Journal Press India^®

Author Details ( * ) denotes Corresponding author

Modern age developments needs are leading to growth of new complex problems in terms of markets, societies, nations, trade practices etc. This justifies the need for alternative out of the box solution that does lead to the dynamicity of a new theory known as ‘Nudge Theory’. Although, the term is new, some researches indicate that it can lead to vast improvements in the existing systems of trade, economics and sustainability. This research paper is an effort to understand this theory with instances where it has been successfully used to cater new range of solutions. Data has been collected from secondary sources to identify the grass root problems and effect of nudge theory in general and other specific circumstances. A model has also been developed as an effort to construct new plans with ‘Nudge theory’ approach. This paper can be a source of new learning for students, researchers, academicians, bureaucrats, governments and other economic institutions.

Keywords

Nudge theory; Decision making; Alternatives; Marketing

1. Baldwin, R., Cave, M., & Lodge, M. (2012). Understanding regulation: theory, strategy, and practice. New York: Oxford University Press.
2. BBC Radio 4 (2013). Analysis: Nudge theory in practice. Current Affairs. Retrieved from http://podbay.fm/show/267300806/e/1364245200.
3. Bradbury, A., McGimpsey, I., & Santori, D. (2013). Revising rationality. Journal of Education Policy, 28(2), 247–267.
4. Benartzi, S., Beshears, J., Milkman, K. L., Sunstein, C. R., Thaler, R. H., Shankar, M., Tucker-Ray, W., Congdon, W. J., & Galing, S. (2017). Should governments invest more in nudging? Psychological Science, 28(8), 1041-1055.
5. De Bruijn, H., Heuvelhof, E. T. & Koopmans, M. (2007). Law enforcement: The game between inspectors and inspectees. Boca Raton: Universal Publishers.
6. Frey, E., & Rogers, T. (2014). Persistence: How treatment effects persist after interventions stop. Policy Insights from the Behavioral and Brain Sciences, 1(1), 172-179.
7. Gigerenzer, G. (2015). On the supposed evidence for libertarian paternalism. Review of Philosophy and Psychology, 6(3), 361-383.
8. Gill, D. (February 20, 2018). When ‘nudging’ is forever – the case of Sweden. Chicago Booth Review. Retrieved from http://review.chicagobooth.edu/behavioral-science/2018/article/when-nudging-forever-case-sweden.
9. Goodwin, T. (2012). Why we should reject 'Nudge'. Politics, 32(2), 85–92
10. Hertwig, R., & Grüne-Yanoff, T. (2017). Nudging and boosting: Steering or empowering good decisions. Perspectives on Psychological Science, 12(6), 973-986.
11. Kosters, M., & Van der Heijden, J. (2015). From mechanism to virtue: Evaluating Nudge theory. Evaluation, 21(3), 276-291.
12. Loibl, C., Jones, L. E., Haisley, E., & Loewenstein, G. (2016). Testing strategies to increase saving and retention in individual development account programs. Retrieved from http://dx.doi.org/10.2139/ssrn.2735625.
13. Michie, S. & West, R. (2013). Behaviour change theory and evidence. Health Psychology Review, 7(1), 1–22.
14. Pinch, T. (2010). Comment on “Nudges and cultural variance’. Knowledge Technology Policy, 23(3), 487–490.
15. Science and Technology Select Committee (2011). Behaviour change: Second report of session 2010-12. London: Authority of the House of Lords.
16. Selinger, E. & Whyte, K. (2011). Is there a right way to nudge? Sociology Compass 5(10), 923–935.
17. Thaler, R. H., & Sunstein, C. (2008). Nudge: Improving decisions about health, wealth, and happiness. New Haven, CT: Yale University Press.
18. Thaler, R. & Sunstein, C. (2009). Nudge (revised edition). London: Penguin.
19. Thaler, R. (2012). Smart disclosure: The regulatory future. Retrieved from http://www.youtube.com/watch?v=S5z2e0xriCU.
20. White, M. (2013). The manipulation of choice: Ethics and libertarian paternalism. Basel, Switzerland: Springer.