The rationalization of a choice function, in terms of assumptions that involve expansion or contraction properties of the feasible set, over non-finite sets is analyzed. Schwartz's results, stated in the finite case, are extended to this more general framework. Moreover, a characterization result when continuity conditions are imposed on the choice function, as well as on the binary relation that rationalizes it, is presented.

The purpose of rational choice is to provide a grand theoretical framework for designing human institutions. Once theoretical work had shown how markets optimally aggregated preferences, attempts were made to extend the theory from markets to politics. Attempts by Downs and Olson to describe elections and collective action produced relatively poor predictions, but impelled game theorists to generalize preference?based theories to include belief formation. A consequence of this change is that the theory is no longer purely axiomatic, but (...) draws on insights about human behavior from other disciplines and empirical analysis of the role institutions play in determining beliefs. (shrink)

The classical theory of rational choice is built on several important internal consistency conditions. In recent years, the reasonableness of those internal consistency conditions has been questioned and criticized, and several responses to accommodate such criticisms have been proposed in the literature. This paper develops a general framework to accommodate the issues raised by the criticisms of classical rational choice theory, and examines the broad impact of these criticisms from both normative and positive points of view.

A generalized theory of revealed preference is formulated for choice situations where the consequences of choices from given menus are uncertain. In a nonprobabilistic framework, rational choice behavior can be defined by requiring the existence of a preference relation on the set of possible consequences and an extension rule for this relation to the power set of the set of consequences such that the chosen sets of possible outcomes are the best elements in the feasible set according (...) to this extension rule. Rational choice is characterized under various assumptions on these relations. (shrink)

When acting in social contexts, we are often able to voluntarily coordinate our choices with one another. It has been suggested that this ability relies on the adoption of preferences that transcend those of the individuals involved in the social interaction. Conditional game theory provides a formal framework that facilitates the study of coordinated rational choice in a way that disentangles the concepts of individual preference and group agency. We argue that these concepts are complementary: individual preferences are (...) formed in a social context and groups coordinate as socially influenced preferences interact. In particular, we show that if agents can engage in conditional reasoning and can define their preferences in the form of hypothetical propositions, group-level coordination can be grounded only on the preference of individuals. (shrink)

This is a major contribution to the theory of rational choice which will be of particular interest to philosophers and economists. The author sets out the foundations of rational choice, and then sketches a dynamic choice framework in which principles of ordering and independence follow from a number of apparently plausible conditions. However, there is potential conflict among these conditions, and when they are weakened to avoid it the usual foundations of rational choice no longer (...) prevail. The thrust of the argument is to suggest that the theory of rational choice is less deterministic than many suppose. (shrink)

Early in the COVID-19 pandemic in the United States, concern that there could be a shortage of ventilators raised the possibility of rationing care. Denying patients life-saving care captures our moral imagination, prompting the demand for a defensible framework of ethical principles for determining who will live and who will die. Behind the moral dilemma posed by the shortage of a particular medical good lies a broad moral geography encompassing important and often unarticulated societal values, as well as assumptions (...) about the nature and purpose of health care and the consequences of long-standing choices about health care as a social good. This article explores what COVID-19 has exposed concerning values and choices around health care in the United States. Employing the lens of Catholic Social Thought, it argues for an approach to rationing that is grounded in respect for human dignity, committed to distributing social goods in light of the common good, and self-conscious about the construction of vulnerability to illness and death. (shrink)

Set-valued choice functions provide a framework that is general enough to encompass a wide variety of theories that are significant to the study of rationality but, at the same time, offer enough structure to articulate consistency conditions that can be used to characterize some of the theories within this encompassed variety. Nonetheless, two-tiered choice functions, such as those advocated by Isaac Levi, are not easily characterized within the framework of set-valued choice functions. The present (...) work proposes conditional choice functions as the proper carriers of synchronic rationality. The resulting framework generalizes the familiar one mentioned above without emptying it and, moreover, provides a natural setting for two-tiered choice rules. (shrink)

The “ultimate objective” of this book, says David Schmidtz, “is to examine the degree to which being moral is co-extensive with being rational”. For Schmidtz, an “end” gives us a reason for action provided that its pursuit is not undercut by some other end. Morality has a two-part structure. A person’s goal is “moral” if “pursuing it helps [her] to develop in a reflectively rational way,” provided its pursuit does not violate “interpersonal moral constraints”. Interpersonal constraints are imposed by “collectively (...) rational” social institutions, institutions that “make people in general better off by nonexploitative means”. Schmidtz’s view is a form of “actualism.” Our reasons are given by our actual goals, subject to the qualification mentioned above, and moral constraints are given by actually existing collectively rational institutions. Schmidtz concedes that this framework cannot guarantee that it is rational for every agent to be moral, and he concedes that his moral theory might be incomplete. Nevertheless, he argues, “morality and rationality make room for each other in a variety of ways”. (shrink)

