As a University of Chicago alum, it's always nice to see the UC pick up another Nobel Prize in economics. Economists are often accused of engaging in empty theorizing, but Thaler has developed useful ideas, such as methods by which the public can be "nudged" into boosting their saving rate. Some of these have been successfully implemented. Alex Tabarrok and Tyler Cowen have nice summaries of some of his contributions, and this comment by Tyler brought a smile to my face: Perhaps unknown to many, Thaler's most heavily cited piece is on whether the stock market overreacts. He says yes this is possible for psychological reasons, and this article also uncovered some of the key evidence in favor of the
Scott Sumner considers the following as important: Behavioral Economics and Rationality
This could be interesting, too:
Bryan Caplan writes Read “The Culture of Poverty: An Ideological Analysis”
Bryan Caplan writes Lower-Class Families and Evolutionary Psychology
Bryan Caplan writes Is the “Culture of Poverty” Functional?
Bryan Caplan writes A Conservative Confession