Behavioral Economics for Better Public Policies

Our people are committed and passionate about improving lives in Latin America and the Caribbean, and they get to do what they love in a diverse, collaborative and stimulating work environment. At the IDB, we’re committed to improving lives. Since 1959, we’ve been a leading source of long-term financing for economic, social, and institutional development in Latin America and the Caribbean. We do more than lending though. We partner with our 48-member countries to provide Latin America and the Caribbean with cutting-edge research about relevant development issues, policy advice to inform their decisions, and technical assistance to improve on the planning and execution of projects. For this, we need people who not only have the right skills but also are passionate about improving lives.

Learning goals

• Recognize the key concepts and main characteristics of behavioral economics
• Identify cognitive biases and other behavioral barriers to the effectiveness of public policy in Latin America and the Caribbean
• Recognize behavioral economics tools that can be applied in overcoming barriers relevant to public policies in Latin America and the Caribbean
• Identify how the implementation of interventions using behavioral economics tools can complement the effectiveness of public policies based on the traditional economic model

Learning experience and activities

Self-guided virtual learning that included:

• Analyzing reference materials such as videos, interactive presentations, and readings
• Carrying out activities and exercises using real case examples from Latin America and the Caribbean and other parts of the world
• Simulations, reflection, analysis of problem situations or cases, and simulations for decision making, among others
• Five learning assessments

Content/Topics

• Principles of the traditional economic model and of behavioral economics
• Key concepts and main terms of behavioral economics, such as the dual process theory and major cognitive biases
• Behavioral economics and public policies
• Use of tools of behavioral economics in public policies
• Behavioral biases and the most relevant tools for the effectiveness of public policies in Latin America and the Caribbean, through cases applied to healthcare and tax compliance
• Behavioral economics as a complement to policies based on conventional models

Assessment

This badge has been issued after the recipient successfully achieved a score equal to or greater than 80% on each of the five learning assessments. The final score will be calculated based on the weights assigned to each learning assessment questionnaire: the questionnaire of modules 1 and 2 have a weight of 20% each; Module 3 has two assessments, each weighing 15% and Module 4 learning assessment weighs 30%. The overall passing score for the course is at least 80 % and course grades are Passed/Not Passed, based on the total percentage achieved.

Estimated effort

It took approximately 16 hours to complete this course.

Badge type

Completion badge

*This credential is equivalent to the previous version.