IDEAS home Printed from https://ideas.repec.org/p/ehl/lserod/115039.html
   My bibliography  Save this paper

On the recent philosophy of decision theory

Author

Listed:
  • Moscati, Ivan

Abstract

In the philosophy of economics, the last fifteen years have witnessed an intense discussion about the epistemological status of economic models of decision making and their theoretical components, such as the concept of preference. In this article I offer a selective review of this discussion and indicate the directions in which I believe it should evolve.

Suggested Citation

  • Moscati, Ivan, 2021. "On the recent philosophy of decision theory," LSE Research Online Documents on Economics 115039, London School of Economics and Political Science, LSE Library.
  • Handle: RePEc:ehl:lserod:115039
    as

    Download full text from publisher

    File URL: http://eprints.lse.ac.uk/115039/
    File Function: Open access version.
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Caplin, Andrew & Schotter, Andrew, 2008. "The Foundations of Positive and Normative Economics: A Handbook," OUP Catalogue, Oxford University Press, number 9780195328318.
    2. Beshears, John & Choi, James J. & Laibson, David & Madrian, Brigitte C., 2008. "How are preferences revealed?," Journal of Public Economics, Elsevier, vol. 92(8-9), pages 1787-1794, August.
    3. repec:hal:wpaper:halshs-01249632 is not listed on IDEAS
    4. I. Gilboa & A. Postlewaite & L. Samuelson & D. Schmeidler, 2015. "Economic models as analogies," Voprosy Ekonomiki, NP Voprosy Ekonomiki, issue 4.
    5. Hausman,Daniel M., 2012. "Preference, Value, Choice, and Welfare," Cambridge Books, Cambridge University Press, number 9781107015432.
    6. Dhami, Sanjit, 2016. "The Foundations of Behavioral Economic Analysis," OUP Catalogue, Oxford University Press, number 9780198715535.
    7. Till Grüne-Yanoff & Caterina Marchionni & Ivan Moscati, 2014. "Introduction: methodologies of bounded rationality," Journal of Economic Methodology, Taylor & Francis Journals, vol. 21(4), pages 325-342, December.
    8. Nathan Berg & Gerd Gigerenzer, 2010. "As-if behavioral economics: neoclassical economics in disguise?," History of Economic Ideas, Fabrizio Serra Editore, Pisa - Roma, vol. 18(1), pages 133-166.
    9. Dietrich, Franz & List, Christian, 2016. "Mentalism Versus Behaviourism In Economics: A Philosophy-Of-Science Perspective," Economics and Philosophy, Cambridge University Press, vol. 32(2), pages 249-281, July.
    10. Herbert A. Simon, 1955. "A Behavioral Model of Rational Choice," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 69(1), pages 99-118.
    11. Daniel Kahneman & Amos Tversky, 2013. "Prospect Theory: An Analysis of Decision Under Risk," World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127, World Scientific Publishing Co. Pte. Ltd..
    12. Itzhak Gilboa & Andrew Postlewaite & Larry Samuelson & David Schmeidler, 2019. "What are axiomatizations good for?," Theory and Decision, Springer, vol. 86(3), pages 339-359, May.
    13. Paola Manzini & Marco Mariotti, 2014. "Welfare economics and bounded rationality: the case for model-based approaches," Journal of Economic Methodology, Taylor & Francis Journals, vol. 21(4), pages 343-360, December.
    14. Harrison, Glenn W., 2008. "Neuroeconomics: A Critical Reconsideration," Economics and Philosophy, Cambridge University Press, vol. 24(3), pages 303-344, November.
    15. Jean Baccelli & Philippe Mongin, 2016. "Choice-based cardinal utility: a tribute to Patrick Suppes," Journal of Economic Methodology, Taylor & Francis Journals, vol. 23(3), pages 268-288, July.
    16. Catherine Herfeld, 2018. "Explaining patterns, not details: reevaluating rational choice models in light of their explananda," Journal of Economic Methodology, Taylor & Francis Journals, vol. 25(2), pages 179-209, April.
    17. Mikaël Cozic & Brian Hill, 2015. "Representation theorems and the semantics of decision-theoretic concepts," Post-Print hal-01955975, HAL.
