Given any observed demand behavior by means of a demand function, we quantify by how much it departs from rationality. The measure of the gap is the smallest Frobenius norm of the correcting matrix function that would yield a Slutsky matrix with its standard rationality properties (symmetry, singularity, and negative semidefiniteness). A useful classification of departures from rationality is s...

morality as somehow involving rationality and impartiality received classic expression in philosophy of kant who frankly speaks of “rational and impartial spectator” in contemplating the universal law. the overall aim of this paper is to show (1) that the idea of morality implies rationality and this will be reached at in refuting the moral scepticism; but (2) it does not necessarily indicates ...

Abstract Why would decision makers (DMs) adopt heuristics, priors, or in short “habits” that prevent them from optimally using pertinent information—even when such information is freely-available? One answer, Herbert Simon’s “procedural rationality” regards the question invalid: DMs do not, and fact cannot, process an optimal fashion. For Simon, habits are primitives, where humans ready to repl...

Rational analysis (Anderson 1990, 1991a) is an empirical program of attempting to explain why the cognitive system is adaptive, with respect to its goals and the structure of its environment. We argue that rational analysis has two important implications for philosophical debate concerning rationality. First, rational analysis provides a model for the relationship between formal principles of r...

mega city-regions or metropolitan regions- that was introduced for the first time in a cabinet article in 1995- are becoming a dominant form of human settlements both in developed and developing countries. despite of all contentious discussion on economic and demographic significance of metropolitan regions and so rationality of establishing a distinct structure for their effective management a...

A concern for individual differences has been missing from the Great Rationality Debate in cognitive science—the debate about how much irrationality to attribute to human cognition. There are individual differences in rational thinking that are less than perfectly correlated with individual differences in intelligence because intelligence and rationality occupy different conceptual locations in...

Collective rationality in its ordinary sense is rationality’s extension to groups. It does not entail efficiency by definition. Showing that it entails efficiency requires a normative argument. Game theorists treating cooperative games generally assume that collective rationality entails efficiency, but formulating the reasoning that leads individuals to efficiency, and verifying the rationalit...

This paper consists of three sections. Based on subjective certainty, section 1 introduces what the authors term as ordinary rationality, in comparison with the four assumptions for economic rationality. Section 2 briefly distinguishes two levels of hyperbolic phenomenon, prior to and within a certain decision mode. This discussion, while short, functions as a connection between the concept of ...

An informal argument shows that common knowledge of rationality implies the iterative elimination of strongly dominated strategies. Rationality here means that players do not play strategies that are strongly dominated relative to their knowledge. We formalize and prove this claim. When by rationality we mean that players do not play strategies that are weakly dominated relative to their knowle...

Lopes (1996) clearly has limited patience with the Try to work through with undergraduates the equivalence concept of ‘‘rationality’’ as a basis for, or descriptor of, human decision making. I, in contrast, find some of the principles of rationality reasonably compel(x, E; (y, D; z)) B ((x, E; y), D; (x, E; z)), (1) ling—as do subjects when the situation allows them to see the structure of the ...