortcuts. It also discusses how these processes influence consumption, finance, value perception, organizational behavior and leadership. The text highlights the importance of nudges and choice architecture as strategies that improve decisions in health, education, savings and sustainability without restricting options. Finally, it discusses how behavioral sciences strengthen the design of more effective, humane and evidence-based public policies.