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Rational Choice Theory

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Rational Choice Theory is a framework for understanding social and economic behavior, positing that individuals make decisions by maximizing utility based on preferences, available information, and constraints. It assumes that agents act rationally to achieve their goals, weighing costs and benefits to optimize outcomes.
lightbulbAbout this topic
Rational Choice Theory is a framework for understanding social and economic behavior, positing that individuals make decisions by maximizing utility based on preferences, available information, and constraints. It assumes that agents act rationally to achieve their goals, weighing costs and benefits to optimize outcomes.

Key research themes

1. How do violations of classical rationality principles inform extended models of preferential choice?

This research theme investigates empirical violations of normative consistency principles (such as transitivity and independence of irrelevant alternatives) that define classical rationality in choice theory. It examines the nature and robustness of these violations, their interrelationships, and adaptive functions, leading to the development of descriptive models that extend beyond classical rational choice assumptions. The theme addresses the implications of bounded rationality and stochastic transitivity in understanding human preferential behavior, advancing theories that reconcile systematic inconsistencies with reasonable adaptation to environmental constraints.

Key finding: Synthesizes multiple decades of empirical work demonstrating consistent and systematic violations of classical rationality principles such as perfect consistency and independence of irrelevant alternatives across various... Read more
Key finding: Challenges the necessity of the transitivity axiom for rationality by presenting arguments and examples of rational intransitive preferences stemming from non-linear and differential utility functions. Shows that rational... Read more
Key finding: Critically analyses the normative and descriptive gaps in full rationality models, arguing that their a priori foundation leads to counterfactual rationality concepts detached from real behavior. Proposes a causal... Read more

2. What are the methodological and conceptual critiques of classical rational choice theory and how do they inform alternative frameworks?

This theme focuses on critiques of classical rational choice theory from multiple disciplinary perspectives including economics, sociology, cultural theory, and decision science. It explores conceptual limitations such as unrealistic assumptions about preference consistency, computational capacity, and subjective rationality. The theme elaborates on bounded rationality, cultural influences, organizational constraints, and cognitive factors that question the universal applicability of classical rational choice models. Alternative frameworks emphasize adaptive heuristics, behavioral inconsistencies, and social structural effects, aiming to offer more empirically valid and context-sensitive models of human decision-making and social behavior.

Key finding: Argues that neoclassical rational choice theory (RCT), despite its analytical power and flexibility, is descriptively accurate only for a narrow class of choice settings and that the 'wide' sociological RCT adds little... Read more
Key finding: Empirically demonstrates that the classical rational decision-making model fails to describe actual organizational decision processes due to assumptions of problem clarity, comprehensive search, and unbiased evaluation.... Read more
Key finding: Reviews the rational choice theory's origins, assumptions, and criticisms, emphasizing that rationality as defined in the model is subjective and context-dependent. Critically evaluates the theory's reliance on individual... Read more
Key finding: Evaluates neoclassical economic decision theory's failure to incorporate neurobiological and cognitive factors influencing decision-making, arguing that pure mathematical optimization models inadequately represent human... Read more
Key finding: Contrasts rational choice theoretical assumptions with biopolitical theory's emphasis on power microstructures and disciplinary mechanisms shaping human behavior. Finds that while often viewed as antagonistic, both paradigms... Read more

3. How can voting rules and social choice mechanisms be characterized and reconciled with axioms of rationality and fairness?

This theme analyzes the axiomatic foundations of collective decision-making rules, particularly voting methods, focusing on their consistency with principles such as independence of irrelevant alternatives, expansion consistency, anonymity, neutrality, and resoluteness. It explores impossibility theorems highlighting tensions among these axioms and investigates alternative frameworks (like the Advantage-Standard model) that weaken or revise classical constraints to evade impossibility results. Characterizations include the role of majority margins in determining outcomes and the design of voting rules that maintain desirable normative properties while accommodating empirical and logical constraints.

