Rational Choice (Mit Press)

About this book

A nontechnical concise and rigorous introduction to the rational choice paradigm focusing on basic insights applicable in fields ranging from economics to philosophy. This book offers a rigorous concise and nontechnical introduction to some of the fundamental insights of rational choice theory. It draws on formal theories of microeconomics decision making games and social choice and on ideas developed in philosophy psychology and sociology. Itzhak Gilboa argues that economic theory has provided a set of powerful models and broad insights that have changed the way we think about everyday life. He focuses on basic insights of the rational choice paradigmthe general conceptualization rather than a particular theorythat survive recent (and well-justified) critiques of economic theorys various failures. Gilboa explains the main concepts in language accessible to the nonspecialist offering a nonmathematical guide to some of the main ideas developed in economic theory in the second half of the twentieth century. Chapters cover feasibility and desirability utility maximization constrained optimization expected utility probability and statistics aggregation of preferences games and equilibria free markets and rationality and emotions. Online appendixes offer additional material including a survey of relevant mathematical concepts.