Advertisement

The Review of Austrian Economics

, Volume 25, Issue 4, pp 359–362 | Cite as

Behavioral economics as interpretive economics. A review of Daniel Kahneman: Thinking, fast and slow. Farrar, Straus and Giroux, New York, 2011. 512 pp., index, ISBN 9780374275631, $30.00

  • Ryan Langrill
Article
  • 445 Downloads

Thinking, Fast and Slow is a book about how people think−how the mind interprets information given to it. Daniel Kahneman shared the 2002 Economics Nobel with Vernon Smith; he is a psychologist by training and one of the founders of behavioral economics. The book takes us through different phases in his career, each of which focuses on an aspect of how people’s “machinery of cognition” helps them make sense of the world (or fails to do so). Thinking, Fast and Slow has received great accolades, with The Economist, The New York Times Book Review, and The Wall Street Journal including it on their 2011 best book lists. I will focus on issues relevant to readers of the RAE and the opportunities Kahneman’s research program presents, rather than an in-depth analysis of the book because there are a large number of reviews for general readers.

Kahneman breaks the book into five sections, mapping onto five of Kahneman’s research projects in roughly chronological order. In first nine chapters,...

References

  1. Albert, H. (1979). The economic tradition: economics as a research programme for theoretical social science. In K. Brunner (Ed.), Economics and social institutions (pp. 1–28). Boston: Martinus Nijhoff Publishing.CrossRefGoogle Scholar
  2. Ariely, D. (2009). Predictably irrational, revised and expanded edition. New York: HarperCollins Books.Google Scholar
  3. Coase, R. (1976). Adam Smith’s view of man. Journal of Law and Economics, 19(3), 529–546.CrossRefGoogle Scholar
  4. Coyne, C., & Boettke, P. (2012). Lessons from Austrian and public choice economists for the happiness debate, in P. Booth, ed. …and the pursuit of happiness. The Institute for Economic Affairs, 205–221.Google Scholar
  5. Friedman, M. (1953). The methodology of positive economics. In M. Friedman (Ed.), Essays in positive economics (pp. 3–34). Chicago: the University of Chicago Press.Google Scholar
  6. Geertz, C. (1973). The interpretation of cultures. New York: Basic Books.Google Scholar
  7. Gigerenzer, G. (2008). Rationality for mortals: How people cope with uncertainty. New York: Oxford University Press.Google Scholar
  8. Lavoie, D. (2011). The interpretive dimension of economics: Science, hermeneutics, and praxeology. The Review of Austrian Economics, 24(2), 91–128.CrossRefGoogle Scholar
  9. Thaler, R., & Sunstein, C. (2008). Nudge: Improving decisions about health, wealth, and happiness. New Haven, CT: Yale University Press.Google Scholar

Copyright information

© Springer Science+Business Media, LLC 2012

Authors and Affiliations

  1. 1.George Mason UniversityFairfaxUSA

Personalised recommendations