Behavioral Economics of Pro-Social Plastic Bag Tax

Which works best, the carrot or the stick? In this short interview one of our favourite behavioural economists Joe Gladstone, Assistant Professor at University College London, discusses the plastic bag tax and why this has been so effective not least because of the importance of loss aversion. The pain of paying for something is more acute at certain trigger points - for example at the check out!

Joe explains the research underpinning how this charge might work to 'nudge' consumers in other areas of public policy.