FWIW, the idea of "rational utility maximization" is well-nigh tautological (a circular concept, true by definition). It's quite possible to "rationally maximize utility" while getting our preferences largely from others (peer pressure, etc.) or caring about the emotions of others (being "altruistic"). The only people who don't consistently try to attain their goals as they perceive them are schizophrenics and the like, who face serious internal conflicts of perceptions, emotions, and/or decision-making and snap or freeze.
Most of us try to consistently attain their goals, but can't do so because of incomplete information, incomplete ability to process and thus understand the incomplete, asymmetric, and biased information we have, and the incomplete ability to make decisions (bounded rationality). The deviations found by experimentalists) from "rational utility maximization" (such as Kahnemann's "loss aversion") aren't really irrational, except according to the narrow-minded conceptions of textbooks and "pro-market" pundits (who put the "mighty consumer" on a pedestal). Holding on to what one has and putting less value on what you don't (loss aversion) have makes total sense in terms of a survival strategy in isolation from social support networks. Given uncertainty, a bird in the hand is worth more than one in the bush. The problem is not with individuals not maximizing utility, but with markets, which (as well-known to those who study economics seriously) fail to serve consumer wants and are best at serving those who have lots of liquid assets (i.e., money), among other things giving them "consumer sovereignty" over those with fewer assets. On Sun, Oct 17, 2010 at 5:56 PM, David B. Shemano <[email protected]> wrote: > Jay Hanson writes: > >>> Your proposal is based on "rational utility maximizer" parents. Science has >>> shown that an animal like that doesn't exist. Does that fact change your >>> mind? > > Please explain what you mean by "rational utiilty maximizers" and why you > think my proposal is based upon it. > > David Shemano > > > _______________________________________________ > pen-l mailing list > [email protected] > https://lists.csuchico.edu/mailman/listinfo/pen-l > -- Jim Devine / "Segui il tuo corso, e lascia dir le genti." (Go your own way and let people talk.) -- Karl, paraphrasing Dante. _______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
