John Tomer was a leading intellectual figure in behavioural economics, making distinct contributions to the theory of the firm, social economy, choice theory, and government policy. His underlying methodology as an economist was to incorporate different disciplinary approaches to the subject at hand, whilst maintaining an underlying respect and understanding of how and why humans behave the way they do. This book brings together a collection of scholars celebrating John Tomer's contributions to the field of economics. Covering key areas of his research, contributing authors discuss the latest research in behavioral economics, the human firm, climate change policy, sustainability, well-being, human capital, and human development. This volume, extending John Tomer's more scientific perspective rooted in behavioural and institutional economics, should find an audience among both scholars and policy advocates. It can also enrich course delivery, providing students with alternative perspectives and approach to economic and socio-economic analysis
"This comprehensive Handbook addresses a wide variety of methodological approaches adopted and developed by behavioural economists, exploring the implications of such innovations for analysis and policy. Presenting analytical narratives from renowned economists and economic psychologists, the Handbook applies a broad array of methodological perspectives to behavioural economics. These span from bounded rationality, asymmetric information, and heuristics and biases to fast and frugal heuristics, rational agents and smart decision-makers, and capabilities improvements and institutional design. Chapters further explore diverse areas such as public policy, micro and macroeconomics, labour economics, the firm, decision-making, preference formation, punishment, love, altruism, trust, the environment, money and finance, health, and sports. Providing a pluralistic approach to behavioural economics, the Handbook ultimately introduces readers to an array of possible methodologies that can be adopted to address topical economic issues, as well as facilitating an enriched and nuanced understanding of human behaviour in an economic context. Comparing and contrasting different methodologies within behavioural and neoclassical economics, this dynamic Handbook will be an invaluable resource for undergraduate and postgraduate students enrolled in economics, social psychology, and marketing courses. Policymakers will also benefit from its examination of the implications of behavioural economics for real-world decision making and policy"--
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This comprehensive Handbook addresses a wide variety of methodological approaches adopted and developed by behavioural economists, exploring the implications of such innovations for analysis and policy. Presenting analytical narratives from renowned economists and economic psychologists, the Handbook applies a broad array of methodological perspectives to behavioural economics. These span from bounded rationality, asymmetric information, and heuristics and biases to fast and frugal heuristics, rational agents and smart decision-makers, and capabilities improvements and institutional design. Chapters further explore diverse areas such as public policy, micro and macroeconomics, labour economics, the firm, decision-making, preference formation, punishment, love, altruism, trust, the environment, money and finance, health, and sports. Providing a pluralistic approach to behavioural economics, the Handbook ultimately introduces readers to an array of possible methodologies that can be adopted to address topical economic issues, as well as facilitating an enriched and nuanced understanding of human behaviour in an economic context. Comparing and contrasting different methodologies within behavioural and neoclassical economics, this dynamic Handbook will be an invaluable resource for undergraduate and postgraduate students enrolled in economics, social psychology, and marketing courses. Policymakers will also benefit from its examination of the implications of behavioural economics for real-world decision making and policy
A major theme of this book is that, contrary to what many experts believe, being endowed with a plenitude of natural resources is not a curse: rather it provides a potential advantage, if capitalized by the well-endowed economy. Much depends on the institutions that help frame the decision-making process that affects the process of growth and development. Canada is an example of a successful export-oriented economy. And, its export-orientation has been a focal point of discussion and debate, going way back to discussions of the early fur trade, the fishing industry, wheat farming, and mining and oil and gas exploration. Unlike other economies well-endowed with natural resources, Canada does not appear to be at all cursed, but rather blessed with natural resource abundance. This book, which ranges from the late seventeenth to the early twentieth century, provides insights from Canadian economic history on how such abundance can be a handmaiden of successful growth and development. From this perspective, the natural resource curse appears to be more of a man-made phenomenon than anything else. This book also investigates aspects of gender inequality in Canada as well as the evolution of hours worked as it intersects with worker preferences and market forces. The narratives in this book are contextualised by the construction of new or significantly revised data sets, which speaks to the importance of data construction to robust economic analysis and economic history. Morris Altman is Chair Professor and Dean University of Dundee School of Business, Scotland, United Kingdom and Professor Emeritus at the University of Saskatchewan, Canada. He is a past president of the Society for the Advancement of Behavioral Economics and of the Association for Social Economics.
Intro -- Smart Economic Decision-Making in a Complex World -- Copyright -- Dedication -- Endorsements -- Contents -- Acknowledgements -- Chapter 1 Introduction: Smart thinking in the real world of complexity -- What this book is all about -- Appendix: Background sources for, smart economic decision-making in a complex world -- References -- Chapter 2 The evolution of decision-making: Why institutions and capabilities matters -- Introduction -- Assumptions matter and behavioural economics -- The conventional wisdom and the different faces of behavioural economics -- The bounded rationality approach in context -- Satisficing and procedural rationality in context -- X-efficiency theory and external benchmarks for optimal behaviour -- Nudging versus constraints change and redesign -- Conclusion -- References -- Chapter 3 How complexity affects decision-making -- Introduction -- Key points of overlap: Hayek and behavioural economics -- Assumptions matter -- Revisiting complexity and the expert -- Contemporary views on bottom-up decision making and individualized norms for rationality -- Ecological rationality and the spontaneous order -- Opening the door to intelligent design -- Opening the door to multiple equilibria: Casting shadows on the spontaneous order and ecological rationality -- Conclusion: Hayek's Golden nugget in decision-making theory -- References -- Chapter 4 Freedom of choice in a complex world -- Introduction -- Multiple equilibria in consumption -- Multiple equilibria in production: An introduction -- Multiple equilibria in production: X-inefficiency and managerial slack -- Multiple equilibria in production: X-inefficiency and agency -- Multiple equilibria in production: Some related scenarios -- Historical and logical time -- Rent seeking and x-efficiency -- Conclusion -- References.
