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Utility and the individual: An analysis of internal conflicts

✍ Scribed by D. Kelsey


Publisher
Springer
Year
1986
Tongue
English
Weight
688 KB
Volume
3
Category
Article
ISSN
0176-1714

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✦ Synopsis


Herbert Simon has argued that economic agents do not maximise a transitive ordering but rather adopt what he calls satisficing behaviour. He argues that such behaviour is rational. This paper aims to provide a theory to support Simon's viewpoint. Because of social choice problems an individual with multiple objectives may find it impossible to construct a transitive ordering and hence may have to adopt satisficing type behaviour. We show that whether or not an individual adopts satisficing behaviour depends on the information available.


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