In his paper, ‘Patients, doctors and risk attitudes’, Makins argues that doctors, when choosing a treatment for their patient, need to follow their risk profile.1 He presents a pair of fictitious diseases facing a patient who either has ‘exemplitis’, which requires no treatment or ‘caseopathy’, which is severe and disabling and for which there is a treatment with unpleasant side effects. The doctor needs to decide whether the patient should pursue the unpleasant treatment, just in case he has caseopathy. Makins (...) believes that rational-choice theory is a productive way to approach this problem. This theory frames all decisions as gambles. Each possible gamble (eg, not to pursue treatment) leads, probabilistically, to a set of outcomes (life with no disease and no side effects, but also, possibly, life with a disabling disease, since no treatment is taken). Utilities of these outcomes and probabilities that they will happen are combined to yield a number—expected utility. One is supposed to gamble—to make a choice—in a way that maximises this expected utility. Makins takes this framework for granted and is focused on an additional complication, the patient’s risk preference. He believes that, in his hypothetical example, even if expected utility were exactly the same, withholding treatment …. (shrink)

This paper examines the claims in the debate on cognitive enhancement in neuroethics that society wide pressure to enhance can be expected in the near future. The author uses rational choice modeling to test these claims and proceeds with the analysis of proposed types of solutions. The discourage use, laissez-faire and prohibition types of policy are scrutinized for effectiveness, legitimacy and associated costs. Special attention is given to the moderately liberal discourage use policy (and the gate-keeper and taxation approaches (...) within this framework), as many authors presuppose that this type of policy would best serve public interest. Different more or less articulated models in the taxation approach (Tobacco regulation analogy, Coffee-shop system, Regulatory Authority for Cognitive Enhancements and Economic Disincentives Model) are analyzed from the point of view of justificatory liberalism. The author concludes that prohibition and laissez-faire types of policy would neither be effective nor justified. A moderately liberal public policy shows more promise, but not all approaches within this type of policy would be legitimate and effective. The “gate-keeper” approach and related models could not be justified whereas approach based on taxation with suitable models might be legitimate and effective. (shrink)

We introduce a “reason-based” framework for explaining and predicting individual choices. It captures the idea that a decision-maker focuses on some but not all properties of the options and chooses an option whose motivationally salient properties he/she most prefers. Reason-based explanations allow us to distinguish between two kinds of context-dependent choice: the motivationally salient properties may (i) vary across choice contexts, and (ii) include not only “intrinsic” properties of the options, but also “context-related” properties. Our framework (...) can accommodate boundedly rational and sophisticatedly rational choice. Since properties can be recombined in new ways, it also offers resources for predicting choices in unobserved contexts. (shrink)

Zusammenfassung Der vorliegende Beitrag geht erstens der Frage nach, inwieweit das Phänomen des ehrenamtlichen Engagements in Sportvereinen mit den Grundannahmen der Rational-Choice-Theorie vereinbar ist. Die Entscheidungslogiken werden sowohl auf der Ebene des Vereinsmitgliedes als auch des Vereins analysiert und mathematisch modelliert. In diesem Zusammenhang wird die wichtige Rolle der Sozialisation im Sportverein für ehrenamtliches Engagement beleuchtet und in das Modell integriert.

Habermas has argued that many of the endemic socio- economic problems of Western society are either symptoms or prod ucts of a 'lopsided' process of cultural rationalization, one that has emphasized instrumental forms of rationality over communicative. But other than presenting a rather general typology of lifeworld pathologies, Habermas has not done much to specify what these problems might be, nor has he provided any 'middle-range' analysis of the mechanisms through which they might be generated. This paper discusses some (...) of the ways in which, consistent with Haber mas's general framework, rational choice theory can be used for pre cisely this task. In this analysis, rational choice theory is not presented as a comprehensive theory of action, but is employed as a critical- diagnostic tool that allows the theorist to identify undesirable social interaction patterns that arise from a broader instrumentalization of the lifeworld. Key Words: critical theory • Habermas • instrumental rationality • market failure • rational choice theory. (shrink)

Following Amartya Sen’s insistence to expand the framework of rational choice theory by taking into account ‘non-utility information,’ economists, political scientists and philosophers have recently concentrated their efforts in analysing the issues related to rights, freedom, diversity intentions and equality. Thomas Boylan and Ruvin Gekker have gathered essays that reflect this trend. The particular themes addressed in this volume include: the measurement of diversity and freedom, formal analysis of individual rights and intentions, judgment aggregation under constraints and strategic (...) manipulation in fuzzy environments. Some papers in the volume also deal with philosophical aspects of normative social choice. (shrink)

