The new science of evolutionary economics explains some of our irrational choices. How are you thinking about money?
Haven’t heard of evolutionary economics? It’s not surprising. This is a new area of study that looks into the biological and evolutionary forces that shape our economic decisions. It is related to behavioral economics, another discipline you don’t hear much about.
The behavioral perspective is more about describing what we do, while the evolutionary perspective is all about hypothesizing why we do it. For example, let’s look at an experiment that economists call the “Ultimatum Game.” It is typically played with two subjects.