Chapter 7: Peace Economics: Behavioural Approach

Peace economics is a field of study that focusses on analysing the economic factors that contribute to peace and conflict resolution. It explores the connections between economics, politics, and psychosocial dynamics to understand how economic policies and conditions can influence the likelihood of violent conflicts and the prospects for peace. A behavioural approach in peace economics acknowledges that economic decisions and actions are not always rational or solely driven by self-interest. Instead, it recognises that human behaviour is shaped by a combination of cognitive, emotional, and social factors. By studying these behavioural aspects, peace economists aim to better understand the causes of conflict and identify strategies to promote peace. In this chapter, a few psychological theories like positive psychology, need theories, decision-making bias, social norm bias, and the role of trust are discussed.