In a career spanning sixty years, Sir Karl Popper has made some of the most important contributions to the twentieth century discussion of science and rationality. _The Myth of the Framework_ is a new collection of some of Popper's most important material on this subject. Sir Karl discusses such issues as the aims of science, the role that it plays in our civilization, the moral responsibility of the scientist, the structure of history, and the perennial choice between reason (...) and revolution. In doing so, he attacks intellectual fashions that exagerrate what science and rationality have done, as well as intellectual fashions that denigrate what science and rationality can do. Scientific knowledge, according to Popper, is one of the most rational and creative of human achievements, but it is also inherently fallible and subject to revision. In place of intellectual fashions, Popper offers his own critical rationalism - a view that he regards both as a theory of knowlege and as an attitude towards human life, human morals and democracy. Published in cooperation with the Central European University. (shrink)

The Sleeping Beauty puzzle has dramatized the divisive question of how de se beliefs should be integrated into formal theories of rational belief change. In this paper, I look ahead to a related question: how should de se beliefs be integrated into formal theories of rational choice? I argue that standard decision theoretic frameworks fail in special cases of de se uncertainty, like Sleeping Beauty. The nature of the failure reveals that sometimes rational choices are determined independently of one’s (...) credences in the kinds of ‘narrow’ de se propositions that Sleepy Beauty has set in relief. Consequently, in addition to pinpointing a failure of standard decision theoretic frameworks, this result casts doubt on a large class of strategies for determining principles for the rationally updating de se beliefs in cases like Sleeping Beauty, and also calls into question the importance of making such a determination at all. (shrink)

BackgroundMost end-of-life decisions are made by family members. Current ethical guidelines for family decision making are based on a hierarchical model that emphasizes the patient’s wishes over his or her best interests. Evidence suggests that the model poorly reflects the strategies and priorities of many families.MethodsResearchers observed and recorded 26 decision-making meetings between hospital staff and family members. Semi-structured follow-up interviews were conducted. Transcriptions were analyzed using qualitative techniques.ResultsFor both staff and families, consideration of a patient’s best interests generally took (...) priority over the patient’s wishes. Staff generally introduced discussion of the patient’s wishes for rhetorical purposes, such as persuasion. Competing moral frameworks, which de-emphasized the salience of patients’ autonomy and “right to choose,” played a role in family decision making.ConclusionsThe priority given to the patients’ wishes in the hierarchical model does not reflect the priorities of staff and families in making decisions about end-of-life care. (shrink)

What, normatively speaking, are the grounds of rational choice? This paper defends ‘comparativism’, the view that a comparative fact grounds rational choice. It examines three of the most serious challenges to comparativism: 1) that sometimes what grounds rational choice is an exclusionary-type relation among alternatives; 2) that an absolute fact such as that it’s your duty or conforms to the Categorial Imperative grounds rational choice; and 3) that rational choice between incomparables is possible, and in (...) particular, all that is needed for the possibility of rational choice is that one alternative is not worse than the others. Each challenge is questioned. If comparativism is correct, then no matter what normative theory you favor, your answer to the question, ‘What makes my choice rational?’ must be comparative in form. In this way, comparativism provides a framework for normative theorizing. (shrink)

Are human beings motivated exclusively by self-interest? The orthodox theory of rational choice in economics thinks that they are. Amartya Sen disagrees, and his concept commitment is central to his vision of an alternative to mainstream rational choice theory. This book examines commitment as it has evolved in Sen's critique of orthodox rational choice theory. The in-depth focus on commitment reveals subtleties in the concept itself as well as in its relationships with other concepts which Sen develops (...) in his critique of rational choice theory, for example preference, sympathy, weakness of will, agency, personhood, social norms, rights, self-welfare goal and self-goal choice. The book provides a comprehensive understanding of commitment and offers novel interpretations of the term as a way of strengthening its plausibility. Broadly in support of Sen's conceptualization of rational choice, the book nevertheless reveals ambiguities and weaknesses in Sen's conceptual framework, and it reformulates Sen's concepts when doing so strengthens the claims he makes. The book also engages with critics of Sen and argues for the importance of commitment as a component in the theory of rational choice. (shrink)

Intentional change when viewed as making a risky or intertemporal choice with evolutionary relevance helps us understand its successes and its failures. To promote future-oriented ecological rationality requires establishing a linkage between nongenetic, cultural, and symbolic selections and genetic adaptations. Coupled with biophilic instinct, intentional conservation is more likely to prevail against evolved desires of environmental exploitation.

