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Introduction

In: Psychology, Rationality and Economic Behaviour

Author

Listed:
  • Bina Agarwal

    (University of Delhi)

  • Alessandro Vercelli

    (University of Siena)

Abstract

‘How selfish soever man may be supposed, there are evidently some principles in his nature, which interest him in the fortune of others, and render their happiness necessary to him, though he derives nothing from it, except the pleasure of seeing it.’ (Amartya Sen, 2002: 46) [T]he insistence on the pursuit of self-interest as an inescapable necessity for rationality subverts the “self” as a free, reasoning being, by overlooking the freedom to reason about what one should pursue.’ (Adam Smith, [1759] 1966: 3) Economics today is at an exciting stage of evolution, as it begins to reopen routes of interchange with other disciplines. In this interdisciplinary exchange, psychology stands closer to centre-stage than most other disciplines. It has provided the grist for challenging many standard economic assumptions and catalysed the rapidly growing fields of behavioural economics and experimental economics.

Suggested Citation

  • Bina Agarwal & Alessandro Vercelli, 2005. "Introduction," International Economic Association Series, in: Bina Agarwal & Alessandro Vercelli (ed.), Psychology, Rationality and Economic Behaviour, chapter 1, pages 1-15, Palgrave Macmillan.
    • Handle: RePEc:pal:intecp:978-0-230-52234-3_1
    DOI: 10.1057/9780230522343_1
    as

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