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Behavioral Economics, B.S.

The Major in Behavioral Economics

Peter Schwardmann, Faculty Director
Location: Porter Hall 319F
schwardmann@andrew.cmu.edu

Lizzy Stoyle, Senior Academic Advisor
Location: Porter Hall 208G
estoyle@andrew.cmu.edu
Schedule an appointment:  https://go.oncehub.com/LizzyStoyle

https://www.cmu.edu/dietrich/sds/undergraduate/behavioral-economics/index.html

Overview

Behavioral economics has transformed how researchers, businesses, and governments understand human behavior. Rather than assuming that people always make rational decisions, behavioral economists discover how people actually think, choose, and respond to incentives, using scientific evidence to improve products, digital platforms, organizations, markets, and public policy. Today, behavioral economics is becoming central to how organizations understand and improve the decisions of customers, employees, investors, patients, and citizens.
 
Carnegie Mellon offers the nation’s first bachelor’s degree in Behavioral Economics and one of the world’s most comprehensive undergraduate programs in the field. Students learn to think like behavioral economists. Guided by faculty whose research continues to advance behavioral economics, students develop the skills to conduct behavioral research themselves. They design laboratory and field experiments, analyze data, identify causal relationships, evaluate behavioral interventions, and communicate evidence-based recommendations for solving important real-world problems.
 
The major combines rigorous scientific training with quantitative methods, experimental research, and extensive opportunities to apply behavioral economics through research and hands-on projects. Students learn to ask the questions behavioral economists ask, explain why people behave as they do, distinguish causation from correlation, rigorously evaluate competing explanations, and develop practical solutions to behavioral challenges facing organizations, markets, and public policy. The major culminates in a capstone project in which students work as behavioral economists to solve a real-world problem, integrating the scientific, analytical, and practical skills they have developed throughout the program.
 
Organizations increasingly recognize that understanding human behavior is a competitive advantage, and demand for behavioral economists continues to grow. Graduates are well prepared for careers in behavioral science, consulting, product strategy, people analytics, finance, user research, public policy, and many other fields, as well as for graduate study in economics, business, psychology, and related disciplines.

Prerequisites

All Behavioral Economics majors must complete mathematics and statistics prerequisites (see below), by the end of the sophomore year.

Mathematics Prerequisite Units
21-111
& 21-112		Differential Calculus
and Integral Calculus		10-20
or 21-120 Differential and Integral Calculus
Statistics Prerequisite Units
36-200Reasoning with Data9

Curriculum

Core Courses

The core curriculum in Behavioral Economics consists of three Behavioral Economics courses, two Economic courses, two Psychology courses, three quantitative courses, and one project course. Some courses have additional prerequisites.

Behavioral Economics Courses Units
88-360Behavioral Economics9
88-365Behavioral Economics and Public Policy9
88-367Designing Economics Experiments in the Wild9
 27
Economics Courses Units
73-102Principles of Microeconomics9
or 73-104 Principles of Microeconomics Accelerated
Second-Level Economics Course*
88-221Markets, Democracy, and Public Policy9
or 88-338 Market Design
or 73-103 Principles of Macroeconomics
or 73-155 Models, Math, and Markets
or 73-230 Intermediate Microeconomics
or 73-328 Health Economics
or 73-347 Game Theory Applications for Economics and Business
or 73-359 Benefit-Cost Analysis
or 73-408 Law and Economics
or 73-421 Emerging Markets
or 73-427 Sustainability, Energy, and Environmental Economics
 18
*

Second-Level Economics course CANNOT double count with the Economics Elective course.

Psychology Courses* Units
88-120Reason, Passion and Cognition **9
88-130Behavioral Economics for Life9
or 88-302 Behavioral Decision Making
 18
*

Students can elect to take 88-120 Reason, Passion and Cognition & 88-130 Behavioral Economics for Life OR 88-120 Reason, Passion and Cognition & 88-302 Behavioral Decision Making Behavioral Decision Making. 

PLEASE NOTE: Students who have completed 88-302 Behavioral Decision Making OR 88-360 Behavioral Economics cannot take 88-130 Behavioral Economics for Life

**

 88-120 Should be taken in the first or sophomore year. 

Quantitative Methods Courses Units
36-202Methods for Statistics & Data Science9
88-251Empirical Research Methods9
88-252Causal Inference: from Data to Decisions9
or 73-274 Econometrics I
 27
Senior Project Course Units
88-453Behavioral Economics Capstone9
 9

Electives27 units

Complete at least 27 units from the following categories. Students MUST take one elective from the Economics category, and another from the Behavioral Economics category.  The third elective may be chosen from either the Behavioral Economics or Psychology categories. Note that not all elective courses are offered every year.

Economics* Units
88-323
& 88-324		Policy in a Global Economy 1: International Trade and Trade Policy
and Policy in a Global Economy 2: International Trade and Trade Policy **		12
88-338Market Design9
88-344Systems Analysis: Environmental Policy9
73-103Principles of Macroeconomics9
73-155Models, Math, and Markets9
73-230Intermediate Microeconomics ***9
73-328Health Economics12
73-347Game Theory Applications for Economics and Business9
73-359Benefit-Cost Analysis9
73-408Law and Economics9
73-421Emerging Markets ****9
73-427Sustainability, Energy, and Environmental Economics9
*

ANY 73-3xx or 73-4xx courses be counted as an economic elective course. Consult the Academic Advisor for more information about this process.