This paper addresses the explanatory role of the concept of a motive for action in economics. The aim of the paper is to show the difficulty economists have to accommodate the motive of commitment into their explanatory and predictive framework, i.e. rational choice theory. One difficulty is that the economists’ explanation becomes analytic when assuming preferences of commitment. Another difficulty is that it is highly doubtful whether commitment can be represented by current frameworks while (pre-)serving the ‘folk-psychological’ idea (...) of what is commonly understood by the idea of a commitment. Both difficulties lead to the conclusion that, although motives do matter, conceptualizing the motive of commitment would cause trouble for rational choice theory. (shrink)

A significant problem in constructing the theory of rational choice (and rationality in gen­eral) at the moment is the question of explaining irrationality, or rather the fact that an agent can act irrationally for an external observer, and the models used for it may not work. However, the agent himself “inside”, if you find yourself in his “logic”, acts clearly rationally upon verification. It’s just that his “rationality” and the “rationality” of an ex­ternal observer turn out (...) to be different, hence they do not coincide, and hence this leads to a discrepancy in the language of their description of each other. To resolve this prob­lem and find a theoretical basis for the connection between the physiological states of or­ganisms and testable the theoretical constructs, and thus obtaining the opportunity, with­out changing the optics, to work with all agents, regardless of the types of rationality they have, psychological approaches have increasingly become involved. But for them, the basic problem is always “rootedness” in the “material substrate”. This work largely suggests and shows which mechanism can allow this problem to be solved. The paper draws atten­tion to the fact that the combination of the theory of predictive processing and the theory of cognitive dissonance turns out to be extremely promising for this task. This is due to the fact that both of these theories are engaged in reducing surprise or inconsistency (prediction errors and dissonance), with the former providing the latter with valuable and informative context within the broader perception – prediction – action framework (known as active inference) and also helps us to separate dissonant cognitive elements from dissonant psychological states, while considering them as part of the same process of perception and cognition. All this allows us to set a fundamental theoretical basis for the connection between the physiological states of organisms and testable theoretical con­structs about the degree of rationality of a particular agent, and, thus, gain access to the internal information processes in the brain for study. (shrink)

Tragic choices arise during the COVID-19 pandemic when the limited resources made available in acute medical settings cannot be accessed by all patients who need them. In these circumstances, healthcare rationing is unavoidable. It is important in any healthcare rationing process that the interests of the community are recognised, and that decision-making upholds these interests through a fair and consistent process of decision-making. Responding to recent calls (1) to safeguard individuals’ legal rights in decision-making in intensive care, and (2) for (...) new authoritative national guidance for decision-making, this paper seeks to clarify what consistency and fairness demand in healthcare rationing during the COVID-19 pandemic, from both a legal and ethical standpoint. The paper begins with a brief review of UK law concerning healthcare resource allocation, considering how community interests and individual rights have been marshalled in judicial deliberation about the use of limited health resources within the National Health Service (NHS). It is then argued that an important distinction needs to be drawn between procedural and outcome consistency, and that a procedurally consistent decision-making process ought to be favoured. Congruent with the position that UK courts have adopted for resource allocation decision-making in the NHS more generally, specific requirements for a procedural framework and substantive triage criteria to be applied within that framework during the COVID-19 pandemic are considered in detail. (shrink)

Personal autonomy is often lauded as a key value in contemporary Western bioethics. Though the claim that there is an important relationship between autonomy and rationality is often treated as uncontroversial in this sphere, there is also considerable disagreement about how we should cash out the relationship. In particular, it is unclear whether a rationalist view of autonomy can be compatible with legal judgments that enshrine a patient's right to refuse medical treatment, regardless of whether the reasons underpinning the (...) choice are known and rational, or indeed whether they even exist. Jonathan Pugh brings recent philosophical work on the nature of rationality to bear on the question of how we should understand personal autonomy in contemporary bioethics. In doing so, he develops a new framework for thinking about the concept of autonomy, one that is grounded in an understanding of the different roles that rational beliefs and rational desires have to play in it. Pugh's account allows for a deeper understanding of d the relationship between our freedom to act and our capacity to decide autonomously. His rationalist perspective is contrasted with other prominent accounts of autonomy in bioethics, and the revisionary implications it has for practical questions in biomedicine are also outlined. (shrink)

This paper focuses on Sen?s concept of contrapreferential choice. Sen has developed this concept in order to overcome weaknesses of the rational choice theory. According to rational choice theory a decision-maker can be always seen as someone who maximises utility, and each choice he makes as the one that brings to him the highest level of personal wellbeing. Sen argues that in some situations we chose alternatives that bring us lower level of wellbeing than we could (...) achieve if we had chosen some other alternative available to us. This happens when we base our decisions on moral principles, when we act out of duty. Sen calls such action a commitment-based action. When we act out of commitment we actually neglect our preferences and thus we make a contrapreferential choice, as Sen argues. This paper shows that, contrary to Sen, a commitment-based action can be explained within the framework of rational choice theory. However, when each choice we make can be explained within the framework of rational choice theory, when in everything we do maximisation principle can be loaded, then the variety of our motives and traits is lost, and the explanatory power of the rational choice theory is questionable. (shrink)

