Download or read book Economics Bounded Rationality and the Cognitive Revolution written by The late Herbert A. Simon and published by Edward Elgar Publishing. This book was released on with total page 244 pages. Available in PDF, EPUB and Kindle. Book excerpt: The purpose of this book is to publish the ideas of the late Herbert Simon and sympathetic economists, on the subject of bounded rationality, economics, cognitive science and related disciplines, and to reprint some of Professor Simon's classic papers which have appeared in journals not widely read by economists. Not only on account of his Nobel Prize in Economics, but also because of the widespread applications of his ideas and theories, it is especially valuable to readers to have a book of this kind at the present time. Currently in this whole field, there is increasing emphasis on computer-related theory building. Herbert Simon, beginning from the time when microcomputers did not exist, was a pioneer of this approach. The book begins with an edited transcript of a colloquium, held between Herbert Simon and a group of Italian economists in Italy in 1988. It continues with the reprinted Simon papers and papers by three scholars, Raymond Boudon, Massimo Egidi and Riccardo Viale coming from different disciplines but holding a common interest in bounded rationality and ends with a response by a sympathetic economist, Robin Marris.
Download or read book Economics Bounded Rationality and the Cognitive Revolution written by Herbert Alexander Simon and published by Edward Elgar Publishing. This book was released on 2008 with total page 232 pages. Available in PDF, EPUB and Kindle. Book excerpt: The purpose of this book is to publish the ideas of the late Herbert Simon and sympathetic economists, on the subject of bounded rationality, economics, cognitive science and related disciplines, and to reprint some of Professor Simon's classic papers which have appeared in journals not widely read by economists.
Download or read book Routledge Handbook of Bounded Rationality written by Riccardo Viale and published by Routledge. This book was released on 2020-12-02 with total page 681 pages. Available in PDF, EPUB and Kindle. Book excerpt: Herbert Simon’s renowned theory of bounded rationality is principally interested in cognitive constraints and environmental factors and influences which prevent people from thinking or behaving according to formal rationality. Simon’s theory has been expanded in numerous directions and taken up by various disciplines with an interest in how humans think and behave. This includes philosophy, psychology, neurocognitive sciences, economics, political science, sociology, management, and organization studies. The Routledge Handbook of Bounded Rationality draws together an international team of leading experts to survey the recent literature and the latest developments in these related fields. The chapters feature entries on key behavioural phenomena, including reasoning, judgement, decision making, uncertainty, risk, heuristics and biases, and fast and frugal heuristics. The text also examines current ideas such as fast and slow thinking, nudge, ecological rationality, evolutionary psychology, embodied cognition, and neurophilosophy. Overall, the volume serves to provide the most complete state-of-the-art collection on bounded rationality available. This book is essential reading for students and scholars of economics, psychology, neurocognitive sciences, political sciences, and philosophy.
Download or read book Models of Bounded Rationality written by Univ Of Chicago and published by Mit Press. This book was released on 1997-07 with total page 336 pages. Available in PDF, EPUB and Kindle. Book excerpt: Offering alternative models based on such concepts as satisficing(acceptance of viable choices that may not be the undiscoverableoptimum) and bounded rationality (the limited extent to which rationalcalculation can direct human behavior), Simon shows concretely whymore empirical research based on experiments and direct observation, rather than just statistical analysis of economic aggregates, isneeded.
Download or read book Bounded Rationality and Behavioural Economics written by Graham Mallard and published by Routledge. This book was released on 2015-08-14 with total page 132 pages. Available in PDF, EPUB and Kindle. Book excerpt: Economics Nobel Laureate Herbert Simon developed the concept of bounded rationality in the 1950s. This asserts that the cognitive abilities of human decision-makers are not always sufficient to find optimal solutions to complex real-life problems, leading decision-makers to find satisfactory, sub-optimal outcomes. This was a foundational component of the development of Behavioural Economics but in recent years the two fields have diverged, each with its own literature, its own approach and its own proponents. Behavioural Economics explores the areas of commonality between Economics and Psychology, in terms of its focus and its approach, whereas the bounded rationality literature largely analyses the implications of sub-optimal decision‐making through the mathematically sophisticated methodology of mainstream Economics. This book examines the nature and consequences of this divergence and questions whether this is a case of beneficial specialisation or whether it is unhelpful, potentially stunting the development of some aspects of Economics. It has been suggested that the major deficiency of Behavioural Economics is that it has failed to produce a single, widely applicable alternative to constrained optimisation. This book evaluates the extent to which this is the true and, if it is, the extent to which it is a product of the divergence between the two literatures. It also seeks to identify commonalities between the two subjects and suggests avenues of research in Economics that would benefit from a re-fusion of these two fields.