NOTE: The Economics Elective course CANNOT double count with the Second-Level Economics core requirement. 

**

88-323 and 88-324 must BOTH be taken in order to fulfill the economics requirement.

***

Requires additional Math beyond 21-112 or 21-120.

****

73-421 has a required prerequisite of 73-103 Principles of Macroeconomics, which is NOT a course requirement for the BE major.

Behavioral Economics Units
88-234Negotiation: International Focus9
88-235Negotiation: Strategies and Behavioral Insights9
88-255Strategic Decision Making9
88-261Health Policy and Decision Making9
88-275Bubbles: Data Science for Human Minds9
88-300Programming and Data Analysis for Social Scientists9
88-348Behavioral Finance9
88-366Behavioral Economics of Poverty and Development9
Psychology Units
88-230Human Intelligence and Human Stupidity9
88-231Thinking in Person vs. Thinking Online9
88-234Negotiation: International Focus9
88-235Negotiation: Strategies and Behavioral Insights9
88-237The Happy Cyborg9
88-255Strategic Decision Making9
88-261Health Policy and Decision Making9
88-262Rationality and Irrationality in Medicine9
88-275Bubbles: Data Science for Human Minds9
88-285Deconstructing and Dismantling Discrimination9
88-290Confessions, Lies, and Gossip9
88-300Programming and Data Analysis for Social Scientists9
88-302Behavioral Decision Making9
88-312Decision Models and Games9
88-342The Neuroscience of Decision Making9
88-348Behavioral Finance9
88-366Behavioral Economics of Poverty and Development9
88-384Underappreciated Ideas in the Social Sciences9
70-311Organizational Behavior9
70-385Consumer Behavior *9
70-443Digital Marketing and Social Media Strategy9
85-350Social Research Methods12
85-358Pro-Social Behavior9
85-409Crosscultural9
85-452Attitudes and Persuasion9
85-446Psychology of Gender9
85-450Psychology of Prejudice9
85-454Health Psychology9
*

70-385 has a required prerequisite of 70-381 Marketing 1, which is NOT a course requirement for the BE major.

Behavioral Economics, B.S. Sample Curriculum 

First-YearSecond-Year
FallSpringFallSpring
88-120 Reason, Passion and Cognition* or 88-130 Behavioral Economics for Life88-120 Reason, Passion and Cognition (if not taken in fall)88-251 Empirical Research Methods88-365 Behavioral Economics and Public Policy
21-120 Differential and Integral Calculus36-202 Methods for Statistics & Data Science88-252 Causal Inference: from Data to Decisions88-367 Designing Economics Experiments in the Wild
36-200 Reasoning with DataPick One (Grand Challenge Seminar, First Year Writing, Disciplinary Perspectives: Humanities)88-302 Behavioral Decision Making or 88-130 Behavioral Economics for LifeSecond-Level Economics Course Pick One (88-221, 73-103, 73-155, 73-230 (requires Math beyond 21-112/21-120), 73-328, 73-347, 73-359, 73-408, 73-421, 73-427)
73-102 Principles of Microeconomics Or 73-104 Principles of Microeconomics AcceleratedPick One (Grand Challenge Seminar, First Year Writing, Disciplinary Perspectives: Humanities)88-360 Behavioral EconomicsBehavioral Economics Elective
Pick One (Grand Challenge Seminar, First Year Writing, Disciplinary Perspectives: Humanities)Gen Ed or ElectiveGen Ed or ElectiveGen Ed or Elective

Third-YearFourth-Year
FallSpringFallSpring
Economics ElectiveBehavioral Economics or Psychology Elective88-453 Behavioral Economics Capstone or Senior Honors ThesisElective or Senior Honors Thesis**
Gen Ed or ElectiveGen Ed or ElectiveElectiveElective
Gen Ed or ElectiveElectiveElectiveElective
ElectiveElectiveElectiveElective
ElectiveElectiveElectiveElective
*

Should be taken as the first course in Behavioral Economics major sequence. It is intended for students in their first or second year. It may be taken as late as the junior year. 

**

 Senior Honors Thesis may be substituted in the Spring term for 88-453 Behavioral Economics Capstone, which is only offered in the Fall term.

This is presented as a recommended plan for completing major requirements. The major can be completed in as few as two years (not that it must be), but students may not have time for other opportunities such as additional majors or study abroad. Students may declare their major as early as the third week of the spring semester in the first-year. Students who are planning to attend the Washington Semester Program, to study abroad, to apply for the Heinz Accelerated Masters Program, or to pursue an additional major/minor may have a very different curriculum map and should consult early – and often – with the Behavioral Economics Academic Advisor.

Additional Major

Students who elect Behavioral Economics as an additional major must fulfill all of the requirements of the Behavioral Economics major.

Additional majors cannot count BE electives toward simultaneously fulfilling requirements for another major or minor. Students who are interested in an additional major in Behavioral Economics should consult the Behavioral Economics Academic Advisor for guidance.

Students pursuing Decision Science with an additional major in Behavioral Economics may only count 36-202 , 73-102, 88-120, 88-251 and 88-302 toward the completion of both majors.

Students pursuing Policy and Management with an additional major in Behavioral Economics may only count 36-202, 73-102 and 88-251 toward the completion of both majors.

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