The study of decision making has multiple implications for business ethics. This paper outlines some commonly used frameworks for understanding choice in business. It characterises the dominant model for business decision making as rational choice theory (RCT) and contrasts this with a more recent, naturalistic theory of decision-making, image theory. The implications of using RCT and image theory to model decision making are discussed with reference to three ethical systems. RCT is shown to be consistent with Utilitarian ethics, (...) but not with Kantian or Virtue-based ethics. Image theory is shown to be consistent with each. The paper identifies a number of implications following from this analysis. (shrink)

This book presents the definitive exposition of 'prospect theory', a compelling alternative to the classical utility theory of choice. Building on the 1982 volume, Judgement Under Uncertainty, this book brings together seminal papers on prospect theory from economists, decision theorists, and psychologists, including the work of the late Amos Tversky, whose contributions are collected here for the first time. While remaining within a rational choice framework, prospect theory delivers more accurate, empirically verified predictions in key test cases, (...) as well as helping to explain many complex, real-world puzzles. In this volume, it is brought to bear on phenomena as diverse as the principles of legal compensation, the equity premium puzzle in financial markets, and the number of hours that New York cab drivers choose to drive on rainy days. Theoretically elegant and empirically robust, this volume shows how prospect theory has matured into a new science of decision making. (shrink)

In Rationalities in history, the distinguished historian David d'Avray writes a new comparative history in the spirit of Max Weber. In a strikingly original reassessment of seminal Weberian ideas, d'Avray applies value rationality to the comparative history of religion and the philosophy of law. Integrating theories of rational choice, anthropological reflections on relativism, and the recent philosophy of rationality with Weber's conceptual framework, d'Avray seeks to disengage 'rationalisation' from its enduring association with Western 'modernity.' This mode (...) of analysis is contextualised through the examples of Buddhism, Imperial China, and sixteenth-century Catholicism--in the latter case building upon unpublished archival research. This ambitious synthesis of social theory and comparative history will engage social scientists and historians from advanced undergraduate level upwards, stimulating interdisciplinary discourse, and making a significant contribution to the methodology of history. D'Avray explores the potential of this new Weberian analysis further in his companion volume, Medieval religious rationalities"--Provided by publisher. (shrink)

Dung’s argumentation frameworks have been applied for over twenty years to the analysis of argument justification. This representation focuses on arguments and the attacks among them, abstracting away from other features like the internal structure of arguments, the nature of utterers, the specifics of the attack relation, etc. The model is highly attractive because it reduces most of the complexities involved in argumentation processes. It can be applied to different settings, like the argument evaluation of an individual agent or the (...) case of dialectic disputes between two agents (pro and con), or even in multi-agent collective argumentation. The latter case involves agents with possibly different arguments and/or opinions on how to evaluate them, leading to the possibility of considering multiple sets of arguments and attack relations. Two basic questions can be asked here, namely ‘what to aggregate’ and ‘how to aggregate’. The former concerns what kinds of entities do the agents intend to choose (arguments, attacks, assessments, etc.), while the second one focuses on which aggregation mechanisms yield rational choices (voting on arguments, merging procedures to obtain a common argumentation framework, deliberation processes, etc.). In particular, the question about the rationality of a collective argument choice relates this topic to Social Choice and Judgment Aggregation theories, while its associated strategic issues relate it to Game Theory. The research efforts on the disparate problems elicited by collective argumentation have generated a considerable corpus of literature that deserves an orderly evaluation. This survey is intended as a contribution to that end. (shrink)

We provide a simple model to measure the impact of aggregate risks. We consider agents whose rankings of lotteries over vectors of outcomes satisfy expected utility and separability. Such rankings are characterized in terms of aggregative utilities that measure sensitivity to aggregate uncertainty in a straightforward way. We consider applications to models of product variety, portfolio choice, and public attitudes towards catastrophic risks. The framework lends support to precautionary measures that penalize policies for exposure to correlation. The model (...) rationalizes a number of behavioral and policy patterns as attempts to hedge against aggregate uncertainty. (shrink)

Theories of rational decision making often abstract away from computational and other resource limitations faced by real agents. An alternative approach known as resource rationality puts such matters front and center, grounding choice and decision in the rational use of finite resources. Anticipated by earlier work in economics and in computer science, this approach has recently seen rapid development and application in the cognitive sciences. Here, the theory of rationality plays a dual role, both as a (...) class='Hi'>framework for normative assessment and as a source of scientific hypotheses about how mental processes in fact work. The latter project, often called rational analysis, depends for its success on a fine-grained characterization of the computational problem facing a decision maker, which may in turn depend on realistic assumptions about what the relevant agent is like. As a consequence, resource rationality involves a delicate, but often fruitful interplay between the normative and the descriptive. (shrink)

