Behavioural Economist

A behavioural economist studies how psychological biases and social factors influence economic decisions — applying insights from psychology to design better policies, products and financial systems. Unlike classical economics which assumes rational actors, behavioural economics explains why people systematically make irrational choices and how organisations can account for this. In India, NITI Aayog, RBI, SEBI and development organisations are applying behavioural insights to improve policy outcomes. It is a relatively niche but growing field for those with strong interdisciplinary aptitude.

For PCM or Arts students who are fascinated by human decision-making and want to bridge economics and psychology. Strong quantitative skills (statistics, experimental design) combined with psychological understanding and policy interest are the core requirements. Ph.D is typically required for senior research roles. If you have read Nudge, Thinking Fast and Slow and Misbehaving and found them exciting — this is where those ideas come alive professionally.

NITI Aayog has experimented with nudge units. J-PAL South Asia conducts randomised controlled trials on policy effectiveness. IDFC Institute and EPoD India are research organisations applying behavioural approaches. International organisations like the World Bank, Gates Foundation and DFID fund behavioural research in India. ISB Hyderabad and IIM Ahmedabad are the top academic homes for this work.