The influence of Cognitive Capacity on corruption.

According to Cognitive psychology,  to understand human decision-making processes (including decisions about acting corruptly) one must look at factors that influence information processing (such as time, mental capacity, and motivation). One must also examine how individuals mentally interpret and organise information by using schemata, the salience of emotions and the importance of social context. Evidence …

Culture and the influences on behaviour

As we know humans on earth are distinguished by lot of differences. The language we speak, the way we dress and food we prefer etc.. Mostly this differences are led back to various types of cultures we live in. We are raised and used to the culture we have been born in and for us …

Natural Resource Wealth and Conflict: How Wealth Can Make You Poor

The prevailing view around 1950s and 1960s was that resource endowments would lead countries to political and economic development and would cooperate for government effectiveness (e.g. increase of accountability, control of corruption and reduction in poverty). Around 1970s economists found this was not the case and rather resource wealth was leading countries to abnormal slow …

Money cannot buy my motivation!

Population growth and the complexity of societies all over the world is expanding in drastic measures. Correspondingly individual freedom and independent reasoning increase with it. This demands careful governance on social matters is more crucial than ever before. Promotion of social and ethical goals needs to contain well-designed incentives for both the individual and the …

Social Trust – Crime nexus

Introduction In a number of theories it is believed that there are variety of factors that cause crime. Some identify crime as a result of moral distortion in society and also increased level of selfishness or negligence in regard to social rules and laws. For individuals it is demonstrated as a lack of self-control (Gottfredson …

Can behavioural Economics influence rates of Savings in Developing Countries

One and a half billion people in the world live in conditions of extreme poverty, surviving on less than $1.25 a day (United Nations, 2010). Explanations as to why these people remain trapped in poverty range from the authoritarian, which contend that the poor are psychologically and attitudinally inferior to other members of society and …

The causes of wage inequalities between men and women with a focus on trends of female participation rates in the labor market

Inequality refers to an unfair situation in society where people are treated unfairly based on the differences in income, occupations, wealth, race, nationality, gender, knowledge, abilities, and so on. Inequality is very prominent among male and female. There are many causes that cause inequality between men and women in labor market, such as: differences  on …

Should we make the poor watch more TV? Opportunities of soap operas to fight poverty

Simplemente Maria. Peruvian telenovela starting in 1969.   Everyone in Germany knows Lindenstraße. It was the first German soap opera and started in 1985. Female emancipation, homosexuality, disability or assisted dying were just some of the issues addressed during the last 30 years of broadcasting with the aim of starting a rethinking process in society. …

Does happiness play any role in the development process of a country?

Nowadays, economics of happiness is a very popular field of economics. This field, according to Stutzer & Frey, uses empirical research to measure the individuals´ well-being. And this measurement tries to capture different aspects of individuals well-being and different concepts of individual welfare. Besides, it identifies income, health, employment and social capital like the most …

Prospect Theory and Reference Points

Expected Utility Theory (EUT), being the very core of economics studies, has loopholes of its own, which specifically arise during the experiments conducted in the attempts to have empirical results. These experiments showed on various occasions that EUT predictions do not hold. This is an indicator that the underlying assumptions of EUT could sometimes be …