TVERSKY,AMOS AND THE ASCENT OF BEHAVIORAL ECONOMICS

Amos Tversky investigated and explained a wide range of phenomena that lead to anomalous human decisions. His two most significant contribut ions, both written with Daniel Kahneman, are the decision-making heuri stics-representativeness, availability, and anchoring-and prospect the ory. Tversky's concepts have broadly influenced the social sciences. i n economics, they gave rise to the burgeoning field of behavioral econ omics. This field, skeptical of perfect rationality, emphasizes valida tion of modeling assumptions, integration of micro-level data on decis ions (including experimental evidence), and adoption of lessons from p sychology. Tversky's contributions are reviewed assessed using citatio n analysis, and placed in historical context. Fertile areas for behavi oral economics research are identified.