Lecture, three hours. Enforced requisite: course 101. Behavioral economics is emerging subfield of economics that incorporates insights from psychology and other social sciences into economics to improve realism of economic models by incorporating realistic features such as aversion for losses, problems with self control, or concerns for others and thereby improve economic analyses. Review of some standard assumptions made in economics and examination of evidence on how human behavior systematically departs from these assumptions. Investigation of attempts to explore alternative models of human decision making and assessment to what extent these alternative models help improve economic analyses. P/NP or letter grading.