Describe the tools from behavioral economics that are relevant to designing the employee benefits

1) Describe the tools from behavioral economics that are relevant to designing the employee benefits that focus on increasing the amount of employee contributions to retirement and rainy- day-savings accounts, and the vigilance of employees in managing their investments over time.

2) Explain the benefits and potential costs of relying on those behavioral economic tools.

3) Explain how goal gradient effect, the status quo basis, and the framing effect helps a company better understand the potential behavior of employees.

4) Describe the type of employee benefits that would help promote employee contributions to retirement and rainy-day-savings accounts and why those benefits play an important role in increasing the overall welfare of employees and the
corporation’s overall performance.