Advertisement

Rationality and Experimental Economics

  • Mario GrazianoEmail author
Chapter
  • 892 Downloads
Part of the SpringerBriefs in Philosophy book series (BRIEFSPHILOSOPH)

Abstract

The theory of rational choice (TRC) is a model of explanation used by social science theorists to interpret behavior. Initially, the theory was the dominant paradigm of economics. A fundamental postulate of neoclassical economics was that economic phenomena primarily resulted from the action of agents who were fully rational, equal and therefore indistinguishable from each other and all agents pursuing their own personal and individual gain.

Keywords

Utility Function Nash Equilibrium Game Theory Rational Agent Rational Choice 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

References

  1. Akerlof, G. (1970). The market for “Lemons”: Quality uncertainty and the market mechanism. Quarter Journal of Economics, 84(3), 488–500.CrossRefGoogle Scholar
  2. Bagassi, M., & Macchi, L. (2006). Pragmatic approach to decision making under uncertainty: The case of the disjunction effect. Thinking and Reasoning, 12(3), 329–350.CrossRefGoogle Scholar
  3. Bentham, J. (1789). An Introduction to the Principle of Morals and Legislations. Oxford: Blackwell.Google Scholar
  4. Bertuglia, C. S., & Vaio, F. (2011). Complessità e modelli. Torino: Bollati Boringhieri.Google Scholar
  5. Binmore, K. (1994). Rationality in the centipede. In M. Kaufmann (Ed.), Proceedings of the 5th Conference on Theoretical Aspects of Reasoning about Knowledge (pp. 150–159). San Francisco: Morgan Kaufmann Publishers.Google Scholar
  6. Camerer, C. F., & Loewenstein, G. (2002). Behavioral economics: Past, present, future. Pasadena: Mimeo, Division of Humanities and Social Science.Google Scholar
  7. Camerer, C. F., & Thaler, R. (1995). Anomalies: Dictators, ultimatums, and manners. Journal of Economic Perspectives, 9(2), 209–219.CrossRefGoogle Scholar
  8. Chen, M. K., Lakshminaryanan, V., & Santos, L. R. (2006). The evolution of our preferences: Evidence from capuchin monkey trading behavior. Journal of Political Economy, 114(3), 517–537.CrossRefGoogle Scholar
  9. Cosmides, L., & Tooby, J. (1996). Are humans good intuitive statisticians after all? Rethinking some conclusions from the literature on judgment under uncertainty. Cognition, 58, 1–73.CrossRefGoogle Scholar
  10. Davidson, D. (2001). Subjective, intersubjective, objective. Oxford: Oxford University Press.CrossRefGoogle Scholar
  11. Dehaene, S., & Brannon, E. (2011). Space, time and number in the brain searching for the foundations of mathematical thought. San Diego: Elsevier.Google Scholar
  12. Eddy, D. M. (1982). Probabilistic reasoning in clinical medicine: Problems and opportunities. In D. Kahneman, P. Slovic, & A. Tversky (Eds.), Judgment under uncertainty: Heuristics and biases (pp. 249–267). Cambridge: Cambridge University Press.Google Scholar
  13. Feynman, R. P. (1967). The character of physical law. Cambridge: MIT Press.Google Scholar
  14. Fiedler, K. (1988). The dependence of the conjunction fallacy on subtle linguistic factors. Psychological Research, 50(2), 123–129.CrossRefGoogle Scholar
  15. Friedman, M., & Savage, L. (1948). The utility analysis of choices involving risk. The Journal of Political Economy, 56(4), 279–304.CrossRefGoogle Scholar
  16. Gallistel, C. R., & Gelman, R. (1978). The child’s understanding of number. Cambridge: Harvard university Press.Google Scholar
  17. Gigerenzer, G. (2007). Gut feelings: The intelligence of the unconscious. New York: Viking Press.Google Scholar
  18. Gigerenzer, G., & Murray, D. J. (1987). Cognition as intuitive statistics. New York: Erlbaum.Google Scholar
  19. Giorello, G., & Morini, S. (2008). Harsanyi visto da Giulio Giorello e Simona Morini. Roma: Luiss University Press.Google Scholar
  20. Grice, P. (1975). Logic and conversation. In P. Cole, J. L. Morgan (Eds), Syntax and semantics. Speech acts (pp. 41–58). New York: Academic Press.Google Scholar
  21. Griffin, D. W., & Kahneman, D. (2002). Judgment heuristics: Human strengths or human weaknesses? In L. Aspinwall & U. Staudinger (Eds.), A psychology of human strengths: Perspectives on an emerging field (pp. 165–178). Washington: APA Books.Google Scholar
