The category “other-regarding preferences” is a catch-all phrase based on a self/other dichotomy. While the self/other might be useful when the motive is self-interest or altruism, it fails when the motive involves bonding. This article identifies three motives that involve bonding: i) the preferences regarding friendship and community; ii) the preferences that amalgamate communal bonding with self-interest; and iii) the preferences for distinction and status. These three types of preferences unify the self and other—usually aided by ceremonies of gift exchange (...) and celebratory prizes. This article offers a more complete taxonomy of preferences and, corollary, structures of exchange. (shrink)
This paper proffers a dialogical theory of decision-making: decision-makers are engaged in two modes of rational decisions, instrumental and existential. Instrumental rational decisions take place when the DM views the self externally to the objects, whether goods or animate beings. Existential rational decisions take place when the DM views the self in union with such objects. While the dialogical theory differs from Max Weber’s distinction between two kinds of rationality, it follows Martin Buber’s philosophical anthropology. The paper expounds the ramifications (...) of the dialogical theory in understanding structures of exchange considering assessments of diverse thinkers. (shrink)
Neo-Darwinism is based on the same principles as the Walrasian analysis of equilibrium. This may be surprising for evolutionary economists who resort to neo-Darwinism as a result of their dissatisfaction with Walrasian economics. As it is well-known, the principle of rationality does not play a role in neo-Darwinism. In fact, the whole (neo-)Darwinian agenda became popular exactly because it expunged the idea of rationality from nature, and hence, from equilibrium. It is less known, however, that the rationality principle is also (...) not central in Walrasian equilibrium analysis. Therefore, if we find that the rationality principle must be central to the analysis of decision making of human and nonhuman organisms, we must advance organomics . Organomics is bioeconomics understood as the use of rational choice to the study of the behavior of human and nonhuman organisms. Organomics offers a different starting point than the one offered by neo-Darwinism. (shrink)
Law and Economics deals with the economic analysis of legal relations, legal provisions, laws and regulations and is a research field which has a long tradition in economics. It was lost after the expulsion of some of the leading economists from Germany during 1933 to 1938, but then revived in Chicago. Both the subject of Law of Economics and the need for a concise Encyclopedia is particularly relevant in Europe today. Currently in the European Union there are several different legal (...) cultures: the Anglo-Saxon legal framework, the German legal framework, which for example also includes Greece, and the Roman legal family—three jurisdictions which have to be covered with one and the same theory. In the EU, the task of the European Commission to interact with the various European jurisdictions means different legal cultures collaborating and some degree of harmonization is necessary. The result is an immediate need, if only for the science, to show how a given problem is solved in each legal tradition and jurisdiction. This Encyclopedia provides both a common language and precise definitions in the field, which will be useful in the future to avoid misunderstandings during harmonization of EU Law. (shrink)
The object of this paper is to retrace the steps that led Buchanan from marginal cost pricing to clubs. We claim that the idea individuals could form clubs to finance public goods can be traced back to his first works on public finance, at the end of the 1940s, and relates to the financing of highways and the pricing of their construction and of their use. Very early in his career Buchanan adopted Knut Wicksell’s proposal to use a marginal cost (...) pricing rule even for public goods. The many criticisms raised against this rule led him to replace it with club pricing. (shrink)
This book brings together the most authoritative articles on Law and Economics and the interaction between the two disciplines as well as the use of economic tools to analyse legal problems. Aimed at students experiencing the subject for the first time, the selections are interlaced with a wealth of features including explanatory introductions and exercises. Key features of the reader include: - The accessibility of the material: the articles should be understandable to those with only a limited background in economics (...) and law. - The book’s focus on the most important and basic – foundational – issues in law and economics. - An exposition of the opposition between the different legal systems that exist in the world including common law, civil law and public law. - Debates viewed from the perspective of the scholars from a range of backgrounds are presented as well as all the key figures in economics and in law. The book should prove to be an essential resource to all students studying this burgeoning field and represents an exciting introduction to one of the key disciplines which has grown up in the social sciences in recent times. (shrink)
In this volume, fourteen philosophers, economists and legal scholars and one computer scientist address various facets of the same question: under which conditions (if any) can intellectual property rights be fair? This general question unfolds in a variety of others: What are the parallels and differences between intellectual and real property? Are libertarian theories especially sympathetic to IP rights? Should Rawlsian support copyright? How can a concern for incentives be taken into account by each of the main theories of justice? (...) What's exactly wrong with free-riding, when dealing with non-rival goods? This requires a close examination of a variety of specific issues such as peer-to-peer file sharing, access to vital medicines, the interaction between copyright and freedom of expression, patents on genes, etc. It also involves bringing together state-of-the-art knowledge on legal, economic and technical issues with the most advanced state of our normative theories. (shrink)
The purpose of this paper is to discuss the connections and links that existed between Buchanan and Italian economists. We show that, even though Buchanan had read them, it was only after having spent one year in Italy—1955–1956—that Buchanan paid attention to these economists. Here, Francesco Forte played a particularly important role. It did not only transform Buchanan’s conception of the public debt but also lead him to pay more attention to law, institutions and political phenomena.