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  1. Gustaf Arrhenius & Wlodek Rabinowicz (2005). Value and Unacceptable Risk. Economics and Philosophy 21 (2):177-197.
    Consider a transitive value ordering of outcomes and lotteries on outcomes, which satisfies substitutivity of equivalents and obeys “continuity for easy cases,” i.e., allows compensating risks of small losses by chances of small improvements. Temkin (2001) has argued that such an ordering must also – rather counter-intuitively – allow chances of small improvements to compensate risks of huge losses. In this paper, we show that Temkin's argument is flawed but that a better proof is possible. However, it is more difficult (...)
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  2. Gregor Betz (2004). Empirische und apriorische Grenzen von Wirtschaftsprognose: Oskar Morgenstern nach 70 Jahren Prognoseerfahrung. In Ulrich Frank (ed.), Wissenschaftstheorie in Ökonomie und Wirtschaftsinformatik. DUV.
    Dieser Beitrag diskutiert Oskar Morgensterns These von der Unmöglichkeit von Wirtschaftsprognose. Nach einer kritischen Rekonstruktion Morgensterns Argumente wird diese These in ihrer starken, apriorischen Lesart zurückgewiesen. Demgegenüber gestatten es die Ergebnisse empirischer Prognoseevaluationen, Morgensterns Überlegungen als kontingente Erklärungen des Scheiterns makroökonomischer Vorhersagen umzuinterpretieren. Der Beitrag schließt deshalb mit einer provokanten Konklusion, die bereits Morgenstern zog: der Forderung, Versuche makroökonomischer Vorhersage einzustellen.
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  3. Walter Block (1980). On Robert Nozick's 'on Austrian Methodology'. Inquiry 23 (4):397 – 444.
    Austrian economics - the school of thought associated with Carl Menger, Frederick von Weiser, Eugen von Bohm-Bawerk, and in this century, Ludwig von Mises, Friedrich Hayek, Murray N. Rothbard, and Israel Kirzner - is based on a framework of methodological principles and assumptions much at variance with those of traditional or 'orthodox' economists. Robert Nozick, in his 'On Austrian Methodology', focuses attention on the most fundamental features of this framework, and subjects them to a thoroughgoing and scathing analysis. Singled out (...)
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  4. Peter J. Boettke (1998). Formalism and Contemporary Economics: A Reply to Hausman, Heilbroner, and Mayer. Critical Review 12 (1-2):173-186.
    Abstract Economic formalism crowds out the analysis of change and adjustments to change under capitalism. The style of analytical narrative that was practiced by the first generation of neoclassical economists, in contrast, is more productive of genuine economic understanding. Despite Daniel Haus?man's challenging argument to the contrary, I maintain that Joseph Stiglitz's work is formalist at its core. While I agree with Robert Heilbroner's critique of contemporary economics, there is a limited sense in which nonformalist economics can rely on universalistic (...)
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  5. L. Boland (2010). Cartwright on "Economics". Philosophy of the Social Sciences 40 (3):530-538.
    Nancy Cartwright claims that "Causality is a hot topic today both in philosophy and economics." She may be right about philosophers, but not when it comes to economists. Cartwright talks about "economics" but nothing she says about it corresponds to what is taught in economics classes. Today, economics is dominated by model builders—but not all models involve econometrics. While all model builders do respect an endogenous-exogenous distinction between variables, this distinction will not be on the basis of which type of (...)
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  6. Bruce J. Caldwell (1984). Some Problems with Falsificationism in Economics. Philosophy of the Social Sciences 14 (4):489-495.
  7. Andrew M. Colman (2003). Beyond Rationality: Rigor Without Mortis in Game Theory. Behavioral and Brain Sciences 26 (2):180-192.
    Psychological game theory encompasses formal theories designed to remedy game-theoretic indeterminacy and to predict strategic interaction more accurately. Its theoretical plurality entails second-order indeterminacy, but this seems unavoidable. Orthodox game theory cannot solve payoff-dominance problems, and remedies based on interval-valued beliefs or payoff transformations are inadequate. Evolutionary game theory applies only to repeated interactions, and behavioral ecology is powerless to explain cooperation between genetically unrelated strangers in isolated interactions. Punishment of defectors elucidates cooperation in social dilemmas but leaves punishing behavior (...)
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  8. Andrew M. Colman (2003). Cooperation, Psychological Game Theory, and Limitations of Rationality in Social Interaction. Behavioral and Brain Sciences 26 (2):139-153.
