This article explores parallels between the debate prompted by Pareto's reformulation of choice theory at the beginning of the twentieth century and current controversies about the status of behavioural economics. Before Pareto's reformulation, neoclassical economics was based on theoretical and experimental psychology, as behavioural economics now is. Current 'discovered preference' defences of rational-choice theory echo arguments made by Pareto. Both treat economics as a separate science of rational choice, independent of psychology. Both confront two fundamental problems: to find a defensible definition of the domain of economics, and to justify the assumption that preferences are consistent and stable.

Bruni, L., Sugden, R. (2007). The road not taken: How psychology was removed from economics, and how it might be brought back. ECONOMIC JOURNAL, 117(516), 146-173 [10.1111/j.1468-0297.2007.02005.x].

The road not taken: How psychology was removed from economics, and how it might be brought back

BRUNI, LUIGINO;
2007

Abstract

This article explores parallels between the debate prompted by Pareto's reformulation of choice theory at the beginning of the twentieth century and current controversies about the status of behavioural economics. Before Pareto's reformulation, neoclassical economics was based on theoretical and experimental psychology, as behavioural economics now is. Current 'discovered preference' defences of rational-choice theory echo arguments made by Pareto. Both treat economics as a separate science of rational choice, independent of psychology. Both confront two fundamental problems: to find a defensible definition of the domain of economics, and to justify the assumption that preferences are consistent and stable.
Articolo in rivista - Articolo scientifico
Pareto, psychology and economics, choice theory, behavioural economics
English
gen-2007
117
516
146
173
none
Bruni, L., Sugden, R. (2007). The road not taken: How psychology was removed from economics, and how it might be brought back. ECONOMIC JOURNAL, 117(516), 146-173 [10.1111/j.1468-0297.2007.02005.x].
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Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/10281/4286
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