Replacing Neo-Classical Maximization in the Realm of Human Action

Pierre Bentata ()

No 63, CAE Working Papers from Aix-Marseille Université, CERGAM

Abstract: The aim of this paper is to propose an original articulation of neoclassical and Austrian understanding of human behaviours into one logical sequence of “human process of decision”. We claim the methodological debate among economists on the representation of human action is due to a wrong interpretation of both neoclassical and Austrian economics: these two methodologies do not study the same step of human action. Far from being opposed, neoclassical and Austrian concepts of rationality and maximization can be articulated in a logical understanding of why and how do people act, and gathered into a global frame within neoclassical maximization is the conclusion, the final step, of the Austrian decision process. From this economic frame, we deduce a normative definition of economic efficiency and draw severe critics of neoclassical concepts of efficiency and redistributive justice as potential normative goals of economics. Besides, this conclusion leads to the definition of a new role for the economist in Law & Economics analysis: neoclassical economics should be used carefully and in very specific situation to enhance existing legal rules based upon non-economic goals, but never as a way to design laws according to their economic efficiency.

JEL-codes: A11 A12 B41 D6 K19 (search for similar items in EconPapers)
Pages: 20 pages
Date: 2009-09
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://junon.u-3mrs.fr/afa10w21/RePEc/cgm/wpaper/DR_63_0910.Bentata.pdf First version, 2009 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 500 Can't connect to junon.u-3mrs.fr:80 (No such host is known. )

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cgm:wpaper:63

Access Statistics for this paper

More papers in CAE Working Papers from Aix-Marseille Université, CERGAM Contact information at EDIRC.
Bibliographic data for series maintained by Mathieu Bédard ().