It inculcates the study of psychology into the analysis of an economic outcome. This branch of economics assesses the psychological aspect behind economic decisions such as the factors leading up to a consumer buying one product instead of another and challenges the age-old belief that economic outcomes are solely based on rational choices. Unlike classical economics, in which decision-making is entirely based on cold-headed logic, behavioural economics dives into not-so rational behaviours and choices to understand why this may be the case.