This course focuses on the basic concept of institutions, theories, models, policies, and strategies that are crucial for development. Institutional economics is the study of the evolution of economic organizations, laws, customs, beliefs, and their interactions with the process of economic development. In the course, we examine the role of history and both formal and informal institutions (culture) in the performance of economies. We take a microeconomic and behavioral approach to understand the feedback between individual beliefs, choices, and institutions. Behavioral economics analyses regularities in actual individual and strategic decision-making and documents departures from the behavior predicted by classical economic theory. Behavioral economics explains these departures by incorporating psychological aspects into economic theories. Students will be able to relate institutional and behavioral mechanisms for development (e.g., laws, customs, and beliefs) on development; empirically analyze the role of history on development; widen their understanding of the development process (develop thesis ideas), and integrate behavioral insights for institutional design.