Friday, July 25, 2008

Neuroeconomics | Do economists need brains? | Economist.com

I am not--thank heavens--an economist. Never even played one on TV. Never played "economist" as a kid. But what I learned about economists was that (a) They traditionally base their assumptions on a mythical "rational decision-maker" and thus (b) They are often spectacularly wrong.

But over time, behavioral factors were added to get closer to "actual person" and now, neuroscience jumps into the breach. Like all the soft sciences, (psychology, anyone?) economics needs this truly scientific grounding to turn massive amounts of vague mush into a few hard nuggets of truth. 

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