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on Post Keynesian Economics |
| By: | Markus Pasche (School of Economics and Business Administration, Friedrich-Schiller-University Jena) |
| Abstract: | Behavioural economics attracted attention from environmental economists: it should help to understand why people do not respond to environmental policy measures, based on neoclassical assumptions, as predicted by theory. Moreover, understanding motives and driving forces behind pro-social, pro-environmental and cooperative behaviour should help to improve environmental policy design. The aim of this paper is a critical discussion of the way how this branch of research is interpreting the explanatory power and the normative (policy) implications of behavioural economics. |
| Keywords: | Behavioural economics, environmental economics, policy design, methodology |
| JEL: | B41 D0 D70 Q57 Q58 |
| Date: | 2013–05–08 |
| URL: | http://d.repec.org/n?u=RePEc:jrp:jrpwrp:2013-020&r=pke |
| By: | Drakopoulos, Stavros A.; Katselidis, Ioannis |
| Abstract: | Although most of the marginalist economists’ methodology was influenced by 19th century classical physics, the work of second generation marginalist Francis Ysidro Edgeworth represents the highest point of classical physics influence to the development of mainstream economic methodology. Edgeworth’s close parallelism between celestial and social mechanics expressed in his analogies between utility and energy and the principle of utility maximization to maximum energy, are important indications of the physics scientific ideal for economics. Subsequent leading theorists were not as explicit, although economic theory continued to be influenced by physics scientific ideal as the work of Pareto, Fisher and Samuelson indicates. However, the physics methodological framework has made a recent reappearance in the relatively new field of econophysics. Although there are methodological similarities, there are also important differences between mainstream economics and econophysics. Econophysicists’ emphasis to statistical mechanics rather to mechanical models, their reservations towards rational agent theory and their rejection of many standard assumptions of mainstream economics, are examples of such differences. This might also explain the resistance of mainstream economic theorists to incorporate econophysics into economics. The paper examines the above from a methodological viewpoint. It also discusses the possible reasons for this historical development and its implications for economic methodology. |
| Keywords: | Economic Method, Econophysics, Edgeworth |
| JEL: | A12 B00 B40 |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:46975&r=pke |
| By: | Enrico Perotti (University of Amsterdam) |
| Abstract: | This survey reviews how a recent political economy literature helps explaining variation in governance, competition, funding composition and access to credit. Evolution in political institutions can account for financial evolution, and appear critical to explain rapid changes in financial structure, such as the Great Reversal in the early XX century, unlike time-invariant legal institutions or cultural traits. Future research should model the sources and consequences of financial instability, and to predict how major redistributive shocks will shape regulatory choices and financial governance. |
| Keywords: | political institutions, property rights, investor protection, financial development, access to finance, entry, banking |
| JEL: | G21 G28 G32 P16 |
| Date: | 2013–02–25 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:2013034&r=pke |