    18. Bart Engelen, 2017. "A new definition of and role for preferences in positive economics," Journal of Economic Methodology, Taylor & Francis Journals, vol. 24(3), pages 254-273, July.
    19. Craver, Carl F. & Alexandrova, Anna, 2008. "No Revolution Necessary: Neural Mechanisms For Economics," Economics and Philosophy, Cambridge University Press, vol. 24(3), pages 381-406, November.
    20. Jack Vromen, 2010. "On the surprising finding that expected utility is literally computed in the brain," Journal of Economic Methodology, Taylor & Francis Journals, vol. 17(1), pages 17-36.
    21. Fumagalli, Roberto, 2013. "The Futile Search For True Utility," Economics and Philosophy, Cambridge University Press, vol. 29(3), pages 325-347, November.
    22. Mikaël Cozic & Brian Hill, 2015. "Representation theorems and the semantics of decision-theoretic concepts," Journal of Economic Methodology, Taylor & Francis Journals, vol. 22(3), pages 292-311, September.
    23. Eddie Dekel & Barton L. Lipman, 2010. "How (Not) to Do Decision Theory," Annual Review of Economics, Annual Reviews, vol. 2(1), pages 257-282, September.
    24. Guala, Francesco, 2019. "Preferences: neither behavioural nor mental," Economics and Philosophy, Cambridge University Press, vol. 35(3), pages 383-401, November.
    25. Prasanta K. Pattanaik, 2013. "The concepts of choice and preference in economics," Journal of Economic Methodology, Taylor & Francis Journals, vol. 20(2), pages 215-218, June.
    26. Faruk Gul & Wolfgang Pesendorfer, 2001. "Temptation and Self-Control," Econometrica, Econometric Society, vol. 69(6), pages 1403-1435, November.
    27. Christopher Clarke, 2020. "Functionalism and the role of psychology in economics," Journal of Economic Methodology, Taylor & Francis Journals, vol. 27(4), pages 292-310, October.
    28. Mas-Colell, Andreu & Whinston, Michael D. & Green, Jerry R., 1995. "Microeconomic Theory," OUP Catalogue, Oxford University Press, number 9780195102680.
    29. Hausman,Daniel M., 2012. "Preference, Value, Choice, and Welfare," Cambridge Books, Cambridge University Press, number 9781107695122.
    30. Okasha, Samir, 2016. "On The Interpretation Of Decision Theory," Economics and Philosophy, Cambridge University Press, vol. 32(3), pages 409-433, November.
    31. Aki Lehtinen, 2013. "Preferences as total subjective comparative evaluations," Journal of Economic Methodology, Taylor & Francis Journals, vol. 20(2), pages 206-210, June.
    32. Beshears, John & Choi, James J. & Laibson, David & Madrian, Brigitte C., 2008. "How are preferences revealed?," Journal of Public Economics, Elsevier, vol. 92(8-9), pages 1787-1794, August.
    33. Anna Alexandrova & Daniel M. Haybron, 2011. "High-Fidelity Economics," Chapters, in: John B. Davis & D. Wade Hands (ed.), The Elgar Companion to Recent Economic Methodology, chapter 5, Edward Elgar Publishing.
    34. Glenn Harrison & Don Ross, 2010. "The methodologies of neuroeconomics," Journal of Economic Methodology, Taylor & Francis Journals, vol. 17(2), pages 185-196.
    35. Don Ross, 2011. "Estranged parents and a schizophrenic child: choice in economics, psychology and neuroeconomics," Journal of Economic Methodology, Taylor & Francis Journals, vol. 18(3), pages 217-231, September.
    36. Vredenburgh, Kate, 2020. "A unificationist defence of revealed preferences," Economics and Philosophy, Cambridge University Press, vol. 36(1), pages 149-169, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Francesco GUALA, 2017. "Preferences: Neither Behavioural nor Mental," Departmental Working Papers 2017-05, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
    2. Fumagalli, Roberto, 2021. "Rationality, preference satisfaction and anomalous intentions: why rational choice theory is not self-defeating," LSE Research Online Documents on Economics 112446, London School of Economics and Political Science, LSE Library.
    3. Roberto Fumagalli, 2021. "Rationality, preference satisfaction and anomalous intentions: why rational choice theory is not self-defeating," Theory and Decision, Springer, vol. 91(3), pages 337-356, October.
