Austrian behavioral economics

2021 ◽  
pp. 1-18
Author(s):  
Glen Whitman
Keyword(s):  
Behavioral Economics ◽  
Fundamental Question ◽  
Austrian Economics ◽  
Institutional Choice ◽  
Gains From Trade ◽  
Cognitive Influences ◽  
Axiomatic Definition ◽  
Definition Of

Abstract This paper explores the potential for gains from trade between Austrian and behavioral economics, with a focus on how the two schools of thoughts can constructively critique each other. Among other things, the Austrian critique of behavioral economics would urge it to jettison its restrictive and axiomatic definition of rationality, and to treat humans as active agents rather than passive recipients of environmental and cognitive influences. Meanwhile, the behavioral critique of Austrian economics would push it to take more seriously the fundamental question of how individuals arrive at choices and to analyze how such choices can interact with ‘micro-institutional’ choice environments.

Nonconcave Utility Maximization with Portfolio Bounds

2021 ◽  
Author(s):  
Min Dai ◽  
Steven Kou ◽  
Shuaijie Qian ◽  
Xiangwei Wan
Keyword(s):  
Finite Difference ◽  
Behavioral Economics ◽  
Difference Scheme ◽  
Viscosity Solution ◽  
Finite Difference Scheme ◽  
Utility Maximization ◽  
Utility Functions ◽  
Value Functions ◽  
Incentive Schemes ◽  
Definition Of

The problems of nonconcave utility maximization appear in many areas of finance and economics, such as in behavioral economics, incentive schemes, aspiration utility, and goal-reaching problems. Existing literature solves these problems using the concavification principle. We provide a framework for solving nonconcave utility maximization problems, where the concavification principle may not hold, and the utility functions can be discontinuous. We find that adding portfolio bounds can offer distinct economic insights and implications consistent with existing empirical findings. Theoretically, by introducing a new definition of viscosity solution, we show that a monotone, stable, and consistent finite difference scheme converges to the value functions of the nonconcave utility maximization problems. This paper was accepted by Agostino Capponi, finance.

scholarly journals Amartya Kumar Sen’s ethical interpretation of poverty

2017 ◽  
Vol 20 (6) ◽  
pp. 157-169
Author(s):  
Damian Szymczak
Keyword(s):  
Economic Theory ◽  
21St Century ◽  
Historical Context ◽  
Fundamental Question ◽  
Economic Factors ◽  
Specific Time ◽  
Or Education ◽  
Running Water ◽  
Definition Of ◽  
Good And Evil

On the threshold of the 21st century, the problem of poverty remains unresolved. Many still suffer from hunger, and many more have no access to running water, or education. This raises a fundamental question that has bothered economy researchers for centuries: What determines the wealth of some countries, and the poverty of others? One of the contemporary researchers analysing the causes of poverty and development barriers is Indian economist Amartya Kumar Sen. Referring to the socio-economic theory of Sen, the author indicates that modernity implies the need for reflection on the definition of poverty. The author attempts to justify the thesis which focuses on the discord between the evaluation concepts of good and evil with objective economic factors defining poverty. The author suggests that the definition of poverty should be grounded in considerations concerning good and evil in a specific time, as well as cultural and historical context.

Sikhism and Islam: A Structural Analysis

2019 ◽  
pp. 209-232
Author(s):  
J.P.S. Uberoi
Keyword(s):  
Structural Analysis ◽  
Fundamental Question ◽  
Central Theme ◽  
Political Aspect ◽  
Contemporary World ◽  
Definition Of ◽  
The Relationship ◽  
Structural Definition

This chapter outlines the author’s structural definition of the problems involved in the theoretical and practical relations between Sikhism and Islam in terms of religion, history and society since the time of Guru Nanak through the various vicissitudes that were to follow. It contains a synchronous analysis of the structure of the discourse of religion as well as an analysis of the structure of the discourse of history, that is, the diachronous political aspect of the relation. The issues of the unity and duality of the religious and political aspects of life in both the medieval and the contemporary world are a central theme and lead to the more fundamental question of plurality in Indian modernity. Also included is a discussion on non-Sanskritic sects and the relationship between the Mughals and the Sikhs.

scholarly journals Quasi-Perfect Stackelberg Equilibrium

2019 ◽  
Vol 33 ◽  
pp. 2117-2124 ◽  
Author(s):  
Alberto Marchesi ◽  
Gabriele Farina ◽  
Christian Kroer ◽  
Nicola Gatti ◽  
Tuomas Sandholm
Keyword(s):  
Broad Class ◽  
Stackelberg Equilibrium ◽  
Correlated Equilibrium ◽  
Equilibrium Concept ◽  
Extensive Form ◽  
Tree Form ◽  
Axiomatic Definition ◽  
Security Games ◽  
Definition Of ◽  
Perfect Equilibria

