Behavioural economics and policy: New horizons

This introduction piece highlights the evolution of behavioural economics from an emerging field to a mainstream approach. It discusses the development of dedicated research centres, such as the El-Erian Institute at Cambridge, and the expansion of faculty positions worldwide. The growing application of behavioural insights in policy, including sludge audits to reduce administrative burdens, is also detailed. The UN’s behavioural science group now includes over 5,000 members, showcasing behavioural economics’ global influence.

A behavioural economics guide for your workplace

This section explores behavioural economics’ applications in workplace settings, discussing how factors like social networks, referral programs, and mission alignment influence productivity and satisfaction. Studies reveal that employee referrals not only expedite hiring but also improve existing employees’ tenure and workplace satisfaction by up to 15%, enhancing retention. This suggests that aligning job roles with personal values and fostering a supportive work environment can increase productivity​.

Behavioural science to save democracy

Research in this section addresses the impact of behavioural science on democratic processes. Interventions like redesigned ballot layouts and “pre-bunking” misinformation aim to protect democratic integrity. Studies demonstrate that pre-bunking, or introducing people to misinformation scenarios, significantly increases resistance to false information. This approach supports more resilient democratic systems by encouraging informed voting and reducing misinformation.

From mindless consumer to mindful citizen: a behavioural lens approach

This chapter addresses overconsumption, noting that consumer decisions are often influenced by biases like the ‘hedonic treadmill.’ Interventions leveraging social norms and dynamic incentives encourage sustainable choices. Data shows that framing consumption changes positively can shift attitudes, promoting mindful, sustainable consumer behaviour as individuals perceive a growing trend towards eco-friendly practices​.

Pricing strategy: the lessons of inflation

Examining consumer responses to inflation, this section suggests that transparent price justifications help mitigate dissatisfaction. Findings indicate that when consumers understand the reasoning behind price increases—such as industry-wide pressures—they remain more loyal. This transparency, especially in essential goods, helps build consumer trust during inflationary periods​.

Transitioning to a behavioural insights unit for impact and implementation

Behavioural Insights Units (BIUs) have transitioned from pilot projects to essential components in policy implementation. BIUs focus on areas such as tax compliance and education. Effective BIUs are adaptable, with structures ranging from centralised to networked approaches, each suited to specific organisational contexts. Emphasising transparency and stakeholder collaboration improves BIU impact and sustainability​.

A recipe for scaling at speed: reducing food waste in the UAE’s hospitality industry

This case study highlights an initiative in the UAE aiming to reduce food waste by 50% by 2030. Through a flexible intervention menu, the program achieved a national waste reduction of 8.3%. By adopting adaptable strategies and data-driven assessments, this initiative serves as a model for scalable behavioural interventions in resource management​.

From insights to ownership: MMR vaccination uptake in the Philippines

To increase MMR vaccination rates, community-driven approaches were tested in the Philippines. By involving local leaders and promoting community ownership, vaccination rates improved significantly. The participatory model suggests that engaging local communities enhances public health initiatives’ effectiveness and is adaptable for broader health campaigns.

How machine learning can reduce the behaviour tax by informing hyper-personalised nudges

Machine learning in behavioural science enables hyper-personalised nudges, reducing the “behaviour tax” on decision-making. This approach has shown promise in fields like finance and health, where customised prompts help people make beneficial choices, such as saving or healthy eating. Personalisation enhances intervention effectiveness and efficiency​.

Using behavioural science to tackle health misinformation on social media

Health misinformation poses significant public health risks. Techniques like “inoculation” and “pre-bunking” expose users to controlled misinformation, fostering resistance to harmful health narratives. This scalable intervention shows promise for social media platforms in mitigating misinformation’s impact on public health.

Navigating the behavioural economics landscape in nonprofits: insights, applications, and challenges

This section explores how nonprofits can apply behavioural science to increase impact. While limited resources present challenges, targeted behavioural interventions that focus on high-impact, low-cost nudges prove beneficial. Adapting insights to organisational constraints can amplify nonprofits’ reach and effectiveness.

Neuro-nudging and predictive models: adaptive ethics for behavioural science

As neuro-nudging and predictive models grow in use, ethical considerations become crucial. This section calls for adaptive ethical frameworks and transparency, particularly in high-stakes applications. Regular ethical assessments and open data sharing are recommended to maintain public trust and accountability​.

People are different! And so should be behavioural interventions

Acknowledging human diversity, this section argues for customised interventions that consider individual differences, such as cultural and personality traits. Tailored approaches improve intervention effectiveness, suggesting that behavioural science should adapt methods for diverse populations to optimise impact​.