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The Social Context of Economic Decisions

  • George J. Mailath

    (University of Pennsylvania,)

  • Andrew Postlewaite

    (University of Pennsylvania,)

The social context can have a large impact on economic decisions. The theoretical challenge is to formulate a model that encompasses both social and economic decisions in a meaningful manner. We discuss the incorporation of social context into neoclassical economic models using social institutions. We also discuss the relationship between social institutions, social capital, and the social value of assets introduced by Mailath and Postlewaite (2002). (JEL: Z13) Copyright (c) 2003 The European Economic Association.

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Article provided by MIT Press in its journal Journal of the European Economic Association.

Volume (Year): 1 (2003)
Issue (Month): 2-3 (04/05)
Pages: 354-362

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Handle: RePEc:tpr:jeurec:v:1:y:2003:i:2-3:p:354-362
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