Behavior economics are fundamental for the success of bitcoin and cryptocurrencies. Through the integration of incentives into the system, particular outcomes can be predicted which lead to successful operation and security of the network. Without them, as many early digital money projects discovered, projects tend to fail. This is because without the guiding hand of a central monetary policy institution it is easy to direct or take over a network, or simply fail to provide the attributes which are required for successful forms of money.
This concept is related to law and economics, but also to game theory in mathematics. It is a well studied field with even the Nobel Prize being awarded in this area. It is important to consider this field of study for cryptocurrencies, however, as new complexities in permissionless networks can create unexpected and new incentives to shape effort. Rather than being set in one way, there are past and future approaches that may differ wildly.
A recent QZ article explains rationality a bit more, as well as the idea of nudging behavior: https://qz.com/1098078/behavioral-economics-the-flaws-that-economics-nobel-prize-winner-richard-thaler-wants-you-to-know-about-yourself/.
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Republished with permission from the original source: https://blockchainlibrary.org/2018/10/most-cited-behavioral-economics-publications/
The Blockchain Library’s goals are twofold: to provide easy access to resources on cryptocurrency research for scholars, academics, analysts, and anyone with an interest in cryptocurrency publications; the second is provide an archive and historical timeline on the development of the blockchain field and to document the journey of its growth.
This is quite a long read. I'm not sure I'll check out the links. I do commend your efforts though
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