Nobel Prize in Economic Sciences (Kahneman)

Daniel Kahneman was awarded the Nobel Prize in Economic Sciences for pioneering work in understanding human decision-making and judgment. His research reveals that people often rely on mental shortcuts, called heuristics, which can lead to biases and errors in judgment. Kahneman's work combined psychology and economics, showing how these biases affect economic choices, financial markets, and policies—challenging traditional assumptions that humans always act rationally. His insights help explain why people sometimes make seemingly illogical decisions and have influenced fields like behavioral economics, policy design, and how we understand risk and happiness.