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35 - Personality, Preferences and Socioeconomic Behavior

from Part VII - Applications of Personality Psychology: Personality Traits and Processes in Action

Published online by Cambridge University Press:  18 September 2020

By
Eamonn Ferguson ,
Kun Zhao  and
Luke D. Smillie
Edited by
Philip J. Corr  and
Gerald Matthews
Philip J. Corr
Affiliation:
City, University London
Gerald Matthews
Affiliation:
University of Central Florida
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Summary

Three fundamental questions have tasked philosophers and scientists across time: Where do we come from?”, “Why are we here?” and “Why do people do what they do?” Academics working within behavioral economics (i.e., the application of economic and psychological approaches to understand how individuals make economic decisions) and personality psychology (i.e., the study of relatively stable patterns of behavior and experience) have addressed the third question. Behavioral economists examine how certain incentive structures, frames or choice architectures nudge people’s choices (preferences). Similarly, personality psychologists explore how different traits interact with context to predict behavior. Both traditions have developed their own theoretical frameworks, analytic strategies and methods. Accordingly, personality psychologists and economists have much they can learn from each other with the aim of answering the third fundamental question and by doing so offer better and more nuanced answers about determinants of behavior (Borghans, Duckworth, Heckman & ter Weel, 2008; Cunha & Heckman, 2008; Ferguson, 2015; Ozer & Bennet-Martinez, 2006; Roberts, Kuneel, Shiner, Caspi & Goldberg, 2007). The aim of this chapter is to offer some suggestions that may guide this integration.

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The Cambridge Handbook of Personality Psychology , pp. 477 - 494
Publisher: Cambridge University Press
Print publication year: 2020

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