    Rational choice theory enjoys unprecedented popularity and influence in the behavioral and social sciences, but it generates intractable problems when applied to socially interactive decisions. In individual decisions, instrumental rationality is defined in terms of expected utility maximization. This becomes problematic in interactive decisions, when individuals have only partial control over the outcomes, because expected utility maximization is undefined in the absence of assumptions about how the other participants will behave. Game theory therefore incorporates not only rationality but also common (...)
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  9. Leon J. Goldstein (1977). Causal Explanation and Model Building in History, Economics, and the New Economic History. International Studies in Philosophy 9:201-203.
  10. Francesco Guala (2006). Has Game Theory Been Refuted? Journal of Philosophy 103 (5):239-263.
    The answer in a nutshell is: Yes, five years ago, but nobody has noticed. Nobody noticed because the majority of social scientists subscribe to one of the following views: (1) the ‘anomalous’ behaviour observed in standard prisoner’s dilemma or ultimatum game experiments has refuted standard game theory a long time ago; (2) game theory is flexible enough to accommodate any observed choices by ‘refining’ players’ preferences; or (3) it is just a piece of pure mathematics (a tautology). None of these (...)
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  11. Frank Hahn & Martin Hollis (eds.) (1979). Philosophy and Economic Theory. Oxford University Press.
  12. J. Daniel Hammond (1994). The Inexact and Separate Science of Economics, Daniel M. Hausman. Cambridge: Cambridge University Press, 1992, Xi + 372 Pages. [REVIEW] Economics and Philosophy 10 (02):338-.
  13. Daniel M. Hausman (2010). Philosophy of the Behavioral and Social Sciences: Philosophy of the Cognitive Sciences / William Bechtel and Mitchell Herschbach. Philosophy of Psychology / Edouard Machery. Philosophy of Sociology / Daniel Little. Philosophy of Economics. [REVIEW] In Fritz Allhoff (ed.), Philosophies of the Sciences. Wiley-Blackwell.
  14. Daniel M. Hausman, Philosophy of Economics. Stanford Encyclopedia of Philosophy.
    This is a comprehensive anthology of works concerning the nature of economics as a science, including classic texts and essays exploring specific branches and schools of economics. Apart from the classics, most of the selections in the third edition are new, as are the introduction and bibliography. No other anthology spans the whole field and offers a comprehensive introduction to questions about economic methodology.
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  15. Daniel M. Hausman (ed.) (2008). The Philosophy of Economics: An Anthology. Cambridge University Press.
    This is a comprehensive anthology of works concerning the nature of economics as a science, including classic texts and essays exploring specific branches and schools of economics. Apart from the classics, most of the selections in the third edition are new, as are the introduction and bibliography. No other anthology spans the whole field and offers a comprehensive introduction to questions about economic methodology.
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  16. Daniel M. Hausman (1999). Ontology and Methodology in Economics. Economics and Philosophy 15 (02):283-.
  17. Daniel M. Hausman (1999). The Handbook of Economic Methodology, John Davis, D. Wade Hands, and Uskali Mäki (Eds.). Edward Elgar, 1998, Xviii + 572 Pages. [REVIEW] Economics and Philosophy 15 (02):289-.
  18. Daniel M. Hausman (1981). John Stuart Mill's Philosophy of Economics. Philosophy of Science 48 (3):363-385.
    John Stuart Mill regards economics as an inexact and separate science which employs a deductive method. This paper analyzes and restates Mill's views and considers whether they help one to understand philosophical peculiarities of contemporary microeconomic theory. The author concludes that it is philosophically enlightening to interpret microeconomics as an inexact and separate science, but that Mill's notion of a deductive method has only a little to contribute.
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  19. Edith Kuiper & Jolande Sap (eds.) (1995). Out of the Margin: Feminist Perspectives on Economics. Routledge.
    Out of the Margin is the first book to consider feminist concerns across the whole domain of economics. In recent years there has been a tremendous increase in interest on the relation between gender and economics. Feminists have found much of concern in the way the economics has written women out of its history, built its theories around masculinist values, failed to take proper account of women and their work when measuring the economy and ignored most of the policy issues (...)
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  20. Don Ross (2008). Classical Game Theory, Socialization and the Rationalization of Conventions. Topoi 27 (1-2):57-72.
    The paper begins by providing a game-theoretic reconstruction of Gilbert’s (1989) philosophical critique of Lewis (1969) on the role of salience in selecting conventions. Gilbert’s insight is reformulated thus: Nash equilibrium is insufficiently powerful as a solution concept to rationalize conventions for unboundedly rational agents if conventions are solutions to the kinds of games Lewis supposes. Both refinements to NE and appeals to bounded rationality can plug this gap, but lack generality. As Binmore (this issue) argues, evolutive game theory readily (...)