  22. Guala, F. (2005). The methodology of experimental economics. Cambridge: Cambridge University Press.CrossRefGoogle Scholar
  23. Ingrao, B., & Istrael, G. (1987). La mano invisibile. L’equilibrio economico nella storia della scienza. Roma-Bari: Laterza.Google Scholar
  24. Kahneman, D., Slovic, P., & Tversky, A. (1982). Judgment under uncertainty: Heuristics and biases. Cambridge: Cambridge University Press.Google Scholar
  25. Kahneman, D., & Tversky, A. (1973). On the psychology of prediction. Psychological Review, 80(4), 237–251.CrossRefGoogle Scholar
  26. Kahneman, D., & Tversky, A. (1974). Judgement under uncertainty. Heuristics and biases. Science, 185, 1124–1131.CrossRefGoogle Scholar
  27. Kahneman, D., & Tversky, A. (1979). Prospect theory: An analysis of decision under risk. Econometrica, 47(2), 263–292.CrossRefGoogle Scholar
  28. Levinson, S. C. (2000). Presumptive meanings. Cambridge: MIT Press.Google Scholar
  29. Luce, R. D., & Raiffa, H. (1957). Games and decisions: Introduction and critical survey. New York: Wiley.Google Scholar
  30. Macdonald, R. R., & Gilhooly, K. J. (1990). More about Linda or conjunctions in context. European Journal of Cognitive Psychology, 2(1), 57–70.CrossRefGoogle Scholar
  31. Marschak, J. (1951). Why « should » statisticians and businessmen maximize « moral expectation » ? In J. Neyman (Ed.), Paper presented at the Second Berkeley Symposium on Mathematical Statistics and Probability (Cowles Foundation Paper 53). Berkeley: University of California Press.Google Scholar
  32. Martignon, L., Vitouch, O., Takezawa, M., & Forster, M. R. (2003). Naive and yet enlightened: From natural frequencies to fast and frugal decision trees. In D. Hardman & L. Macchi (Eds.), Thinking: Psychological perspectives on reasoning, judgment and decision making (pp. 189–211). Chichester: Wiley.Google Scholar
  33. Mayo, D. G. (1996). Error and the growth of experimental knowledge. Chicago: University of Chicago Press.Google Scholar
  34. Moro, R. (2009). On the nature of the conjunction fallacy. Synthese, 171(1), 1–24.CrossRefGoogle Scholar
  35. Mosconi, G. (1990). Discorso e Pensiero. Bologna: Il Mulino.Google Scholar
  36. Mosconi, G., & Macchi, L. (2001). Pragmatic rules and the conjunction fallacy. Mind & Society, 2(1), 31–57.CrossRefGoogle Scholar
  37. Nash, J. F. (1949). Two person cooperative games. Econometrica, 21, 128–140.CrossRefGoogle Scholar
  38. Piattelli Palmarini, M. (2005). Psicologia ed economia della scelta. Torino: Codice Edizioni.Google Scholar
  39. Saks, M. J., & Kidd, R. F. (1980). Human information processing and adjudication: Trial by heuristics. Law and Society Review, 15, 123–160.CrossRefGoogle Scholar
  40. Samuelson, P. A. (1938). A note on the pure theory of consumer’s behaviour. Economica, 5(17), 61–71.CrossRefGoogle Scholar
  41. Sanfey, A. G., Rilling, J. K., Aronson, J. A., Nystrom, L. E., & Cohen, J. D. (2003). The neural basis of economic decision-making in the Ultimatum Game. Science, 300, 1755–1758.CrossRefGoogle Scholar
  42. Shefrin, H., & Statman, M. (1985). The disposition to sell winners too early and ride losers too long. Journal of Finance, 40(3), 777–790.CrossRefGoogle Scholar
  43. Sher, S., & McKenzie, C. R. M. (2006). Information leakage from logically equivalent frames. Cognition, 101, 467–494.CrossRefGoogle Scholar
  44. Simon, H. A. (1972). Theories of bounded rationality. In C. B. McGuire & C. Radner (Eds.), Decision and organization (pp. 161–176). Amsterdam: North-Holland.Google Scholar
  45. Sperber, D., Cara, F., & Girotto, V. (1995). Relevance theory explains the selection task. Cognition, 57, 31–95.CrossRefGoogle Scholar
  46. Sperber, D., & Wilson, D. (1986). Relevance communication and cognition. Oxford: Basil Blackwell.Google Scholar
  47. Thaler, R. (1983). Illusion and mirages in public policy. The Public Interest, 73, 60–74.Google Scholar
  48. Tversky, A., & Kahneman, D. (1983). Extensional versus intuitive reasoning: The conjunction fallacy in probability judgment. Psychological Review, 90(4), 293–315.CrossRefGoogle Scholar

Copyright information

© The Author(s) 2013

Authors and Affiliations

  1. 1.Department of Cognitive SciencesUniversity of MessinaMessinaItaly

Personalised recommendations