Includes bibliographical references (p. 213-218) and index.
Pt. 1. Anticipating future preferences -- pt. 2. Responding to market complexity -- pt. 3. Reference dependence -- pt. 4. Discussion.
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Although the challenge of enriching the psychology of decision makers in economic models has been at the frontier of theoretical research in the last decade, there has been no graduate-level, theory-oriented textbook to cover developments in the last 10-15 years. Thus, Bounded Rationality and Industrial Organization offers a welcome and crucial new understanding of market behavior-it challenges conventional wisdom in ways that are interesting and economically significant, and which in the end effect the well-being of all market participants.