The low-energy mental shortcuts, or heuristics, that the human brain commonly employs is one major reason for the systematic errors in decision making that people make, which is the focus of behavioral economics.

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Behavioral economics studies the effects of psychological, cognitive, emotional, cultural, and social factors on the economic decisions of individuals and institutions, and how those decisions vary from those implied by classical theory, which assumes fully rational agents. The use of heuristics, or mental shortcuts, often leads to systematic errors in decision making, as they can result in biases and deviations from rational judgment, which is a central focus of behavioral economics.

The Low-Energy Mental Shortcuts, or Heuristics, That the Human Brain