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  21. Rachel C. Sayers (2012). The Cost of Being Female: Critical Comment on Block. Journal of Business Ethics 106 (4):519-524.
    Women currently earn 77 cents for every dollar earned by men. Explanations abound for why, exactly, this wage gap exists. One of the more potent justifications attributes this pay differential to the unequal effects of marriage on the sexes: the marital asymmetry hypothesis. However, even when marital status is accounted for, a small but significant residual gap remains. This article argues that this is the result of social factors. Entrenched societal sexism causes all of us to harbor unconscious bias about (...)
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  22. Scott Scheall (forthcoming). Hayek the Apriorist? Journal of the History of Economic Thought.
    The paper aims to establish that Terence Hutchison’s argument in The Politics and Philosophy of Economics (1981) to the effect that the young F.A. Hayek maintained a methodological position markedly similar to that of Ludwig von Mises fails to establish the relevant conclusion. The first problem with Hutchison’s argument is that it is not clear exactly what conclusion he meant to establish with regard to the methodological views of the two paragons of 20th century Austrian economics. Mises (in)famously maintained a (...)
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  23. Peter Vanderschraaf (2008). Game Theory Meets Threshold Analysis: Reappraising the Paradoxes of Anarchy and Revolution. British Journal for the Philosophy of Science 59 (4):579-617.
    I resolve a previously unnoticed anomaly in the analysis of collective action problems. Some political theorists apply game theory to analyze the paradox of anarchy: War is apparently inevitable in anarchy even though all warring parties prefer peace over war. Others apply tipping threshold analysis to resolve the paradox of revolution: Joining a revolution is apparently always irrational even when an overwhelming majority of the population wish to replace their regime. The usual game theoretic analysis of anarchy yields the conclusion (...)
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Causation in Economics
  1. John Aldrich (2006). When Are Inferences Too Fragile to Be Believed? Journal of Economic Methodology 13 (2):161-177.
    The use of sensitivity analysis is routine in some fields of empirical econometrics, although econometric theorists have generally taken a critical attitude towards it. This paper presents a framework in which arguments for and against such analysis can be evaluated. It appears that sensitivity is not necessarily a bad, nor sturdiness necessarily a good.
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  2. Nancy Cartwright (2010). Reply to Steel and Pearl Hunting Causes and Using Them: Approaches in Philosophy and Economics , Nancy Cartwright. Cambridge University Press, 2008, X + 270 Pages. [REVIEW] Economics and Philosophy 26 (1):87-94.
  3. Hsiang-Ke Chao, Szu-Ting Chen & Roberta L. Millstein (2013). Mechanism and Causality in Biology and Economics. Springer.
    This volume addresses fundamental issues in the philosophy of science in the context of two most intriguing fields: biology and economics. Written by authorities and experts in the philosophy of biology and economics, Mechanism and Causality in Biology and Economics provides a structured study of the concepts of mechanism and causality in these disciplines and draws careful juxtapositions between philosophical apparatus and scientific practice. By exploring the issues that are most salient to the contemporary philosophies of biology and economics and (...)
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  4. Hsiang-Ke Chao, Szu-Ting Chen & Roberta L. Millstein (2013). Towards the Methodological Turn in the Philosophy of Science. In Hsiang-Ke Chao, Szu-Ting Chen & Roberta L. Millstein (eds.), Mechanism and Causality in Biology and Economics. Springer.
    This chapter provides an introduction to the study of the philosophical notions of mechanisms and causality in biology and economics. This chapter sets the stage for this volume, Mechanism and Causality in Biology and Economics, in three ways. First, it gives a broad review of the recent changes and current state of the study of mechanisms and causality in the philosophy of science. Second, consistent with a recent trend in the philosophy of science to focus on scientific practices, it in (...)
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  5. Hsiang‐Ke Chao (2005). A Misconception of the Semantic Conception of Econometrics? Journal of Economic Methodology 12 (1):125-135.
    Davis argues that Suppe's semantic conception provides a better understanding of the problem of theory?data confrontations. Applying his semantic methodology to the LSE (London School of Economics) approach of econometrics, he concludes that the LSE approach fails to address the issue of bridging the theory?data gap. This paper suggests two other versions of the semantic view of theories in the philosophy of science, due to Suppes and van Fraassen, and argues that the LSE approach can be construed under these two (...)
