Affiliation:
1. Gümüşhane Üniversitesi
Abstract
As part of this study, we first explain the concept of limited rationality. Based on neoclassical economic assumptions, the individual is fully rational, but that is not true in practice. As part of this study, we first explain the concept of limited rationality. Then neuroeconomics and its methods are explained, which developed in the aftermath of the 1990s. This study also explores the formation of limited rationality in the real world based on the results obtained from the research in the field of neuroeconomics, along with the subjects of knowledge, risk and uncertainty, emotion, culture, and brand awareness, and intertemporal choice. In the conclusion part of the paper, the necessary institutions for reducing this limited rationality are discussed.
Publisher
Sosyal Bilimler Arastirmalari Dernegi
Reference54 articles.
1. Ankarloo, D. (2002). New institutional economics and economic history. Capital & Class, 26(3), 9-36.
2. Ardalan, K. (2018). Behavioral attitudes toward current economic events: a lesson from neuroeconomics. Business Economics, 53(4), 202-208.
3. Aumann, R. (2008). Rule rationality vs. act rationality. The Hebrew University, Center for the Study of Rationality, 497.
4. Aydinonat, N. E. (2010). Neuroeconomics: more than inspiration, less than revolution. Journal of Economic Methodology, 17(2), 159-169.
5. Bechara, A., Damasio, H., & Damasio, A. R. (2000). Emotion, decision making and the orbitofrontal cortex. Cerebral Cortex, 10(3), 295-307.