Cultural and Socio-Economic Contexts in Policy Design: Proposing Theoretical Insights on How Psychoeconomics Can Inform the Design of Poverty Alleviation Policies

This paper proposes theoretical insights into how Psychoeconomics can inform the design of poverty alleviation policies that are sensitive to cultural and socio-economic contexts. By integrating psychological principles with economic theories, this approach aims to address the complex interplay of social factors influencing economic behavior. Drawing on the work of Michael Kremer, Edward Miguel, Esther Duflo, and others, this framework seeks to enhance the effectiveness of poverty alleviation strategies through culturally and contextually informed interventions.