Bounded Rationality And Public Policy

Author : Alistair Munro
Publisher : Springer Science & Business Media
Page : 330 pages
File Size : 53,5 Mb
Release : 2009-06-10
Category : Business & Economics
ISBN : 9781402094736

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Bounded Rationality and Public Policy by Alistair Munro Pdf

This book is about bounded rationality and public policy. It is written from the p- spective of someone trained in public economics who has encountered the enormous literature on experiments in decision-making and wonders what implications it has for the normative aspects of public policy. Though there are a few new results or models, to a large degree the book is synthetic in tone, bringing together disparate literatures and seeking some accommodation between them. It has had a long genesis. It began with a draft of a few chapters in 2000, but has expanded in scope and size as the literature on behavioural economics has grown. At some point I realised that the geometric growth of behavioural - search and the arithmetic growth of my writing were inconsistent with an am- tion to be exhaustive. As such therefore I have concentrated on particular areas of behavioural economics and bounded rationality. The resulting book is laid out as follows: Chapter 1 provides an overview of the rest of the book, goes through some basic de?nitions and identi?es themes.

Author : Sanjit Dhami,Cass R. Sunstein
Publisher : MIT Press
Page : 553 pages
File Size : 52,7 Mb
Release : 2022-07-12
Category : Business & Economics
ISBN : 9780262543705

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Bounded Rationality by Sanjit Dhami,Cass R. Sunstein Pdf

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.”

Author : Onno Bouwmeester
Publisher : Taylor & Francis
Page : 204 pages
File Size : 40,9 Mb
Release : 2017-03-16
Category : Business & Economics
ISBN : 9781317530763

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The Social Construction of Rationality by Onno Bouwmeester Pdf

There are many different forms of rationality. In current economic discourse the main focus is on instrumental rationality and optimizing, while organization scholars, behavioural economists and policy scientists focus more on bounded rationality and satisficing. The interplay with value rationality or expressive rationality is mainly discussed in philosophy and sociology, but never in an empirical way. This book shows that not one, but three different forms of rationality (subjective, social and instrumental) determine the final outcomes of strategic decisions executed by major organizations. Based on an argumentation analysis of six high-profile public debates, this book adds nuance to the concept of bounded rationality. The chapters show how it is socially constructed, and thus dependent on shared beliefs or knowledge, institutional context and personal interests. Three double case studies investigating the three rationalities illustrate how decision makers and stakeholders discuss the appropriateness of these rationalities for making decisions in different practice contexts. The first touches more on personal concerns, like wearing a niqab or looking at obscene art exposed in a public environment; the second investigates debates on improving the rights and position of specific minorities; and the third is based on the agreement on instrumental reasons for two kinds of investments, but the cost arguments are regarded less relevant when social norms or personal interests are violated. The Social Construction of Rationality is for those who study political economy, economic psychology and public policy, as well as economic theory and philosophy.

Author : Univ Of Chicago,Herbert A. Simon
Publisher : Mit Press
Page : 336 pages
File Size : 45,6 Mb
Release : 1997-07
Category : Business & Economics
ISBN : 0262519437

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Models of Bounded Rationality by Univ Of Chicago,Herbert A. Simon Pdf

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.

Author : Ani Matei,Tatiana Camelia Dogaru
Publisher : GRIN Verlag
Page : 213 pages
File Size : 44,6 Mb
Release : 2012-02-27
Category : Political Science
ISBN : 9783656141204

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The rationality of public policies by Ani Matei,Tatiana Camelia Dogaru Pdf

