The Cognitive Basis of Institutions: A Synthesis of Behavioral and Institutional Economics

The Cognitive Basis of Institutions seeks to synthesize modern research in behavioral economics with traditional institutional economics. Classically, behavioral economics emphasizes the importance of cognition and emotions in the formation of decision-making influenced by heuristics, biases and framing, whereas institutional economics suggests instead it is the contextual organization that fundamentally influences conventionally 'rational' decisions. Both approaches suggest alternate economic inputs, outputs, and alternative policy considerations. This work emphasizes that institution and agent are in fact inextricably linked, and both cognitive and institutional processes coalesce to influence human decision-making. It integrates cognition and institution through the behavioral economics theoretical lens of bounded rationality. Methodologically it develops game-theoretical, complexity and neuroeconomic solutions to unite study of the two areas. Collectively, this aids researchers seeking to explore how institutional structures and individual actions interact and coevolve from cognitive viewpoints. The work concludes by proposing general implications for the economic study of decisions using the cognitive-institutional approach, and specific recommendations for public policy, informed by empirical research. Reveals how institutional structures and individual actions interact and coevolve cognitivelyConnects individual decision-making, decision-making processes and institutional formationUnites our understanding of cooperative 'prosocial' behavior with the institutional dynamics that may create itDiscusses implications of behavioral-institutional paradigm for paternalism and libertarianism in public policy INDICE: 1. Organizations and Institutions: An Overview 2. Why Bounded Rationality? 3. Cognition and Complexity 4. Economics and Knowledge 5. Order and Institutional Evolution 6. Policy implications

• ISBN: 978-0-12-812023-1
• Editorial: Academic Press
• Encuadernacion: Rústica
• Páginas: 300
• Fecha Publicación: 01/03/2018
• Nº Volúmenes: 1
• Idioma: Inglés