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Two sources of human irrationality: Cognitive dissonance and brain dysfunction

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  • Lester, David
  • Yang, Bijou

Abstract

Akerof and Dickens explored the relevance of cognitive dissonance theory for economics, and the theory is shown here to predict occasional irrational thinking. Secondly, it is proposed that the focus of neuroeconomics on brain dysfunction and the role of neurotranmitters on cognition suggests two ways in which the functioning of the brain can impair rational decision-making.

Suggested Citation

  • Lester, David & Yang, Bijou, 2009. "Two sources of human irrationality: Cognitive dissonance and brain dysfunction," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(4), pages 658-662, August.
  • Handle: RePEc:eee:soceco:v:38:y:2009:i:4:p:658-662
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    References listed on IDEAS

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    1. Akerlof, George A & Dickens, William T, 1982. "The Economic Consequences of Cognitive Dissonance," American Economic Review, American Economic Association, vol. 72(3), pages 307-319, June.
    2. Bhatt, Meghana & Camerer, Colin F., 2005. "Self-referential thinking and equilibrium as states of mind in games: fMRI evidence," Games and Economic Behavior, Elsevier, vol. 52(2), pages 424-459, August.
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