In this article, I argue that if we challenge some tacit assumptions of narrow rationality that endure in much of entrepreneurial studies, we can elevate entrepreneurial ethics beyond mere external constraints on rational action, and move toward fuller integration of ethics as an intrinsic part of the process of value creation itself. To this end, I propose the concept of practical wisdom as a framework for exploring entrepreneurial decision making and action that can broaden the scope of our (...) research to recognize entrepreneurship as an inherendy normative enterprise. Specifically, I suggest that a framework built upon a concept of practical wisdom enables us to adopt a richer and more complex view of entrepreneurial decision making that is well suited to the dynamic and uncertain context of entrepreneurship. Further, this framework enriches our view of entrepreneurial ethics to include consideration of the personal character, values, and purpose of the entrepreneur. By examining entrepreneurship through a lens of practical wisdom, we can open up new avenues of fruitful inquiry for scholars of entrepreneurship. (shrink)

This article tests human inference rationality when dealing with default rules. To study human rationality, psychologists currently use classical models of logic or probability theory as normative models for evaluating human ability to reason rationally. Our position is that this approach is convincing, but only manages to capture a specific case of inferential ability with little regard to conditions of everyday reasoning. We propose that the most general case to be considered is inference with imperfect knowledge - in (...) the present case restricted to uncertain knowledge - and that a natural framework for testing the rationality of plausible reasoning is System P. This system provides rational postulates for nonmonotonic inference. The semantic of the nonmonotonic inference is given by a possibilistic constraint introduced by Dubois and Prade (1991). This constraint states that a rule p ( q is a plausible rule if "the degree to which p ( q is possible" is greater than "the degree to which p ( (q is possible". Given the choice of this constraint, we study two supplementary postulates of rationality. Eighty-eight subjects participated in an experiment whose results confirm - provided that reflexivity and left logical equivalence would be tested in a further experiment - the rationality of human nonmonotonic inference according to the rational postulates of System P. (shrink)

Decision theory seems to offer a very attractive normative framework for individual and social choice under uncertainty. The decisionmaker should think of her choice situation, at any given moment, in terms of a set of possible outcomes, that is, specifications of the possible consequences of choice, described in light of the decisionmaker's goals; a set of possible actions; and a "state set" consisting of possible prior "states of the world." It is this framework for (...) class='Hi'>choice which provides the foundation for expected utility theory, as demonstrated in the work of Leonard Savage. Problems arise, however, when the decisionmaker is boundedly rational: when the mental process of thinking about outcomes, actions, and states is itself expensive and time consuming. In the case of the unboundedly rational decisionmaker, decision theory enjoins her to employ maximally specific outcomes; to consider all possible actions; and to use a set of mutually exclusive and collective exhaustive states, each of which is sufficiently finely specified so that each action, together with each state, yields one and only one maximally specific outcome. In the case of the boundedly rational decisionmaker, this procedure is either infeasible or, if feasible, irrational. This paper presents the problem of bounded rationality. It surveys possible solutions, none of which are found to be attractive. And it concludes by discussing the difficulties that the problem of bounded rationality poses for the welfarist program for legal scholarship presented by Louis Kaplow and Steven Shavell in their book, Fairness versus Welfare. (shrink)

It is shown that logical contradictions are derivable from natural translations into first order logic of the description and background assumptions of the Soros Game, and of other games and social contexts that exhibit conflict and reflexivity. The logical structure of these contexts is analysed using proof-theoretic and model-theoretic techniques of first order paraconsistent logic. It is shown that all the contradictions that arise contain the knowledge operator K. Thus, the contradictions do not refer purely to material objects, and do (...) not imply the existence of inconsistent, concrete, physical objects, or the inconsistency of direct sensory experience. However, the decision-making of rational self-interested agents is stymied by the appearance of such intensional contradictions. Replacing the rational self-interest axioms with axioms for an appropriate moral framework removes the inconsistencies. Rational moral choice in conflict-reflexive social contexts then becomes possible. (shrink)

This paper studies a generalization of rational choice theory. I briefly review the motivations that Helzner gives for his conditional choice construction . Then, I focus on the important class of conditional choice functions with vacuous second tiers. This class is interesting for both formal and philosophical reasons. I argue that this class makes explicit one of conditional choice’s normative motivations in terms of an account of neutrality advocated within a certain tradition in decision theory. The (...) observations recorded—several of which are generalizations of central results in the standard theory of rational choice—are intended to provide further insight into how conditional choice generalizes the standard account and are offered as additional evidence of the fruitfulness of the conditional choice framework. (shrink)

