Judgment and Decision Making


Course Objective

Academic & Research Skills: You will analyze and reflect on existing
literature on
judgment and decision making and apply this knowledge to examples and
problems from business and public policy.
Bridging Theory & Practice: You will obtain a deeper understanding of
methodology (experiments and field studies) and findings on heuristics
and biases in the area of judgment and decision making, from psychology
and behavioral economics.
You will make use of theoretical knowledge
and concepts such as biases, decision processes, risk perception to
understand and analyze human decision making in practical settings. We
will focus on business and policy decisions, but also draw from other

Course Content

This course provides an overview of scientific research on judgment &
decision making, where psychology and economics collide and collaborate
to understand human behavior. It provides you with the basic knowledge
of theories, concepts and methods that is necessary to understand how
decisions are made. The course is inspired by the groundbreaking,
nobel-prize winning work of Tversky and Kahneman (Nobel prize 2002),
Thaler (Nobel prize 2017) as well as other seminal work and research
programmes of other leading thinkers in the field (and society). One of
the main topics of the course will be the question of how and when
humans deviate from rational thinking. This is captured by a well-
documented array of heuristics and biases, that help us to make
reasonable and accurate decisions in some areas, but may crucially
misguide us in others. We will discuss eye-opening research that
documents several well-known biases as well as focus on mental
accounting, loss/gain framing, forecasting, visceral influences,
motivated reasoning and (dis)honesty.

Teaching Methods

Lectures and tutorials

Method of Assessment

written exam – individual assessment
(interim) assignment – group assessment

Entry Requirements



a set of academic articles (tba)

Recommended background knowledge

Well-trained in academic method and thinking (i.e., with an academic

General Information

Course Code E_BK3_JDM
Credits 6 EC
Period P1
Course Level 300
Language of Tuition English
Faculty School of Business and Economics
Course Coordinator dr. K.M.T. Millet
Examiner dr. K.M.T. Millet
Teaching Staff F.M. Buehler

Practical Information

You need to register for this course yourself

Teaching Methods Seminar, Lecture, Instruction course
Target audiences

This course is also available as: