Information Economic Man Assumption: Concept Definition and Comparison

Social norm, an important and coordinating part in economic activities, can greatly reduce the information demand that economic decisions require. The assumption of “Rational Man”, which exists in the western mainstream economics, is based on the simplified model of the instinct of human beings. And this thoroughly ignores the social attribute of human beings. In the literature review, the assumption of “Rational Man” is analyzed as an abstract and deductive way based on the western culture of Christianity. This theory can better explain the economic behaviors of human beings under the specific social circumstance of the protestant ethic. However, its rationality cannot be guaranteed without such cultural background. Besides, under the eastern social circumstance dominated by Confucianism, the assumption of “Rational Man” can also bring prominent ethical conflicts. The assumption of “Information Economic Man” put forward by this thesis gives consideration both to the individual rationality and social features an economic man possesses, and better explains the impact of social norm on economic decisions. By bringing into the capital vector, and drawing on field theory, the model of “information field” is generated. It can provide economic man with a concise math model that affects the process of decision making. The size and direction of capital vector represent respectively the influence of economic factors and moral factors on economic decisions. And thus a wider range of economic behavior of human beings can be analyzed in a rational way.

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The Economics of Tipping

The Journal of Economic Perspectives ◽

10.1257/jep.34.2.215 ◽

2020 ◽

Vol 34 (2) ◽

pp. 215-236

Author(s):

Ofer H. Azar

Keyword(s):

Social Norm ◽

Full Range ◽

Economic Behavior ◽

Economic Activities ◽

Income Source ◽

Economic Implications ◽

The Us ◽

History Of ◽

Social Motivations ◽

The Relationship

Tipping involves dozens of billions of dollars annually in the US alone and is a major income source for millions of workers. But beyond its economic importance and various economic implications, tipping is also a unique economic phenomenon in that people pay tips voluntarily without any legal obligation. Tipping demonstrates that psychological and social motivations can be a substantial reason for economic behavior, and that economic models should go beyond a selfish economic agent who has no feelings in order to capture the full range of economic activities. This article discusses some aspects of tipping, with an emphasis on economic issues: the history of tipping, the main reasons for tipping, why tipping could be a welfare-increasing and sustainable social norm, the relationship between tipping and service quality, how tipping represents a struggle over rents, and issues of discrimination and sexual harassment related to tipping.

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Cities for New Growth and Socio-Economic Dynamism?

International Journal of Public Administration in the Digital Age ◽

10.4018/ijpada.2017100101 ◽

2017 ◽

Vol 4 (4) ◽

pp. 1-19

Author(s):

Seija Kulkki

Keyword(s):

Human Beings ◽

Wealth Creation ◽

Public Agencies ◽

Economic Activities ◽

Entrepreneurial Spirit ◽

Societal Challenges ◽

City Regions ◽

The Social ◽

Strategic Role ◽

The Impact

The article argues for a strategic role for cities and regions in renewing the social and economic foundations of societies, locally and globally. The cities offer an opportunity to develop - through their own strategic RDI - new human-centric social and economic dynamism for the wellbeing of human beings and the Nature. The article elaborates on sources of growth, value and wealth creation that are based on strategic RDI of cities and city-regions with firms, public agencies and citizens. This RDI may bring about new social and economic activities and means of solving major societal challenges. The article discusses (1) how to design for transformative RDI, (2) what are the forms of participative RDI and their impact on participative democracy, (3) what are the new mechanisms of governance that reflect the central role of cities in societal renewal, and (4) what is the impact of cities on overall entrepreneurial spirit, economic efficiency, and wealth creation?

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Microfinance Banks, Small and Medium Scale Enterprises and COVID-19 Pandemic in Nigeria

European Journal of Economics Law and Politics ◽

10.19044/elp.v8no2a1 ◽

2021 ◽

Vol 8 (2) ◽

pp. 1-10

Author(s):

Bako Yusuf Adebola ◽

Oyegoke Adebusola Adebola ◽

Idowu Afolasade Florence ◽

Aderemi Timothy Ayomitunde

Keyword(s):

Oil And Gas ◽

Global Financial Crisis ◽

Financial Institution ◽

Small And Medium Enterprises ◽

Primary Data ◽

Human Beings ◽

Economic Activities ◽

Ogun State ◽

Microfinance Institution ◽

The Impact

Corona virus otherwise known as COVID-19 has left indelible marks on both human beings and businesses globally. When the virus emerged in Wuhan, China in late 2019, it was viewed as China`s problem. Nobody ever envisioned that the novel virus could spread and result into global pandemic within few months. Meanwhile, the aftermath effects of COVID-19 on various socio-economic activities might not be different from global financial crisis of 2008, which left no economy unaffected. Against this backdrop this study was carried out with a view to investigating the impact of microfinance credit on entrepreneurship development amidst COVID-19 pandemic using some selected small and medium enterprises engaging in essentials such as food and consumables, oil and gas and pharmaceuticals in Sango-Ota industrial estate of Ogun state, Nigeria. Primary data were collected with the aid of well-structured set of questionnaire from 100 SMEs which was done purposively. After subjecting the collected data to a rigorous analysis, it was discovered that over 90% of enterprises under investigation used microfinance credit for their businesses during COVID-19 pandemic. Similarly, the study submitted that micro credit increased the stock of goods of the selected and at same time orchestrated a moderate rise in profit for the majority of the SMEs selected for the survey. Consequently, the important findings that originated from this study brought the following recommendations for the policy makers, financial institution and all the stakeholders engaging in SMEs in Nigeria that credit from micro finance has the capacity to facilitate the development of entrepreneurship through expansion of outputs and profitability of SMEs in Nigeria. And as such, the policymakers in Nigeria should create an enabling environment that will facilitate microfinance institution to provide better credit and other financial facilities to SMEs in the country.

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Capitalist Persons

Social Philosophy and Policy ◽

10.1017/s0265052500002673 ◽

1988 ◽

Vol 6 (1) ◽

pp. 39-59 ◽

Cited By ~ 2

Author(s):

Andrew Levine

Keyword(s):

Moral Philosophy ◽

Moral Agency ◽

Economic Behavior ◽

The Other ◽

Moral Deliberation ◽

Theoretical Construct ◽

Human Beings ◽

Homo Oeconomicus ◽

Property Relations ◽

Economic Man

In what follows, “persons” are ideal-typical concepts of human beings, deployed expressly or supposed implicitly in particular theoretical contexts. Thus, the person of Kantian moral philosophy is a pure bearer of moral predicates, bereft of all properties that empirically distinguish human beings from one another: properties that, in Kant's view, are irrelevant to moral deliberation. No man or woman, actual or possible, could be so starkly featureless. But Kant's aim was not to describe human beings in actual or possible deliberations, but moral agency as such. Similarly, homo oeconomicus, economic man, is not a composite man or woman, but also a person, a theoretical construct introduced for explanatory purposes in models of economic behavior. My aim is to investigate capitalist persons: ideal-typical concepts of human beings deployed in justifying theories of capitalist property relations.I shall identify two capitalist persons, and impugn one of them. To situate my position historically, I call the impugned person Lockean, and the other Kantian. It is tempting to designate the Lockean person “the capitalist person.” However, this characterization would be misleading. Justifying theories of capitalism can employ either concept, and both can serve in accounts of socialist economies. Nevertheless, the Lockean person is tendentially procapitalist while the Kantian person is not.What follows is therefore relevant to the broader capitalism/socialism debate. To fault the Lockean person is not quite to fault capitalism itself. But a case against the Lockean person, if successful, would undermine an important strain of procapitalist argument. More importantly, the considerations I will adduce suggest a way of thinking about distributive justice and, ultimately, an ideal of equality that socialism, but not capitalism, can in principle accommodate.

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Cities for New Growth and Socio-Economic Dynamism?

Wealth Creation and Poverty Reduction ◽

10.4018/978-1-7998-1207-4.ch025 ◽

2020 ◽

pp. 416-436

Author(s):

Seija Kulkki

Keyword(s):

Human Beings ◽

Wealth Creation ◽

Public Agencies ◽

Economic Activities ◽

Entrepreneurial Spirit ◽

City Regions ◽

The Social ◽

Strategic Role ◽

The Impact

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The Impact of Emotions on Our Rational Economic Decisions

Journal of Humanity and Society (İnsan & Toplum Dergisi) ◽

10.12658/m0617 ◽

2021 ◽

Vol 11 (2) ◽

pp. 19-46

Author(s):

İbrahim Cevizli ◽

Mahmut Bilen

Keyword(s):

Decision Making ◽

Complex Structure ◽

Decision Making Process ◽

Unique Contribution ◽

Human Beings ◽

Economic Decision ◽

Economic Theories ◽

Economic Decisions ◽

Economic Decision Making ◽

The Impact

There are many factors that affect the attitudes and behaviors of human beings, which have a very complex structure. However, mainstream economic theories have ignored other characteristics, including the role of emotions, by assuming that human beings are “rational” in the economic decision-making process. Although this assumption is actually controversial, it still maintains its strong established position in economic theories. In the study, the history of economic rationality and the objections developed against the rational individual were examined, and whether emotions affect the economic decision-making process was analyzed with a hypothetical experimental study, first based on observation, and then subjected to the Mann Whitney U test. According to the findings, it was determined that people are also affected by their feelings that they do not act solely on the assumption of rationality in the economic decision-making process. This finding is presented both as a unique contribution to the economics literature and as an option to be evaluated for economic policy makers.

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The impact of economic crisis on mental and physical health in Italy

Die Psychiatrie ◽

10.1055/s-0038-1669560 ◽

2017 ◽

Vol 14 (02) ◽

pp. 103-110

Author(s):

S. Tomassi ◽

M. Ruggeri

Keyword(s):

Mental Health ◽

Physical Health ◽

Economic Crisis ◽

Social Determinants ◽

Great Recession ◽

Economic Recession ◽

Behavioural Disorders ◽

Economic Activities ◽

The Impact ◽

Mental And Physical Health

Summary Background: The global crisis that began in 2007 has been the most prolonged economic recession since 1929. It has caused worldwide tangible costs in terms of cuts in employment and income, which have been widely recognised also as major social determinants of mental health (1, 2). The so-called “Great Recession” has disproportionately affected the most vulnerable part of society of the whole Eurozone (3). Across Europe, an increase in suicides and deaths rates due to mental and behavioural disorders was reported among those who lost their jobs, houses and economic activities as a consequence of the crisis.

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TRANSFER FİYATLAMA UYGULAMASININ İŞLETME PERFORMANSINA ETKİSİ VE VERGİSEL AÇIDAN DEĞERLENDİRİLMESİ

Business And Management Studies An International Journal ◽

10.15295/bmij.v1i2.63 ◽

2014 ◽

Vol 1 (2) ◽

pp. 187

Author(s):

Serdar KUZU

Keyword(s):