Download or read book Cognitive Economics written by Bernard Walliser and published by Springer Science & Business Media. This book was released on 2007-10-25 with total page 182 pages. Available in PDF, EPUB and Kindle. Book excerpt: Written in an informal way, this book is addressed to philosophers or cognitive scientists curious of how economics deals with cognition and to graduate students in economics eager to discover how economics evolves. It aims at extending the framework of game theory in order to better fit with the results of rapidly increasing laboratory experiments concerned with individual choices and collective interactions.
Download or read book Methodological Cognitivism written by Riccardo Viale and published by Springer Science & Business Media. This book was released on 2014-01-09 with total page 454 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book covers a broad spectrum of topics, from experimental philosophy and cognitive theory of science, to social epistemology and research and innovation policy. Following up on the previously published Volume 1, “Mind, Rationality, and Society,” it provides further applications of methodological cognitivism in areas such as scientific discovery, technology transfer and innovation policy. It also analyzes the impact of cognitive science on philosophical problems like causality and truth. The book is divided into four parts: Part I “Experimental Philosophy and Causality” tackles the problem of causality, which is often seen as straddling metaphysics, ontology and epistemology. Part II “Cognitive Rationality of Science” deals with the cognitive foundation of scientific rationality, starting from a strong critique of the neopositivist rationality of science on the one hand and of the relativist and social reduction of the methodology of science on the other. Part III “Research Policy and Social Epistemology” deals with topics of social epistemology, science policy and culture of innovation. Lastly, Part IV “Knowledge Transfer and Innovation” addresses the dynamics of knowledge generation, transfer and use in technological innovation.
Download or read book Methodological Cognitivism written by Riccardo Viale and published by Springer. This book was released on 2012-05-25 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book deals with the cognitive foundation of the theory of social action. The social sciences are still guided by models of social action, far from the empirical reality of the psychology of action. While economics seems to have made greater progress in accepting the changes to the theory of action derived from cognitive science (see, for example, the 2002 Nobel prize for economics awarded to Daniel Kahneman), sociology is still being oriented on the dualism of hermeneutics vs. structuralism, which leaves very little room for a cognitive theory of social action. The unique features of the book are its combination of epistemology, philosophy of mind and cognitive science in order to renew and overcome the limits of the current methodologies of social science and in particular methodological individualism. Methodological cognitivism is proposed as an alternative to the holistic character of structuralism, to the intentionalist and rationalist features of methodological individualism, and to the relativistic character of hermeneutics and ethnomethodology.
Download or read book Bounded Rationality written by Gerd Gigerenzer and published by MIT Press. This book was released on 2002-07-26 with total page 404 pages. Available in PDF, EPUB and Kindle. Book excerpt: In a complex and uncertain world, humans and animals make decisions under the constraints of limited knowledge, resources, and time. Yet models of rational decision making in economics, cognitive science, biology, and other fields largely ignore these real constraints and instead assume agents with perfect information and unlimited time. About forty years ago, Herbert Simon challenged this view with his notion of "bounded rationality." Today, bounded rationality has become a fashionable term used for disparate views of reasoning. This book promotes bounded rationality as the key to understanding how real people make decisions. Using the concept of an "adaptive toolbox," a repertoire of fast and frugal rules for decision making under uncertainty, it attempts to impose more order and coherence on the idea of bounded rationality. The contributors view bounded rationality neither as optimization under constraints nor as the study of people's reasoning fallacies. The strategies in the adaptive toolbox dispense with optimization and, for the most part, with calculations of probabilities and utilities. The book extends the concept of bounded rationality from cognitive tools to emotions; it analyzes social norms, imitation, and other cultural tools as rational strategies; and it shows how smart heuristics can exploit the structure of environments.
