Reconsidering Identity Economics

Human Well-Being and Governance

  • Laszlo Garai

Table of contents

  1. Front Matter
    Pages i-xi
  2. The Structure of Social Identity and Its Economic Feature

  3. Social Identity in the Second Modernization

    1. Front Matter
      Pages 55-55
    2. Laszlo Garai
      Pages 57-59
    3. Laszlo Garai
      Pages 61-67
  4. Psychology of Bolshevik-Type System

  5. Half of Capitalism—And Its Other Half

    1. Front Matter
      Pages 143-143
    2. Laszlo Garai
      Pages 157-163
  6. Back Matter
    Pages 165-172

About this book


This book presents an unorthodox identity economics that approaches social identity through a non-classical psychology. Garai applies the modern physics concept of wave-particle duality to economic psychology, finding a corresponding duality in object-oriented activity and historically generated social identity. These two factors interconnect to create a double-storied structure of social identity and its behavioral manifestations. The book then presents a calculation device for mediating between behavioral and identity economics. Garai then applies all these factors to two socioeconomic systems developed during the second modernization: Bolshevik-type “socialism” and post-Bolshevik “capitalism.” In this context, he examines the Eastern Bloc nomenklatura as a duality of bureaucratic and patron-client organization (“state and party”) and the establishment of both today's material capitalism and its other half: human capital economics.

“Laszlo Garai's Reconsidering Identity Economics gives a new theory that intertwines people’s psychology and their economics: their psychology (and especially their identities) is the result of their economic environment; their economic environment is the result of their psychology. Garai illustrates this new view of economics and psychology with applications that are drawn from his lifelong experience and that will fascinate all readers.”
—George Akerlof, Nobel Laureate in Economics, 2001


mass-production of social identity cognitive dissonance knowledge material capital human capital activity theory economic psychology economic system economics economy well-being

Authors and affiliations

  • Laszlo Garai
    • 1
  1. 1.University of SzegedSzegedHungary

Bibliographic information

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