Business Performance ◽

Transfer Pricing ◽

Tax Law ◽

Economic Activities ◽

Tax System ◽

Goods And Services ◽

Tax Legislation ◽

International Transactions ◽

The Cost ◽

The Impact

The size of international trade continues to extend rapidly from day to day as a result of the globalization process. This situation causes an increase in the economic activities of businesses in the trading area. One of the main objectives of the cost system applied in businesses is to be able to monitor the competitors and the changes that can be occured as a result of the developments in the sector. Thus, making cost accounting that is proper according to IAS / IFRS and tax legislation has become one of the strategic targets of the companies in most countries. In this respect, businesses should form their cost and pricing systems according to new regulations. Transfer pricing practice is usefull in setting the most proper price for goods that are subject to the transaction, in evaluating the performance of the responsibility centers of business, and in determining if the inter-departmental pricing system is consistent with targets of the business. The taxing powers of different countries and also the taxing powers of different institutions in a country did not overlap. Because of this reason, bringing new regulations to the tax system has become essential. The transfer pricing practice that has been incorporated into the Turkish Tax System is one of the these regulations. The transfer pricing practice which includes national and international transactions has been included in the Corporate Tax Law and Income Tax Law. The aim of this study is to analyse the impact of goods and services transfer that will occur between departments of businesses on the responsibility center and business performance, and also the impact of transfer pricing practice on the business performance on the basis of tax-related matters. As a result of the study, it can be said that transfer pricing practice has an impact on business performance in terms of both price and tax-related matters.

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The specifics of shadow economic activity in Russia

Economic Analysis Theory and Practice ◽

10.24891/ea.19.10.1896 ◽

2020 ◽

Vol 19 (10) ◽

pp. 1896-1915

Author(s):

E.R. Ermakova ◽

O.M. Lizina

Keyword(s):

Economic Activity ◽

Shadow Economy ◽

Integrated Approach ◽

Economic Activities ◽

Reproductive Process ◽

Scientific Methods ◽

Current Period ◽

Russian Economy ◽

Analysis And Synthesis ◽

The Impact

Subject. The article addresses the specifics of shadow economic activities in reformed Russia in the context of systemic transformations. Objectives. We focus on determining the role of shadow economy in the reproductive process, identifying and understanding the specifics of underground economic activity of the Russian economy. Methods. The study rests on general scientific methods (scientific abstraction, unity of historical and logical, analysis and synthesis, induction and deduction, comparison and analogy) and special methods of cognition (monetary methods). We employ the systems and integrated approach. The official statistics, regulations, works of leading researchers on shadow economy expansion, resources of reference and legal systems like Garant and ConsultantPlus serve as the study's information base. Results. We present a retrospective rapid analysis of the extent of shadow economic activity in the domestic economy, establishing the relationships with the processes that take place at different stages of the country's development. We also reveal the specifics of shadow economy relations in Russia, factors that play a key role in expansion for a particular period, a shift to another form of shadow economy. The study characterizes the current period of development, assesses the impact of external shocks on shadow economy expansion. Conclusions. The current period is characterized by the digitization of shadow relations, the shift of corruption to the upper echelons of power, the continued outflow of capital abroad, and increased penalties for underground activities.

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Principles for sharing economy formation in the digital society

Economic Analysis Theory and Practice ◽

10.24891/ea.19.5.800 ◽

2020 ◽

Vol 16 (5) ◽

pp. 800-821

Author(s):

E.V. Popov ◽

K.A. Semyachkov

Keyword(s):

Network Effects ◽

Sharing Economy ◽

Network Effect ◽

Industrial Society ◽

Economic Activities ◽

Digital Platforms ◽

Digital Society ◽

Modern Economy ◽

Characteristic Features ◽

The Impact

Subject. The article addresses economic relations that are formed in various areas of economic application of digital platforms. The target of the research is the modern economy of digital platforms across different economic activities. Objectives. The aim is to systematize principles for share economy formation in the context of the digital society development. Methods. We employ general scientific methods of research. Results. The study shows that the development of digital platforms is one of the most important trends in the development of the modern economy. We classified certain characteristic features of modern digital platforms, analyzed principles for their creation. The paper emphasizes that the network effects achieved through the use of digital platforms are an important factor in the development of the share economy. The network effect describes the impact of the number of the platform users on the value created for each of them. The paper also considers differences in the organization of traditional economy companies and companies that are based on the digital platform model, reveals specifics of changes in socio-economic systems caused by the development of digital platforms, systematizes principles of the sharing economy formation in the context of the digital society development. Conclusions. The analyzed principles for sharing economy development on the basis of digital platforms can be applied to create models for the purpose of forecasting the transformation of economic activity in the post-industrial society.

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