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Normative Behavioural Economics Based on Unconditional Love and Moral Virtue

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  • Vipul Bhatt
  • Masao Ogaki
  • Yuichi Yaguchi

Abstract

type="main"> An important difficulty in many models of behavioural economics is that preferences are endogenous and unstable. Therefore, preferences may not provide the most desirable yardstick to evaluate social states. The present paper proposes unconditional love as a candidate for such a yardstick. The concept of unconditional love, although lofty, is often hard to apply for practical policy recommendations. We propose an intermediary learning stage, where learning to unconditionally love is desirable, and policies that promote such learning are deemed to be good. We illustrate the use of this principle in models of endogenous altruism.

Suggested Citation

  • Vipul Bhatt & Masao Ogaki & Yuichi Yaguchi, 2015. "Normative Behavioural Economics Based on Unconditional Love and Moral Virtue," The Japanese Economic Review, Japanese Economic Association, vol. 66(2), pages 226-246, June.
  • Handle: RePEc:bla:jecrev:v:66:y:2015:i:2:p:226-246
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    File URL: http://hdl.handle.net/10.1111/jere.12067
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    Cited by:

    1. Foster, Gigi & Pingle, Mark & Yang, Jingjing, 2019. "Are we addicted to love? A parsimonious economic model of love," Journal of Economic Behavior & Organization, Elsevier, vol. 165(C), pages 70-81.
    2. Masao Ogaki, 2022. "Economics of the community mechanism," The Japanese Economic Review, Springer, vol. 73(3), pages 433-457, July.
    3. Vipul Bhatt & Masao Ogaki & Yuichi Yaguchi, 2014. "A Reformulation of Normative Economics for Models with Endogenous Preferences," IMES Discussion Paper Series 14-E-02, Institute for Monetary and Economic Studies, Bank of Japan.
    4. Vipul Bhatt & Masao Ogaki & Yuichi Yaguchi, 2017. "Introducing Virtue Ethics into Normative Economics for Models with Endogenous Preferences," RCER Working Papers 600, University of Rochester - Center for Economic Research (RCER).

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    More about this item

    JEL classification:

    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • Z18 - Other Special Topics - - Cultural Economics - - - Public Policy

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