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Evolving Norms: Cognitive Perspectives in Economics
Conventional economic models include only variables that condition ‘what an agent chooses’ and none that condition ‘how an agent chooses.’ This entails a ‘black box’ view on the individual, meaning that it does not matter analytically how that behavior is actually generated. F.A. Hayek’s theory of mind sheds light upon the process of choice. The sensory order is fundamental in the sense that the explanation of social order begins with the human mind. The central element in the cognitive process is the feedback between individual and environment. The book explains institutional evolution as an endogenous phenomenon from a cognitive viewpoint.
Evolving Norms Cognitive Perspectives in Economics.pdf
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