IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/32018.html
   My bibliography  Save this paper

La influencia de las instituciones en la racionalidad del individuo a partir de Adam Smith
[The influence of institutions on individuals rationality from Adam Smith]

Author

Listed:
  • Calero, Analía Verónica

Abstract

The Neoclassical Theory assumes that individuals are essentially selfish and maximize the utility of their income, measured on some utility scale. It defines the rationality of individuals based on preference relations, which should not change by the context. However, it is a fact that individuals do not generally use these “market rules” with their families, friends, colleagues or in their neighborhoods. This behavior has been seen as “Bounded rationality” or “failures” in the individual’s behavior. The main objective of this paper is to explore this kind of behavior and pose some questions about how institutions influence the preferences and decisions of individuals in some contexts. The assumption we have is: In reality, the homo economicus considers context as additional information and reacts on that basis. He adapts to the community with which he interacts as a matter of “survival”. We conclude that there is a “Broader rationality” in that behavior, which goes beyond the one defined in the Neoclassical Theory, which is applicable in highly specific conditions.

Suggested Citation

  • Calero, Analía Verónica, 2006. "La influencia de las instituciones en la racionalidad del individuo a partir de Adam Smith
    [The influence of institutions on individuals rationality from Adam Smith]
    ," MPRA Paper 32018, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:32018
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/32018/1/MPRA_paper_32018.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. Matthew Rabin, 1998. "Psychology and Economics," Journal of Economic Literature, American Economic Association, vol. 36(1), pages 11-46, March.
    2. Joseph Henrich & Robert Boyd & Samuel Bowles & Colin Camerer & Ernst Fehr & Herbert Gintis & Richard McElreath, 2001. "Cooperation, Reciprocity and Punishment in Fifteen Small-scale Societies," Working Papers 01-01-007, Santa Fe Institute.
    3. Samuel Bowles, 1998. "Endogenous Preferences: The Cultural Consequences of Markets and Other Economic Institutions," Journal of Economic Literature, American Economic Association, vol. 36(1), pages 75-111, March.
    4. Sen, Amartya, 1994. "The Formulation of Rational Choice," American Economic Review, American Economic Association, vol. 84(2), pages 385-390, May.
    5. Elster, Jon, 1989. "Social Norms and Economic Theory," Journal of Economic Perspectives, American Economic Association, vol. 3(4), pages 99-117, Fall.
    6. Colin F. Camerer & Richard H. Thaler, 1995. "Anomalies: Ultimatums, Dictators and Manners," Journal of Economic Perspectives, American Economic Association, vol. 9(2), pages 209-219, Spring.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Calero, Analía Verónica, 2009. "La Teoría de los Sentimientos Morales y Una investigación sobre la naturaleza y causas de la Riqueza de las Naciones: tropezar dos veces con la misma piedra
      [Theory of Moral Sentiments and An Inqui
      ," MPRA Paper 32022, University Library of Munich, Germany.

    More about this item

    Keywords

    B12; B13; B52; D46; D01; D02;

    JEL classification:

    • D46 - Microeconomics - - Market Structure, Pricing, and Design - - - Value Theory
    • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory
    • B12 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Classical (includes Adam Smith)

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:32018. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.