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Economic Agency Through Modularity Theory

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  • Rendra Suroso

    (Bandung Fe Institute)

Abstract

Economic agency as a matter of rational decision-making and as a problem of bounded rationality has never gone too far from its earlier formalization in the 1950s. Not that the advancement on this topic is so slow, but the same problem concerning higher level cognition as another general program of cognitive science is not as easy as behavioral studies. This paper will show a parallelism between economic agency and folkpsychological perspective, and in turn will give a short description on how folk psychology is unseparable from modularity theory. In short, then there must be a way to cope with cognition as the black box of economics if we can identify the appropriate level of description of cognitive structure, i.e.: modularity theory.

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File URL: http://128.118.178.162/eps/comp/papers/0405/0405006.pdf
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Bibliographic Info

Paper provided by EconWPA in its series Computational Economics with number 0405006.

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Length: 14 pages
Date of creation: 07 May 2004
Date of revision:
Handle: RePEc:wpa:wuwpco:0405006

Note: Type of Document - pdf; pages: 14
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Web page: http://128.118.178.162

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Keywords: bounded rationality; folk psychology; modularity theory;

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  1. Matthew Rabin, 2003. "A Perspective on Psychology and Economics," General Economics and Teaching 0303003, EconWPA.
  2. Kahneman, Daniel & Tversky, Amos, 1979. "Prospect Theory: An Analysis of Decision under Risk," Econometrica, Econometric Society, vol. 47(2), pages 263-91, March.
  3. Thomas Schuster, 2003. "Meta-Communication and Market Dynamics. Reflexive Interactions of Financial Markets and the Mass Media," Finance 0307014, EconWPA.
  4. McFadden, Daniel, 1999. "Rationality for Economists?," Journal of Risk and Uncertainty, Springer, vol. 19(1-3), pages 73-105, December.
  5. Colin Camerer & George Loewenstein & Drazen Prelec, 2003. "Neuroeconomics: How neuroscience can inform economics," Levine's Bibliography 506439000000000484, UCLA Department of Economics.
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