Download or read book Methodological Cognitivism written by Riccardo Viale and published by . This book was released on 2014-01-31 with total page 468 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Bounded Rationality and Behavioural Economics written by Graham Mallard and published by Routledge. This book was released on 2015-08-14 with total page 132 pages. Available in PDF, EPUB and Kindle. Book excerpt: Economics Nobel Laureate Herbert Simon developed the concept of bounded rationality in the 1950s. This asserts that the cognitive abilities of human decision-makers are not always sufficient to find optimal solutions to complex real-life problems, leading decision-makers to find satisfactory, sub-optimal outcomes. This was a foundational component of the development of Behavioural Economics but in recent years the two fields have diverged, each with its own literature, its own approach and its own proponents. Behavioural Economics explores the areas of commonality between Economics and Psychology, in terms of its focus and its approach, whereas the bounded rationality literature largely analyses the implications of sub-optimal decision‐making through the mathematically sophisticated methodology of mainstream Economics. This book examines the nature and consequences of this divergence and questions whether this is a case of beneficial specialisation or whether it is unhelpful, potentially stunting the development of some aspects of Economics. It has been suggested that the major deficiency of Behavioural Economics is that it has failed to produce a single, widely applicable alternative to constrained optimisation. This book evaluates the extent to which this is the true and, if it is, the extent to which it is a product of the divergence between the two literatures. It also seeks to identify commonalities between the two subjects and suggests avenues of research in Economics that would benefit from a re-fusion of these two fields.
Download or read book Methodological Cognitivism written by Riccardo Viale and published by Springer. This book was released on 2012-05-25 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book deals with the cognitive foundation of the theory of social action. The social sciences are still guided by models of social action, far from the empirical reality of the psychology of action. While economics seems to have made greater progress in accepting the changes to the theory of action derived from cognitive science (see, for example, the 2002 Nobel prize for economics awarded to Daniel Kahneman), sociology is still being oriented on the dualism of hermeneutics vs. structuralism, which leaves very little room for a cognitive theory of social action. The unique features of the book are its combination of epistemology, philosophy of mind and cognitive science in order to renew and overcome the limits of the current methodologies of social science and in particular methodological individualism. Methodological cognitivism is proposed as an alternative to the holistic character of structuralism, to the intentionalist and rationalist features of methodological individualism, and to the relativistic character of hermeneutics and ethnomethodology.
Download or read book Bounded Rationality and Industrial Organization written by Ran Spiegler and published by Oxford University Press. This book was released on 2011-02-18 with total page 240 pages. Available in PDF, EPUB and Kindle. Book excerpt: Conventional economic theory assumes that consumers are fully rational, that they have well-defined preferences and easily understand the market environment. Yet, in fact, consumers may have inconsistent, context-dependent preferences or simply not enough brain-power to evaluate and compare complicated products. Thus the standard model of consumer behavior-which depends on an ideal market in which consumers are boundlessly rational-is called into question. While behavioral economists have for some time confirmed and characterized these inconsistencies, the logical next step is to examine the implications they have in markets. Grounded in key observations in consumer psychology, Bounded Rationality and Industrial Organization develops non-standard models of "boundedly rational" consumer behavior and embeds them into familiar models of markets. It then rigorously analyses each model in the tradition of microeconomic theory, leading to a richer, more realistic picture of consumer behavior. Ran Spiegler analyses phenomena such as exploitative price plans in the credit market, complexity of financial products and other obfuscation practices, consumer antagonism to unexpected price increases, and the role of default options in consumer decision making. Spiegler unifies the relevant literature into three main strands: limited ability to anticipate and control future choices, limited ability to understand complex market environments, and sensitivity to reference points. Although the challenge of enriching the psychology of decision makers in economic models has been at the frontier of theoretical research in the last decade, there has been no graduate-level, theory-oriented textbook to cover developments in the last 10-15 years. Thus, Bounded Rationality and Industrial Organization offers a welcome and crucial new understanding of market behavior-it challenges conventional wisdom in ways that are interesting and economically significant, and which in the end effect the well-being of all market participants.
