Essays on Applied Behavioral Economic Theory

This dissertation advances applied behavioral economics the- ory from three complementary perspectives. First, it stud- ies how concerns about social status, in the presence of so- cial segregation, generate non-trivial incentives for redistri- bution. The analysis reveals that status competition can lead the wealthy to economically benefit the poor while simulta- neously stigmatizing poverty. Second, it explores the welfare effects of competition in strategic communication, where ly- ing is possible but costly. Relying on the behavioral assump- tion of the Principle of Insufficient Reason, the study formally demonstrates an intuitive result: competition benefits the re- ceiver by improving information transmission. Third, it ex- amines moral satisfaction, the hedonic reward from acting in line with one’s moral values, as an additive component of utility. Through theoretical modeling and experimental ev- idence, the analysis identifies the shape of this moral satis- faction function and its role in explaining consistent and li- censing moral behaviors. Taken together, these contributions highlight the importance of incorporating behavioral consid- erations into standard economic theory, revealing mechanisms and outcomes that remain hidden under traditional frame- works.