Key finding: Establishes that voting rules are margin-based if and only if they satisfy the axioms of Preferential Equality and Neutral Reversal, thereby identifying normative foundations for margin-based (pairwise) voting rules.... Read more
Key finding: Introduces the Advantage-Standard (AS) model as a novel framework of collective choice rule representation that weakens Independence of Irrelevant Alternatives (IIA) without leading to classical impossibility results.... Read more
Key finding: Proves that even significantly weakened forms of resoluteness, which require uniqueness of winners only under restricted domains and are compatible with anonymity and neutrality, are inconsistent with binary expansion... Read more
Key finding: Identifies sufficient conditions on weak orders over existing and null alternatives that guarantee the leximax and leximin lexicographic rules on the power set satisfy extensibility, ensuring consistency between preferences... Read more

All papers in Rational Choice Theory

Although rational choice theory has made considerable advances in other social sciences, its progress in sociology has been limited. Some sociologists' reservations about rational choice arise from a misunderstanding of the theory. The... more
The massacre of almost 50 Maidan protesters on February 20, 2014 was a turning point in Ukrainian politics and a tipping point in the conflict between the West and Russia over Ukraine. This mass killing of the protesters and the mass... more
North begins his book by stating that "institutions are the rules of the game in a society or, more formally, are the humanly devised constraints that shape human interaction."(3) That being said North then proposes to examine... more
Actors in competitive environments are bound to decide and act under conditions of uncertainty because they rarely have accurate foreknowledge of how their opponents will respond and when they will respond. Just as a competitor makes a... more
North begins his book by stating that "institutions are the rules of the game in a society or, more formally, are the humanly devised constraints that shape human interaction."(3) That being said North then proposes to examine... more
This intervention contributes to recent work in urban geography that integrates the conceptual frameworks of assemblages and actor-network theory by highlighting two additional directions that require a more rigorous and detailed... more
This article concerns the extent to which corrupt behavior is dependent on the organizational power structure and the resources available for illegal exchange. This qualitative study is based on 42 in-depth interviews with organizational... more
Rational-Choice Institutionalist dengan Paradigma Liberalisme Ini adalah review kritis atas salah satu artikel Mark A. Pollack yang dimuat dalam Journal of Common Market Studies Vol. 39 No. 2 pp. 221-244 pada Juni 2001 dengan judul... more
This paper highlights two of the ways in which an abundance of frequent and high-quality information can nonetheless lead an economic agent to failure. I begin with the problem of frequent information, continue with the problem of... more
Corrupt exchanges are often brokered by a third party, but this phenomenon has not been satisfactorily explored by researchers of corruption. Literature on brokerage in general provides interesting models but they have not previously been... more
"Corruption has become one of the most popular topics in the social scientific disciplines. However, there is a lack of interdisciplinary communication about corruption. Models developed by different academic disciplines are often... more
from five hospitality industry segments. The data were analyzed with the content analysis techniques of phenomenology qualitative research and revealed that leadership, relevant job experience, person-organization and person-job fit, and... more
In psychology, the picture is admittedly more complex. Since the publication of Freud's earliest metapsychological writings, and in particular his adumbration of the distinction between two principles of mental functioning, the BEHAVIORAL... more
A critical review of the rational approach to policy-making' This essay will critically review the approach of Rational Choice Theory when applied to Public Policy. First it will analyse the main tenets proposed by this approach to policy... more
Organized crime is often conceptualized as a business enterprise formed by actors motivated by profits. The Balkans represents an ideal case for testing the extent to which assumptions about the image of actors involved in illegal arms... more
This qualitative study examines the role of clients in petty corruption by analyzing actual corrupt exchanges between ordinary citizens and low level public and private employees in post-communist Hungary. Using a grounded theory... more
The prisoner’ dilemma model applied to the Great Terror in the Soviet Union implies that political prisoners had an incentive to confess and implicate other prisoners. Since the other prisoners had similar incentives, they also confessed.... more