"Ethical Choices in Contemporary Medicine" jettisons the standard medical ethics models of "rights" language and shows how the bioethical problems that receive attention from the media and the public are related to and are explicable in terms of the epistemological foundations of science and medicine. These epistemological concerns include how medical knowledge is established , how medical protocols are administered , how medical certainty is evaluated and medical responsibility is framed , and how medical knowledge is transmitted and how medical (...) care is allocated . The book examines the present predicaments of medicine within a broad cultural context and suggests that rational discourse and parochial ethical dialogue may be futile in the face of competing and incommensurable frameworks and agendas, attitudes and wishes. The authors show that, in the postmodern age, two interrelated issues surface when it comes to medicine. On the one hand, there is a strong critique of science and the privileges associated with the scientific discourse and, on the other, there is still a deep-seated quest for certainty in all medical matters. (shrink)

It is a commonplace that in making decisions agents often have to juggle competing values, and that no choice will maximise satisfaction of them all. However, the prevailing account of these cases assumes that there is always a single ranking of the agent's values, and therefore no unresolvable conflict between them. Isaac Levi denies this assumption, arguing that agents often must choose without having balanced their different values and that to be rational, an act does not have to be (...) optimal, only what Levi terms 'admissible'. This book explores the consequences of denying the assumption and develops a general approach to decision-making under unresolved conflict. Professor Levi discusses conflicts of value in several domains - those arising in moral dilemmas, the drawing of scientific inferences, decisions taken under uncertainty, and in social choice. In each of these he adapts his theoretical framework, showing how conflict may often be reduced though not always altogether eliminated. (shrink)

Scientific methods are heuristic in nature. Heuristics are simplifying, incomplete, underdetermined and fallible problem-solving rules that can nevertheless serve certain goals in certain contexts better than truth-preserving algorithms. Because of their goal- and context-dependence, a framework is needed for systematic choosing between them. This is the domain of scientific methodology. Such a methodology, I argue, relies on a form of instrumental rationality. Three challenges to such an instrumentalist account are addressed. First, some authors have argued that the rational (...) choice of at least some methods, namely those supporting belief formation, is not goal-dependent. Second, some authors have observed that some method choices seem intuitively rational, even though relevant goals are lacking. Thirdly, some authors have argued that instrumental rationality itself depends on a goal-independent form of rationality. It is the heuristic nature of scientific methods that affords me the arguments against these challenges. This heuristic-instrumentalist account provides the means-ends analysis needed to evaluate heuristic method choice. The paper thus offers the conceptual basis for a scientific methodology that is both compatible with the heuristic nature of actual scientific practice and also normatively relevant for assessing method choice. (shrink)

Consistency of choice is a fundamental and recurring theme in decision theory, social choice theory, behavioral economics, and psychological sciences. The purpose of this paper is to study the consistency of choice independent of the particular decision model at hand. Consistency is viewed as an inherently logical concept that is fundamentally void of connotation and is thus disentangled from traditional rationality or consistency conditions imposed on decision models. The proposed formalization of consistency takes two forms: internal (...) consistency, which refers to the property that a choice model does not generate contradictory statements; and semantic consistency, which refers to the idea that a theory’s predictions are valid with respect to some observed data. In addressing semantic consistency, the relationship between theory and data is analyzed in terms of so-called duality mappings, which allow a passage between the two universes in a way that consistency is preserved. The formalization of consistency concepts relies on adapting the revealed preference theory to the context-dependent setting. The paper concludes by discussing the implications of the proposed framework and how it relates to classical revealed preference theory and other formalizations of the relationship between the theory and reality of choice. (shrink)

A decision maker (DM) selects a project from a set of alternatives with uncertain productivity. After the choice, she observes a signal about productivity and decides how much effort to put in. This paper analyzes the optimal decision problem of the DM who rationally filters information to deal with her post-decision cognitive dissonance. It is shown that the optimal effort level for a project can be affected by unchosen projects in her choice set, and the nature of the (...) choice set-dependence is determined by the signal structure. Some comparative statics of choice set-dependence is also provided. Finally, based on the results, the optimal choice set design is also explored. This paper offers a simple framework to explain the experimental finding in psychology that people’s effort level for a project can be enhanced when the project is chosen by themselves rather than by others. (shrink)

School choice positions parents as consumers who select schools that maximize their preferences. This account has been shaped by rational choice theory. In this essay, Terri Wilson contrasts a rational choice framework of preferences with John Dewey's understanding of interest. To illustrate this contrast, she draws on an example of one parent's school decision-making process. Dewey's concept of interest offers an alternative conceptual vocabulary attentive to the complex, value-laden, and evolving process of choosing a school. Her (...) analysis considers how schools might not just appeal to the preexisting preferences of families, but might instead actively shape those interests to democratic ends. (shrink)