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  6. Victoria Chick & Sheila Dow (2005). The Meaning of Open Systems. Journal of Economic Methodology 12 (3):363-381.
    There has been considerable discussion lately of the concept of open systems, which has revealed that different participants are using the terms ?openness? and ?closure? in different ways. The purpose of this paper is to address issues of meaning that arise in this particular discourse, with a view to clarifying both conflicts in usage and the underlying issues involved. We explore the different meanings of openness and closure extant in the literature, as applied at the ontological and epistemological levels, focusing (...)
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  7. Steven Cook (1999). Methodological Aspects of the Encompassing Principle. Journal of Economic Methodology 6 (1):61-78.
    The philosophy of science literature has played an increasing role in discussion of econometric methodology in recent years, and the Hendry methodology in particular has received much attention. Despite this, the encompassing principle has been overlooked in the methodological literature. This paper addresses this by examining the major methodological implications of the principle.
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  8. C. Tyler DesRoches (2009). Revitalizing Causality: Realism About Causality in Philosophy and Social Science. Journal of Economic Methodology 16 (4):426-431.
  9. M. Hammersley (2011). On Becker's Studies of Marijuana Use as an Example of Analytic Induction. Philosophy of the Social Sciences 41 (4):535-566.
    Analytic induction (AI) is an interpretation of scientific method that emerged in early twentieth-century sociology and still has some influence today. Among the studies often cited as examples are Becker’s articles on marijuana use. While these have been given less attention than the work of Lindesmith on opiate addiction and Cressey on financial trust violation, Becker’s work has distinctive features. Furthermore, it raises some important and interesting issues that relate not only to AI but to social scientific explanation more generally. (...)
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  10. Daniel Hausman (2001). Explanation and diagnosis in economics. Revue Internationale de Philosophie 3:311-326.
  11. Naftali Weinberger (2014). Evidence-Based Policy: A Practical Guide to Doing It Better, Nancy Cartwright and Jeremy Hardie. Oxford University Press, 2013, Ix + 196 Pages. [REVIEW] Economics and Philosophy 30 (1):113-120.
  12. Altug Yalcintas (2011). A Review Essay on David Laibman's Deep History: A Study in Social Evolution and Human Potential. Journal of Philosophical Economics 5 (1):168-182.
    The frequency of historical materialist explanations in evolutionary social sciences is very low even though historical materialism and evolutionism have great many shared aims towards explaining the long term social change. David Laibman in his Deep History (2007) picks up some of the standard questions of evolutionary social theory and aims at advancing the conception of historical materialism so as to develop a Marxist theory of history from an evolutionary point of view. The contribution of Laibman’s work is to show (...)
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Economic Institutions
  1. Keith Acheson (2000). Disciplined Stories in the Governance of the New Institutional Economics. Journal of Economic Methodology 7 (3):341-371.
    The New Institutional Economics (NIE) occupies an important space in the rapidly expanding theory of organization. Traditional testing techniques have only been applied to less complex parts of the NIE. A rich body of evidence generated by the experiences of firms and other organizations lies fallow. The limited domain of traditional testing will persist because of the nature of the central concepts of the NIE, the difficulty posed for integrating transaction cost into an optimizing framework by self-reference, and the particularly (...)
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  2. Frank Ackerman (2002). Still Dead After All These Years: Interpreting the Failure of General Equilibrium Theory. Journal of Economic Methodology 9 (2):119-139.
    More than 25 years after the discovery that the equilibrium point of a general equilibrium model is not necessarily either unique or stable, there is still a need for an intuitively comprehensible explanation of the reasons for this discovery. Recent accounts identify two causes of the finding of instability: the inherent difficulties of aggregation, and the individualistic model of consumer behaviour. The mathematical dead end reached by general equilibrium analysis is not due to obscure or esoteric aspects of the model, (...)
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  3. Judith Buber Agassi (1991). The Rise of the Ideas of the Welfare State. Philosophy of the Social Sciences 21 (4):444-457.
    It is customarily assumed that welfare-state thinking can only appear as a product of the sharpening conflict between revolutionary socialists and the defenders of the status quo; the case of Tom Paine proves otherwise. Although he defended private enterprise (to the exclusion of large landed property), he developed a forgotten early version of a comprehensive system of public welfare in the second part of his The Rights of Man and in his Agrarian Justice, where he argued that the new revolutionary (...)
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  4. Ernie Alleva (1990). Democracy and the Welfare State, Amy Gutmann (Editor). Princeton: Princeton University Press, 1988, Ix + 290 Pages. [REVIEW] Economics and Philosophy 6 (02):322-.