Download or read book Reflexivity in Economics written by Serena Sandri and published by Springer Science & Business Media. This book was released on 2008-11-30 with total page 206 pages. Available in PDF, EPUB and Kindle. Book excerpt: Since the individuals are not just stimulus-response machines but more complex beings that think and are simultaneously conscious of their thought, re?exivity is potentially involved in all human acts of cognition and in all conceptualizations. On this basis, each human discourse can be characterized as a way of thought f- mulation and therefore, reveals a self-referring nature. On this level of re?exivity, the individual thought shapes beliefs and mental representations which give life to mental models and strive to predict future events and developments to support the individuals in their decision-making. Such mental models are re?ected by the - dividuals themselves and on the situation they are confronted with. According to the result of this recursive application, the individuals will then decide which model they want to refer to, or in other words, which model they want to absorb. Similarly, the individuals can make use of social theories and predictions which can therefore yield recursive effects and interfere with the phenomena they aim to depict. Revealed theories, if accepted, may in?uence the behaviour or the agents they focus on, either in the sense of validation of the theoretical content or in that of its rejection.
Download or read book Contemporary Perspectives in Philosophy and Methodology of Science written by Wenceslao J. González and published by Netbiblo. This book was released on 2006 with total page 288 pages. Available in PDF, EPUB and Kindle. Book excerpt: Nowadays, philosophy and methodology of science appear as a combination of novelty and continuity. This blend is clear both in the general approaches to science (those thought of as any science) and in the specific perspectives on every science, either formal or empirical. There are new topics for philosophical reflection, such as key issues in philosophy of medicine and central problems raised by neuroscience. Thus, new contents have brought attention to aspects that previously went almost unnoticed. In addition, there are new angles for philosophical study, such as the repercussion of society on scientific activity (in aims, processes, and results). But the background of the main philosophical and methodological trends of the twentieth century is, in many ways, still in place.
Download or read book Bounded Rationality written by Sanjit Dhami and published by MIT Press. This book was released on 2022-07-12 with total page 553 pages. Available in PDF, EPUB and Kindle. Book excerpt: Two leaders in the field explore the foundations of bounded rationality and its effects on choices by individuals, firms, and the government. Bounded rationality recognizes that human behavior departs from the perfect rationality assumed by neoclassical economics. In this book, Sanjit Dhami and Cass R. Sunstein explore the foundations of bounded rationality and consider the implications of this approach for public policy and law, in particular for questions about choice, welfare, and freedom. The authors, both recognized as experts in the field, cover a wide range of empirical findings and assess theoretical work that attempts to explain those findings. Their presentation is comprehensive, coherent, and lucid, with even the most technical material explained accessibly. They not only offer observations and commentary on the existing literature but also explore new insights, ideas, and connections. After examining the traditional neoclassical framework, which they refer to as the Bayesian rationality approach (BRA), and its empirical issues, Dhami and Sunstein offer a detailed account of bounded rationality and how it can be incorporated into the social and behavioral sciences. They also discuss a set of models of heuristics-based choice and the philosophical foundations of behavioral economics. Finally, they examine libertarian paternalism and its strategies of “nudges.”
Download or read book Simply Rational written by Gerd Gigerenzer and published by Oxford University Press. This book was released on 2015-03-03 with total page 352 pages. Available in PDF, EPUB and Kindle. Book excerpt: Statistical illiteracy can have an enormously negative impact on decision making. This volume of collected papers brings together applied and theoretical research on risks and decision making across the fields of medicine, psychology, and economics. Collectively, the essays demonstrate why the frame in which statistics are communicated is essential for broader understanding and sound decision making, and that understanding risks and uncertainty has wide-reaching implications for daily life. Gerd Gigerenzer provides a lucid review and catalog of concrete instances of heuristics, or rules of thumb, that people and animals rely on to make decisions under uncertainty, explaining why these are very often more rational than probability models. After a critical look at behavioral theories that do not model actual psychological processes, the book concludes with a call for a "heuristic revolution" that will enable us to understand the ecological rationality of both statistics and heuristics, and bring a dose of sanity to the study of rationality.
