Behavioral Economics in Education
The human capital theory predicts that more educated persons tend to earn higher wages. This PhD research project studies how insights from behavioral economics can be employed in education. To examine the role and effectivenes of behavioral tools, we run large scale randomized controlled trials in Flemish secondary schools, as well as on the online platform www.gonna.be. In the former, we study how and which insights from behavioral economics can nudge students towards specific study tracks. In the latter, we explore how suboptimal financial decisions can be mitigated. Since suboptimal decision-making is apparent across the ranges of educational level and socioeconomic status, there is a need for further research on the prevalence and cures for similar cognitive biases. Up to now, there is a lack of studies examining which interventions could indeed result in improved decisions. Thanks to funding by the ‘Baloise Chair to Financial Well-being’, this PhD research fills this gap.