A criterion for realism, with an application to behavioral economic models Cover Image

A criterion for realism, with an application to behavioral economic models
A criterion for realism, with an application to behavioral economic models

Author(s): Gustavo Marques, Diego Weisman
Subject(s): Philosophy, Social Sciences, Economy, Special Branches of Philosophy, Sociology, Philosophy of Science, Social Theory, Socio-Economic Research
Published by: Editura Rosetti International
Keywords: realism; behavioral economics; philosophy of economics; economic models;

Summary/Abstract: Many economists working within the framework of behavioral economics (BE) label the conventional way of modeling as unrealistic, and consider their own approach as more realistic than the standard practice. However, a criterion for realism is lacking in behavioral economics literature. This paper offers a simple criterion for predicating realism to economic models, and provides an illustration of such criterion at work on a particular BE model.

  • Issue Year: IX/2015
  • Issue No: 1
  • Page Range: 125-145
  • Page Count: 22
  • Language: English