Organized crime is often conceptualized as a business enterprise formed by actors motivated by profits. The Balkans represents an ideal case for testing the extent to which assumptions about the image of actors involved in illegal arms... more
La curiosità degli scienziati sociali, che vogliono occuparsi del Mezzogiorno d'Italia e più specificatamente di quella Regione a Statuto Speciale che è la Sicilia, cozza ormai da lungo tempo con il fenomeno cosiddetto "mafioso", il quale... more
Rational choice theory is a framework formed in order to explain organizational and economical behaviours in decision making process. Basically, it is claimed that people calculate costs and benefits of their actions before initiating to... more
This article concerns the extent to which corrupt behavior is dependent on the organizational power structure and the resources available for illegal exchange. This qualitative study is based on 42 in-depth interviews with organizational... more
The growth of Protestantism among U.S. Latinos has been the focus of considerable discussion among researchers. Yet few studies investigate how Latino Protestants and Latino Catholics differ, or which types of Latinos convert from... more
Generally, over the years rural crime in South Africa has been largely ignored and/or under-researched by academics, particularly from a criminological perspective. With the recent exception of a focus on wildlife poaching in rural areas... more
There seems to be critics who think that game theory can provide very little insights in doing empirical social scientific research or normative political theory/political philosophy. This is because these people tend to think that game... more
This book presents a model for making ethical decisions both effectively and efficiently. Therefore, the model is much broader than a purely analytical framework. It must tell us how to act rather than limit us to reflection on actions... more
Given their definition of subjective norms, rational-choice theories must be located within the realm of social conventionality. However, subjective norms can be grounded in moral as well as conventional considerations. Not surprisingly,... more
"This work explores the institutionalized reasons for the decline of temples rather than the religious. I argue that the process of pagan temple destruction of the eastern provinces in the Later Roman Empire (c. late fourth and early... more
In this paper we will deal with the relations between game theory and conflict. Firstly, we will outline the starting analisys of rational action in the field of international security, based on the model of prisoner’s dilemma, game of... more
Is Terrorism Rational? The Rational Choice Theory and its Applicability to The Study of Terrorism. Relevant Paradigms and Limitations.
Our lives are filled with aesthetic choices, that is, choices of objects for aesthetic experience. Choice is crucial to having a fulfilling aesthetic life. Our immediate satisfaction and long term flourishing require the ability to... more
International relations theory took shape in the 1950s in reaction to the behavioral social science movement, emphasizing the limits of rationality in a context of high uncertainty, weak rules, and the possibility of lethal conflict. Yet... more
In the United States, highly religious people tend to live longer, have fewer health and mental problems, steal less, volunteer more time, and give away more money than others. Even when other relevant factors are controlled for... more
This thesis offers a philosophical perspective on the different conceptions of agency and choice as they are understood and employed in economics and behavioral decision research—this perspective is two-fold: on the one hand,... more
K 90 Polis Bilimleri Dergisi: 11 (4) tün suçların da rasyonel bir tercih neticesinde alınan kararlarla gerçekleşmediği durumu göz önüne alındığında, caydırıcılığın kişiden kişiye ve suç tipine göre belli bir değişim göstereceği ve bu... more
http://lnx.pubblitesi.it/schede-sintetiche/area-umanistica/1230-virginia-ghiara-oltre-l-individualismo-metodologico-le-proposte-del-mauss La tesi intende ripercorrere l’evoluzione del pensiero dei membri del MAUSS dalla fondazione del... more
This paper analyses how a theoretical approach like rational choice institutionalism (RCI) may help understand the conceptual bases and future challenges of digital democracy (DD). It distinguishes three main characteristics of DD, in the... more
Social science employs teleological explanations which depend upon the rationality principle, according to which people exhibit instrumental rationality. Popper points out that people also exhibit critical rationality, the tendency to... more
Returning to Reality. Science and Spirituality after the rediscovery of our embodied existence. According to the tradition of sapiential philosophy, which includes thinkers like Thomas Aquinas, Meister Eckhart and Max Scheler, spiritual... more
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