Research Paper (postgraduate) from the year 2012 in the subject Politics - Political Theory and the History of Ideas Journal, , language: English, abstract: Nowadays, public policies represent the most adequate instrument of action in view to achieve the public interest, no matter we talk about European, national or local level. The rational approach of public policies, representing the topic of the current publication, is or should be a steady feature of public policy making and implementing. We find the origins of this approach both in key papers of political and administrative sciences, as well as in those concerning the theory of rational choice. In the current book, a direct, causal relationship is established between public administration, public policies and the theory of rational choice. The context of that relationship holds a great structural and functional complexity, demonstrating that the juxtaposition of the three mentioned fields is not enough. The mechanisms for their connection highlight links of various, non-linear intensities, in view of a finality which should be related every time to the public interest. The public interest is also defined further a process of public choice, more or less a rational one. It is quantified in terms of efficiency and effectiveness, thus supporting the need to introduce the cost-benefit or cost-effectiveness analyses as instruments for assessing the impact of public policies in our research. The book is structured in five chapters, attempting to analyse, in an integrating vision, a joint, interdisciplinary issue, which is boosted by public policies process on public administration in the context of incorporating the theory of rational choice. The first three chapters have a theoretical character, generally a descriptive one, the fourth and fifth chapters aim to identify the influences or “prints” of the theory of rational choice on public policy making at European and national level. The publication represents the outcome of researches achieved by authors in the framework of the Doctoral School in Administrative Sciences of the Faculty of Public Administration, National School of Political Studies and Public Administration, Bucharest.

Author : Sanjit Dhami,Cass R. Sunstein
Publisher : MIT Press
Page : 553 pages
File Size : 40,9 Mb
Release : 2022-07-12
Category : Business & Economics
ISBN : 9780262369657

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Bounded Rationality by Sanjit Dhami,Cass R. Sunstein Pdf

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.”

Author : Kurt Weyland
Publisher : Princeton University Press
Page : 313 pages
File Size : 40,8 Mb
Release : 2009-02-09
Category : Political Science
ISBN : 9781400828067

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Bounded Rationality and Policy Diffusion by Kurt Weyland Pdf

Why do very different countries often emulate the same policy model? Two years after Ronald Reagan's income-tax simplification of 1986, Brazil adopted a similar reform even though it threatened to exacerbate income disparity and jeopardize state revenues. And Chile's pension privatization of the early 1980s has spread throughout Latin America and beyond even though many poor countries that have privatized their social security systems, including Bolivia and El Salvador, lack some of the preconditions necessary to do so successfully. In a major step beyond conventional rational-choice accounts of policy decision-making, this book demonstrates that bounded--not full--rationality drives the spread of innovations across countries. When seeking solutions to domestic problems, decision-makers often consider foreign models, sometimes promoted by development institutions like the World Bank. But, as Kurt Weyland argues, policymakers apply inferential shortcuts at the risk of distortions and biases. Through an in-depth analysis of pension and health reform in Bolivia, Brazil, Costa Rica, El Salvador, and Peru, Weyland demonstrates that decision-makers are captivated by neat, bold, cognitively available models. And rather than thoroughly assessing the costs and benefits of external models, they draw excessively firm conclusions from limited data and overextrapolate from spurts of success or failure. Indications of initial success can thus trigger an upsurge of policy diffusion.

Author : Paul Cairney
Publisher : Bloomsbury Publishing
Page : 376 pages
File Size : 53,8 Mb
Release : 2019-11-08
Category : Political Science
ISBN : 9781350311978

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Understanding Public Policy by Paul Cairney Pdf

The fully revised second edition of this textbook offers a comprehensive introduction to theories of public policy and policymaking. The policy process is complex: it contains hundreds of people and organisations from various levels and types of government, from agencies, quasi- and non-governmental organisations, interest groups and the private and voluntary sectors. This book sets out the major concepts and theories that are vital for making sense of the complexity of public policy, and explores how to combine their insights when seeking to explain the policy process. While a wide range of topics are covered – from multi-level governance and punctuated equilibrium theory to 'Multiple Streams' analysis and feminist institutionalism – this engaging text draws out the common themes among the variety of studies considered and tackles three key questions: what is the story of each theory (or multiple theories); what does policy theory tell us about issues like 'evidence based policymaking'; and how 'universal' are policy theories designed in the Global North? This book is the perfect companion for undergraduate and postgraduate students studying public policy, whether focussed on theory, analysis or the policy process, and it is essential reading for all those on MPP or MPM programmes. New to this Edition: - New sections on power, feminist institutionalism, the institutional analysis and development framework, the narrative policy framework, social construction and policy design - A consideration of policy studies in relation to the Global South in an updated concluding chapter - More coverage of policy formulation and tools, the psychology of policymaking and complexity theory - Engaging discussions of punctuated equilibrium, the advocacy coalition framework and multiple streams analysis