    4. Itzhak Gilboa & Andrew Postlewaite & Larry Samuelson & David Schmeidler, 2019. "What are axiomatizations good for?," Theory and Decision, Springer, vol. 86(3), pages 339-359, May.
    5. D Wade Hands, 2013. "GP08 is the New F53: Gul and Pesendorfer’s Methodological Essay from the Viewpoint of Blaug’s Popperian Methodology," Chapters, in: Marcel Boumans & Matthias Klaes (ed.), Mark Blaug: Rebel with Many Causes, chapter 17, pages 245-266, Edward Elgar Publishing.
    6. Sanjit Dhami & Ali al-Nowaihi & Cass R. Sunstein, 2019. "Heuristics and Public Policy: Decision-making Under Bounded Rationality," Studies in Microeconomics, , vol. 7(1), pages 7-58, June.
    7. Marcel Boumans & Matthias Klaes (ed.), 2013. "Mark Blaug: Rebel with Many Causes," Books, Edward Elgar Publishing, number 15224.
    8. Luca Congiu & Ivan Moscati, 2022. "A review of nudges: Definitions, justifications, effectiveness," Journal of Economic Surveys, Wiley Blackwell, vol. 36(1), pages 188-213, February.
    9. Marek Hudik, 2019. "Two interpretations of the rational choice theory and the relevance of behavioral critique," Rationality and Society, , vol. 31(4), pages 464-489, November.
    10. Yildiz, Özgür, 2014. "Lehren aus der Verhaltensökonomik für die Gestaltung umweltpolitischer Maßnahmen [Lessons from behavioral economics for the design of environmental policy measures]," MPRA Paper 59360, University Library of Munich, Germany.
    11. Ivan Moscati, 2022. "Behavioral and heuristic models are as-if models too — and that’s ok," BAFFI CAREFIN Working Papers 22177, BAFFI CAREFIN, Centre for Applied Research on International Markets Banking Finance and Regulation, Universita' Bocconi, Milano, Italy.
    12. Glenn W. Harrison, 2019. "The behavioral welfare economics of insurance," The Geneva Risk and Insurance Review, Palgrave Macmillan;International Association for the Study of Insurance Economics (The Geneva Association), vol. 44(2), pages 137-175, September.
    13. Jacobs Martin, 2016. "Accounting for Changing Tastes: Approaches to Explaining Unstable Individual Preferences," Review of Economics, De Gruyter, vol. 67(2), pages 121-183, August.
    14. Marco Fabbri & Michael Faure, 2018. "Toward a “constitution” for behavioral policy-making," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 65(3), pages 241-270, September.
    15. Dorian Jullien & Nicolas Vallois, 2014. "A probabilistic ghost in the experimental machine," Journal of Economic Methodology, Taylor & Francis Journals, vol. 21(3), pages 232-250, September.
    16. Guilhem Lecouteux, 2020. "Welfare Economics in Large Worlds: Welfare and Public Policies in an Uncertain Environment," GREDEG Working Papers 2020-08, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    17. Ardalan, Kavous, 2018. "Neurofinance versus the efficient markets hypothesis," Global Finance Journal, Elsevier, vol. 35(C), pages 170-176.
    18. Guilhem Lecouteux & Ivan Mitrouchev, 2022. "Preference Purification in Behavioural Welfare Economics: an Impossibility Result," GREDEG Working Papers 2022-31, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    19. Dalton, P.S. & Ghosal, S., 2010. "Behavioral Decisions and Welfare (Replaces CentER DP 2010-22)," Discussion Paper 2010-143, Tilburg University, Center for Economic Research.
    20. Sugden, Robert, 2021. "Hume's experimental psychology and the idea of erroneous preferences," Journal of Economic Behavior & Organization, Elsevier, vol. 183(C), pages 836-848.

    More about this item

    Keywords

    behaviorism; choice; heuristics; mentalism; naturalism; Preference; scientific realism and antirealism;
    All these keywords.

    JEL classification:

    • J1 - Labor and Demographic Economics - - Demographic Economics

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ehl:lserod:115039. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: LSERO Manager (email available below). General contact details of provider: https://edirc.repec.org/data/lsepsuk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.