 | Behavioral Economics and Perverse Effects of the Welfare State
November 1, 2007 Journal Articles Bryan Caplan,
Scott Beaulier |
| Critics often argue that government poverty programs perversely make the poor worse off by encouraging unemployment, out-of-wedlock births, and other ‘social pathologies.’ However, basic microeconomic theory tells us that you cannot make an agent worse off by expanding his choice set. The current paper argues that familiar findings in behavioral economics can be used to resolve this paradox.
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| Straight Talk About Economic Literacy
July 15, 2004 Working Papers Bryan Caplan |
| In this paper, Professor Bryan Caplan addresses the subject of economic literacy in the United States.
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| Behavioral Economics and Perverse Effects of the Welfare State - Working Paper
March 26, 2003 Working Papers Bryan Caplan,
Scott Beaulier |
| Critics often argue that government poverty programs perversely make the poor worse off by discouraging labor force participation, encouraging out-of-wedlock births, and so on. However, basic microeconomic theory tells us that you cannot make an agent worse off by expanding his choice set. This working paper argues that familiar findings in behavioral economics can be used to resolve this paradox. |
