When survival over generations is the end game, researchers say it makes sense to undervalue long shots that could be profitable and overestimate the likelihood of rare bad outcomes. Making decisions ...

Most economists subscribe to a belief in “positive economics,” which means that economic theory flows from economic data. Thus, all theory can be tested for ...

Human behavior drives the evolution of biological organisms in ways that can profoundly adversely impact human welfare. Understanding people's incentives when they do so is essential to identify ...

Reinhard Selten (1930-2016) received the Nobel Memorial Prize in Economic Science in 1994 and is a professor of economics at the University of Bonn, where he has been teaching since 1984. He holds a ...