Equilibrium refinements are important in extensive-form (i.e., tree-form) games, where they amend weaknesses of the Nash equilibrium concept by requiring sequential rationality and other beneficial properties. One of the most attractive refinement concepts is quasi-perfect equilibrium. While quasiperfection has been studied in extensive-form games, it is poorly understood in Stackelberg settings—that is, settings where a leader can commit to a strategy—which are important for modeling, for example, security games. In this paper, we introduce the axiomatic definition of quasi-perfect Stackelberg equilibrium. We develop a broad class of game perturbation schemes that lead to them in the limit. Our class of perturbation schemes strictly generalizes prior perturbation schemes introduced for the computation of (non-Stackelberg) quasi-perfect equilibria. Based on our perturbation schemes, we develop a branch-and-bound algorithm for computing a quasi-perfect Stackelberg equilibrium. It leverages a perturbed variant of the linear program for computing a Stackelberg extensive-form correlated equilibrium. Experiments show that our algorithm can be used to find an approximate quasi-perfect Stackelberg equilibrium in games with thousands of nodes.

scholarly journals DEFORMATION CONDITIONS FOR PSEUDOREPRESENTATIONS

2019 ◽  
Vol 7 ◽  
Author(s):  
PRESTON WAKE ◽  
CARL WANG-ERICKSON
Keyword(s):  
Stability Condition ◽  
Deformation Theory ◽  
Axiomatic Definition ◽  
Galois Deformation ◽  
Definition Of

Given a property of representations satisfying a basic stability condition, Ramakrishna developed a variant of Mazur’s Galois deformation theory for representations with that property. We introduce an axiomatic definition of pseudorepresentations with such a property. Among other things, we show that pseudorepresentations with a property enjoy a good deformation theory, generalizing Ramakrishna’s theory to pseudorepresentations.

scholarly journals Operation of transport companies in terms of the sustainable growth of the region

2018 ◽  
Vol 239 ◽  
pp. 08013
Author(s):  
Roman Averbukh ◽  
Galina Kononova ◽  
Vsevolod Tsiganov
Keyword(s):  
Human Resource Management ◽  
Behavioral Economics ◽  
Human Resource ◽  
Digital Technologies ◽  
Sustainable Growth ◽  
Living Standards ◽  
Entrepreneurial Activity ◽  
Local Conditions ◽  
Definition Of ◽  
Management Issues

The article highlights the influence of the regional economic entities on the sustainable growth of the region. The nature of effect of the local conditions on the efficiency of the entrepreneurial activity is determined. The definition of sustainable growth of the region is clarified. Transport organizations are taken as a study subject. The main operational results of transport organizations, that are directly related to the living standards, are identified and classified. The extended algorithm for the correspondence between organizations’ efficiency and growth of the region is developed. Priority factors, that aim to increase the performance of transport companies, are determined. These factors include active use of digital technologies in carriage of passengers and cargo traffic as well as application of principles of behavioral economics in human resource management. Issues of behavioral economics are considered from the standpoint of the problem of growth in labor productivity.

scholarly journals Cladistic hypotheses as degree of equivalence relational structures: implications for three-item statements

2021 ◽  
Author(s):  
Valentin Rineau ◽  
Stéphane Prin
Keyword(s):  
Phylogenetic Trees ◽  
Phylogenetic Reconstruction ◽  
Equivalence Relations ◽  
Strong Connection ◽  
Relational Structures ◽  
Degree Of Equivalence ◽  
Axiomatic Definition ◽  
Finite Set ◽  
Definition Of ◽  
Supertree Methods

AbstractThree-item statements, as minimal informative rooted binary phylogenetic trees on three items, are the minimal units of cladistic information. Their importance for phylogenetic reconstruction, consensus and supertree methods relies on both (i) the fact that any cladistic tree can always be decomposed into a set of three-item statements, and (ii) the possibility, at least under some conditions, to build a new cladistic tree by combining all or part of the three-item statements deduced from several prior cladistic trees. In order to formalise such procedures, several k-adic rules of inference, i.e., rules that allow us to deduce at least one new three-item statement from exactly k other ones, have been identified. However, no axiomatic background has been proposed, and it remains unknown if a particular k-adic rule of inference can be reduced to more basic rules. In order to solve this problem, we propose here to define three-item statements in terms of degree of equivalence relations. Given both the axiomatic definition of the latter and their strong connection to hierarchical classifications, we establish a list of the most basic properties for three-item statements. With such an approach, we show that it is possible to combine five three-item statements from basic rules although they are not combinable only from dyadic rules. Such a result suggests that all higher k-adic rules are well reducible to a finite set of simpler rules.

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