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Contents: 1. Introduction: rethinking ethics, economic theory, and public policy -- 2. The evolution of ethics and the market economy -- 3. Understanding why ethical production and ethical investment can flourish in a global economy -- 4. Ethical choices in the economic world -- 5. Free will in economics: is there freedom of choice? -- 6. The ethics of capabilities -- 7. How much are you willing to pay to be ethical? An experiment -- 8. Why being green can make you happy and be good for the economy -- 9. The road to freedom? Ethical implications of economic theory for public policy: insights from behaviour economics -- Index.
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Contents: Foreword / by Vernon Smith -- 1. Introduction to smart decision-making / Morris Altman -- Part I Smart decision-makers, different types of rationality, and outcomes -- 2. Rational inefficiency : smart thinking, bounded rationality, and the scientific basis for economic failure and success / Morris Altman -- 3. Rational mistakes that make us smart / Nathan Berg -- 4. Rational choice as if the choosers were human / Peter J. Boettke and Rosolino A. Candela -- 5. Smart predictions from wrong data : the case of ecological correlations / Florian Kutzner and Tobias Vogel -- 6. Heuristics : fast, frugal, and smart / Shabnam Mousavi, Björn meder, Hansjörg Neth and Reza Kheirandish -- 7. The beauty of simplicity? (simple) heuristics and the opportunities yet to be realized / Andreas Ortmann and Leonidas Spiliopoulos -- 8. Smart persons and human development : the missing ingredient in behavioral economics / John F. Tomer -- Part II Aspects of smart decision-making -- 9. Behavioral strategy at the frontline : insights and inspirations from the US Marine Corps / Mie Augier -- 10. Feminist economics for smart behavioural economics / Siobhan Austen -- 11. How regret moves individual and collective choices towards rationality / Sacha Bourgeois-Gironde -- 12. Is it rational to be in love? / Paul Frijters and Gigi Foster -- 13. Behavioural economic anthropology / Giuseppe Danese and Luigi Mittone -- Part III Development and governance -- 14. Do changes in farmers' seed traits align with climate change? a case study of maize in Chiapas, México / C. Leigh Anderson, Andrew Cronholm and Pierre Biscaye -- 15. Rationality, globalization, and x-efficiency among financial institutions / Roger Frantz -- 16. The evolution of governance structures in a polycentric system / Edward Mcphail and Vlad Tarko -- Part IV Tax behaviour -- 17. Taxation and nudging / Simon James -- 18. Income tax compliance / Erich Kirchler, Barbara Hartl and Katharina Gangl -- Part V Smart finance -- 19. Financial decisions in the household / Bernadette Kamleitner, Till Mengay and Erich Kirchle -- 20. Employing priming to shed light on financial decision-making processes / Doron Kilger -- 21. Experimental asset markets: behaviour and bubbles / Owen Powell and Natalia Shestakova -- 22. To consume or to save : are we maximising or what? / Tobias F. Rötheli -- Part VI Dimensions of health -- 23. Time orientation effects on health behaviour / Jannette Van Beek, Michel J.J. Handgraaf and Gerrit Antonides -- 24. Behavioral aspects of obesity / Ddelia Rosin -- 25. Time inconsistent preferences in intertemporal choices for physical activity & weight loss : evidence from canadian health surveys / Nazmi Sari -- 26. Suicide amongst smart people / Bijou Yang and David Lester -- Part VII Sociological dimensions of smart decision-making -- 27. Seeing and knowing others : the impact of social ties on economic interactions / Astrid Hopfensitz -- 28. Weakness of will and stiffness of will : how far are shirking, slackening, favoritism, spoiling of children, and pornography from obsessive-compulsive behavior? / Elias L. Khalil -- 29. The role of identity, personal and social capital in community crime prevention / Ambrose Leung and Brandon Harrison -- 30. Norms, culture, and cognition / Shinji Teraji -- Part VIII Morals and ethics -- 31. Rational choice in public and private spheres / Herbert Gintis -- 32. Ethics and simple games / Mark Pingle -- Index.
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"The main point of this encyclopedia is to provide a comprehensive set of definitions and explanations of key concepts in behavioral economics provided by respected researchers. Written by those who are publishing in the field, the encyclopedia entries are rigorous, timely, and up-to-date. For those interested in the increasingly important area of behavioral economics and the related fields of economic psychology, and institutional, evolutionary, and experimental economics, this volume provides conceptual clarifications and insights. Moreover, the various entries are largely written in plain English to be easily understandable to scholars from across the disciplinary divide, students at different stages of their education, as well to public policy experts, journalists, politicians, and members of the general public. All entries include references for those interested in venturing further into the realm of behavioral economics"--Preface
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This book provides a theoretical framework to better understand how firms, economies and labor markets have evolved. This is done in a reader-friendly fashion, without complex mathematical arguments and proofs. Economic Growth and the High Wage Economy shows how high wage economies help make firms and economies more productive and why high wage economies can be competitive even in an increasingly globalized environment. It also demonstrates why concerns that labor supply will dry up as wages increase and social benefits rise are largely based on impoverished economic reasoning.
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