Behavioral economics explores the interplay between psychological, cognitive, and environmental factors influencing decision-making in substance use disorders (SUDs). It examines how individuals weigh immediate gratification from substance use against the long-term consequences of addiction. Concepts such as delay discounting, where future rewards are undervalued, play a critical role in understanding addictive behaviors. Interventions informed by behavioral economics include contingency management and incentive-based strategies, which motivate individuals to make healthier choices by offering tangible rewards for abstinence. Understanding these economic principles helps design better policies and treatments, such as pricing strategies for addictive substances or framing prevention programs to appeal to long-term benefits. Integrating behavioral economics into addiction treatment provides a comprehensive approach to tackling the cognitive distortions and impulsivity associated with SUDs.