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Pragmatic behaviour: pragmatism as a philosophy for behavioural economics

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  • Pablo Garcés

    (Pontifical Catholic University of Ecuador)

Abstract

Behavioral economics offers an account of actual human behavior. Contrasting with the conventional normative approach to rationality, rational choice theory, describes the deviations from optimal decision making. These are attributed to failures in two systems, one in charge of automatic behavior (System 1) and the other responsible for reflective one (System 2). As important as this is, an elaboration of the interaction between them seems to be lacking. Philosophical pragmatism can contribute to address this want. It provides an evolutionary explanation of how people act accounting for the continuity of behavior including habitual and reflective action. The former is captured by habits and the latter directed towards objects. Additionally, it proposes a dialogical self, consisting of an interaction between the 'I', denoting impulse, and the 'me', referring to reflective action. As such, pragmatism can provide fertile ground on which to cultivate behavioral insights.

Suggested Citation

  • Pablo Garcés, 2022. "Pragmatic behaviour: pragmatism as a philosophy for behavioural economics," Post-Print hal-03426533, HAL.
    • Handle: RePEc:hal:journl:hal-03426533
    DOI: 10.46298/jpe.8741
    Note: View the original document on HAL open archive server: https://hal.science/hal-03426533v3
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    References listed on IDEAS

    as
    1. Vlaev, I & Dolan, P, 2009. "From changing cognitions to changing the context: a dual-route model of behaviour change," Working Papers 4197, Imperial College, London, Imperial College Business School.
    2. Carlsson, Fredrik & Gravert, Christina & Johansson-Stenman, Olof & Kurz, Verena, 2019. "Nudging as an Environmental Policy Instrument," Working Papers in Economics 756, University of Gothenburg, Department of Economics.
    3. Le Grand, Julian, 2003. "Motivation, Agency, and Public Policy: Of Knights and Knaves, Pawns and Queens," OUP Catalogue, Oxford University Press, number 9780199266999, Decembrie.
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    Keywords

    behavioral economics; pragmatism; rationality; agency; transaction;
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