Popper holds to the unity of scientific method: any differences between natural and social science are a product of theory, not a pretheoretical premise. Distin guishing instead pure and applied generalizing sciences, Popper focuses on the different role of laws in each. In generalizing social science, our tools are the logic of the situation, including the rationality principle, and unintended conse quences. Situations contain individuals, but also social entities not reducible to individuals: conspiracy theory is the extreme form of individualism. (...) Action in situations has unintended consequences. Both social and natural laws may be required to explain outcomes. The fate of Popper's ideas is a case study in the logic of the situation. Professional philosophers of social science lean toward individualism and a priorism (either intuitionist or rational choice). There are social and political explanations of this outcome, but little critical engagement with Popper's ideas. (shrink)

This article raises the question of whether standard economics with the general equilibrium model at its core applies situational analysis in a Popperian sense. Contrary to Popper's own view, the authors come to the conclusion that this is not the case. Standard economics fails to represent elements essential to any social situation in an adequate manner. It comprises uncertainty, time and space, social interaction, unintended effects, as well as culture and institutions. The authors suggest, therefore, the socioeconomic context as an (...) alternative approach to analyzing social situations. It consists of four basic elements: (1) dominant worldviews, (2) institutions and technologies, (3) relative prices, and (4) political instruments. The alternative approach was applied with some success to analyzing inter alia problems of unemployment as well as of transformation. (shrink)