Bridging Theory and Practice: Integrating Experimental Economics into Behavioral Economics Education

In a groundbreaking initiative, the Laboratory of Experimental Economics (LEE) took center stage in enriching the learning experience of students enrolled in the Behavioral Economics course (5IE462). The seminar held in March not only showcased the practical applications of economic theory but also provided students with a hands-on exploration of traditional economic games, propelling their understanding of behavioral economics to new heights.

The seminar offered students the unique opportunity to immerse themselves in a series of renowned economic games, including the Dictator Game, the Ultimatum Game, and the Trust Game, among others. These games served as powerful tools for illustrating key behavioral concepts and decision-making processes, offering invaluable insights into human behavior within economic contexts.

What set this seminar apart was the innovative approach to student motivation. While traditional experiments often rely on financial incentives to drive participation, this seminar introduced a novel incentive structure. Instead of monetary rewards, students had the chance to earn extra points for the course itself—a departure from the norm that proved to be exceptionally motivating.

The feedback from participants was overwhelmingly positive, with students expressing genuine enthusiasm for the interactive enrichment provided by the seminar. By actively engaging in the games and subsequent discussions, students were able to not only grasp theoretical concepts more profoundly but also develop a deeper appreciation for the complexities of human decision-making.

The success of this initiative underscores the importance of experiential learning in enhancing the educational experience and fostering a deeper understanding of behavioral economics principles. As the field continues to evolve, initiatives like these are instrumental in equipping students with the skills and insights needed to navigate the complexities of economic decision-making in the modern world.