The contribution of Psychology and Neuroscience to Public Policy

Abstract

There has been an increasing Interest in recent years to apply ideas from psychology and neuroscience into economics. Converging evidence from different areas of research suggests the existence of multiple decisional systems controlling behaviour - one rational and deliberative, and another automatic and involuntary. A number of governments have started using this evidence to modify people’s decisions with the goal of increasing social well-being and reduce public spending. Although these ideas can be traced back to the behaviourist tradition of reward and punishment, the decisional systems that these policies aim to affect do not interfere with freedom of choice and are, in that sense, politically neutral.