  5. Ash Amin & Joanne Roberts (eds.) (2008). Community, Economic Creativity, and Organization. OUP Oxford.
    It has long been an interest of researchers in economics, sociology, organization studies, and economic geography to understand how firms innovate. Most recently, this interest has begun to examine the micro-processes of work and organization that sustain social creativity, emphasizing the learning and knowing through action when social actors and technologies come together in 'communities of practice'; everyday interactions of common purpose and mutual obligation. These communities are said to spark both incremental and radical innovation. -/- In the book, leading (...)
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  6. Elizabeth Anderson (1997). Comment on Dawson's 'Exit, Voice and Values in Economic Institutions'. Economics and Philosophy 13 (01):101-.
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  7. Erik Angner (2006). Economists as Experts: Overconfidence in Theory and Practice. Journal of Economic Methodology 13 (1):1-24.
    Drawing on research in the psychology of judgment and decision making, I argue that individual economists acting as experts in matters of public policy are likely to be victims of significant overconfidence. The case is based on the pervasiveness of the phenomenon, the nature of the task facing economists?as?experts, and the character of the institutional constraints under which they operate. Moreover, I argue that economist overconfidence can have dramatic consequences. Finally, I explore how the negative consequences of overconfidence can be (...)
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  8. N. Scott Arnold (1988). Reply to Professor Putterman. Economics and Philosophy 4 (02):337-.
  9. N. Scott Arnold (1987). Final Reply to Professor Schweickart. Economics and Philosophy 3 (02):335-.
  10. N. Scott Arnold (1987). Further Thoughts on the Degeneration of Market Socialism: A Reply to Schweickart. Economics and Philosophy 3 (02):320-.
  11. Michelle Baddeley (2013). Herding, Social Influence and Expert Opinion. Journal of Economic Methodology 20 (1):35 - 44.
    (2013). Herding, social influence and expert opinion. Journal of Economic Methodology: Vol. 20, Methodology, Systemic Risk, and the Economics Profession, pp. 35-44. doi: 10.1080/1350178X.2013.774845.
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  12. C. Bicchieri (2010). Norms, Preferences, and Conditional Behavior. Politics, Philosophy and Economics 9 (3):297-313.
    This article addresses several issues raised by Nichols, Gintis, and Skyrms and Zollman in their comments on my book, The Grammar of Society: The Nature and Dynamics of Social Norms . In particular, I explore the relation between social and personal norms, what an adequate game-theoretic representation of norms should be, and what models of norms emergence should tell us about the formation of normative expectations.
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  13. C. Bicchieri, E. Xiao & R. Muldoon (2011). Trustworthiness is a Social Norm, but Trusting is Not. Politics, Philosophy and Economics 10 (2):170-187.
    Previous literature has demonstrated the important role that trust plays in developing and maintaining well-functioning societies. However, if we are to learn how to increase levels of trust in society, we must first understand why people choose to trust others. One potential answer to this is that people view trust as normative: there is a social norm for trusting that imposes punishment for noncompliance. To test this, we report data from a survey with salient rewards to elicit people’s attitudes regarding (...)
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  14. Cristina Bicchieri & Azi Lev-On (2007). Computer-Mediated Communication and Cooperation in Social Dilemmas: An Experimental Analysis. Politics, Philosophy and Economics 6 (2):139-168.
    University of Pennsylvania, USA, el322{at}nyu.edu ' + u + '@' + d + ' '//--> One of the most consistent findings in experimental studies of social dilemmas is the positive influence of face-to-face communication on cooperation. The face-to-face `communication effect' has been recently explained in terms of a `focus theory of norms': successful communication focuses agents on pro-social norms, and induces preferences and expectations conducive to cooperation. 1 Many of the studies that point to a communication effect, however, do not (...)
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  15. Peter J. Boettke (1990). Individuals and Institutions. Critical Review 4 (1-2):10-26.
    ECONOMICS AND INSTITUTIONS: A MANIFESTO FOR MODERN INSTITUTIONAL ECONOMICS by Geoffrey Hodgson Philadelphia: University of Pennsylvania Press, 1988. 365pp., $39.95 Traditional institutional economics argued that the methodological individualism of both classical and neoclassical economics was grounded in a false conception of human nature and a pre?scientific understanding of economic life. Geoffrey Hodgson has provided a restatement of this position and extended the institutionalist critique to modern developments within economics at both a positive and normative level. In the course of doing (...)
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