Despite the fact that economists are just starting to incorporate nudges into their recommendations for economic policy, nudges are not a new discovery. Where have nudges been used in the past, and by whom?

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Firms have used nudges for a long time to alter their customers' behavior. Grocery stores strategically place their merchandise in such a way as to nudge their customers to spend more: they place milk at the back of the store, they place high-profit-margin goods at the checkouts, they put all organic foods in a separate section so customers won't compare prices to non-organic options, etc.

Despite the Fact That Economists Are Just Starting to Incorporate