ABSTRACT
The chapter begins with a brief discussion of traditional economic approaches to addiction and a general overview of the concepts of behavioral economics demand and delay discounting. It aims to alcohol and drug use; the applications of behavioral economics to tobacco use are reviewed by Bickel et al. A behavioral economics approach to alcohol and drug use should be clearly distinguished from more traditional applications of economics. As indicated by the preceding literature review, behavioral economics has emerged as useful framework for investigating the underlying reinforcement pathology that characterizes alcohol and drug addiction. The chapter reviews evidence that measures of delay discounting (DD) and demands can be used prospectively to predict the likelihood of treatment success, and provides an overview of novel behavioral economics-based interventions for addiction that focus on changing individuals' levels of DD and demand. It provides a concise review of behavioral economics research exploring DD and substance demand in the context of alcohol and other drug misuse.