Author : Bryan D. Jones
Publisher : University of Chicago Press
Page : 252 pages
File Size : 51,8 Mb
Release : 2001-05
Category : Business & Economics
ISBN : 0226406385

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Politics and the Architecture of Choice by Bryan D. Jones Pdf

Politics and the Architecture of Choice draws on work in political science, economics, cognitive science, and psychology to offer an innovative theory of how people and organizations adapt to change and why these adaptations don't always work. Our decision-making capabilities, Jones argues, are both rational and adaptive. But because our rationality is bounded and our adaptability limited, our actions are not based simply on objective information from our environments. Instead, we overemphasize some factors and neglect others, and our inherited limitations—such as short-term memory capacity—all act to affect our judgment. Jones shows how we compensate for and replicate these limitations in groups by linking the behavioral foundations of human nature to the operation of large-scale organizations in modern society. Situating his argument within the current debate over the rational choice model of human behavior, Jones argues that we should begin with rationality as a standard and then study the uniquely human ways in which we deviate from it.

Author : Gerd Gigerenzer,Reinhard Selten
Publisher : MIT Press
Page : 404 pages
File Size : 40,8 Mb
Release : 2002-07-26
Category : Business & Economics
ISBN : 0262571641

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Bounded Rationality by Gerd Gigerenzer,Reinhard Selten Pdf

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.

Author : Riccardo Viale
Publisher : Routledge
Page : 681 pages
File Size : 54,9 Mb
Release : 2020-12-02
Category : Business & Economics
ISBN : 9781317330806

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Routledge Handbook of Bounded Rationality by Riccardo Viale Pdf

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.

Author : B. Guy Peters,Philippe Zittoun
Publisher : Springer
Page : 206 pages
File Size : 48,6 Mb
Release : 2016-05-25
Category : Political Science
ISBN : 9781137504944

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Contemporary Approaches to Public Policy by B. Guy Peters,Philippe Zittoun Pdf

This book considers a range of contemporary approaches to public policy studies. These approaches are based on a number of theoretical perspectives on decision-making, as well as alternative perspectives on policy instruments and implementation. The range of approaches covered in the volume includes punctuated equilibrium models, the advocacy-coalition framework, multiple streams approaches, institutional analyses, constructivist approaches, behavioural models, and the use of instruments as an approach to public policy. The volume concludes with a discussion of fundamental issues of democracy in public policy.

Author : Jonathan B. Bendor
Publisher : Univ of California Press
Page : 349 pages
File Size : 50,8 Mb
Release : 2010
Category : Business & Economics
ISBN : 9780520259461

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Bounded Rationality and Politics by Jonathan B. Bendor Pdf

"Bendor's Bounded Rationality and Politics provides an adept and illuminating critique of existing theories while also introducing new models and concepts that are sure to remain part of the conversation for generations to come. This book will reinvigorate the field of political science."--Daniel P. Carpenter, Harvard University "Bendor's scholarship is top drawer. Excellent. These essays are not only intellectually deep, but also engaging and powerful."--Scott Page, University of Michigan

Author : Tadao Miyakawa
Publisher : Taylor & Francis
Page : 568 pages
File Size : 46,7 Mb
Release : 1999
Category : Policy sciences
ISBN : 0415195969

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The Science of Public Policy: Policy analysis by Tadao Miyakawa Pdf

Author : The late Herbert A. Simon,Massimo Egidi,Robin Lapthorn Marris,Riccardo Viale
Publisher : Edward Elgar Publishing
Page : 244 pages
File Size : 44,9 Mb
Release : 2024-05-17
Category : Business & Economics
ISBN : 1781008221

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Economics, Bounded Rationality and the Cognitive Revolution by The late Herbert A. Simon,Massimo Egidi,Robin Lapthorn Marris,Riccardo Viale Pdf

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.