The article highlights one of the possible explanations for the culture of imitation and the tendency toward lowering standards in the academic environment. It deals with the concept of caconomics, which was elaborated by Italian researchers Diego Gambetta and Gloria Origgi. Based on rational choice theory, they elaborate a model of a situation when participants prefer low-quality standards while declaring high-quality ones. This model allows to identify the structural factors behind unscrupulous academic practices. It shows that dishonesty and imitation (...) may be not so much the result of the bad intentions of individuals, but rather a distorted norm that relies on a certain rational calculation within the framework of a vicious system. The concept of kakonomics turns out to be interesting and fruitful when considering the failures of reforms in Ukrainian science and education. In particular, the manifestation of the kakonomics mechanisms is demonstrated with the survey of publications of Ukrainian PhD and doctoral students in foreign journals. The requirement to have publications in such journals is intended to increase international visibility of Ukrainian researcher`s works. However, it turned out that most of the PhD and doctoral students (who submitted their dissertations in 2018-2022) had publications in low-quality or predatory journals. These data can serve as empirical evidence of the failure of reforms carried out through directive requirements imposed in a bureaucratic manner. Data also show that efforts to increase standards without taking into account the extent to which the academic environment is able to meet that new demands will encourage imitation. As a result, such situation leads to the system of anti-meritocratic selection, and researchers who truly adhere to high standards are disadvantaged compared to imitators. (shrink)

We develop a framework for modeling choice in the presence of framing effects. An extended choice function assigns a chosen element to every pair (A, f ) where A is a set of alternatives and f is a frame. A frame includes observable information that is irrelevant in the rational assessment of the alternatives, but nonetheless affects choice. We relate the new framework to the classical model of choice correspondence. Conditions are identified under which (...) there exists either a transitive or a transitive and complete binary relation R such that an alternative x is chosen in some (A, f ) iff x is R-maximal in the set A. We then demonstrate that the framework of choice correspondence misses information, which is essential to economic modeling and which is incorporated in the extended choice function. (shrink)

[This version of the paper has been superseded by "Reason-based choice and context-dependence: An explanatory framework", forthcoming in Economics & Philosophy.] -/- We introduce a “reason-based” way of rationalizing an agent’s choice behaviour, which explains choices by specifying which properties of the options or choice context the agent cares about (the “motivationally salient properties”) and how he or she cares about these properties (the “fundamental preference relation”). Reason-based rationalizations can explain non-classical choice behaviour, including boundedly (...) rational and sophisticated rational behaviour, and predict choices in unobserved contexts, an issue neglected in standard choice theory. We characterize the behavioural implications of different reason-based models and distinguish two kinds of context-dependent motivation: “context-variant” motivation, where the agent cares about different properties in different contexts, and “context-regarding” motivation, where the agent cares not only about properties of the options, but also about properties relating to the context. (shrink)

This paper presents an axiomatic framework for the priority heuristic, a model of bounded rationality in Selten’s (in: Gigerenzer and Selten (eds.) Bounded rationality: the adaptive toolbox, 2001) spirit of using empirical evidence on heuristics. The priority heuristic predicts actual human choices between risky gambles well. It implies violations of expected utility theory such as common consequence effects, common ratio effects, the fourfold pattern of risk taking and the reflection effect. We present an axiomatization of a parameterized (...) version of the heuristic which generalizes the heuristic in order to account for individual differences and inconsistencies. The axiomatization uses semiorders (Luce, Econometrica 24:178–191, 1956), which have an intransitive indifference part and a transitive strict preference component. The axiomatization suggests new testable predictions of the priority heuristic and makes it easier for theorists to study the relation between heuristics and other axiomatic theories such as cumulative prospect theory. (shrink)

Citizens' juries are commended as a new technique for democratising health service reviews. Their usefulness is said to derive from a reliance on citizens' rational deliberation rather than on the immediate preferences of the consumer. The author questions the assertion of critical detachment and asks whether juries do in fact employ reason as a means of resolving fundamental disagreements about service provision. He shows that juries promote not so much a critically detached point of view as a particular evaluative (...) class='Hi'>framework suited to the bureaucratic idiom of social welfare maximisation. Reports of jury practice reveal a tendency among juries to suppress by non-rational means the everyday moral language of health care evaluation and substitute for it a system of thought in which it can be deemed permissible to deny treatment to sick people. The author concludes that juries are chiefly concerned with non-rational persuasion and because of this they are morally and democratically irrelevant. Juries are no substitute for voting when it comes to protecting the public from zealous minorities. (shrink)