Behaviour and Evidence

Abstract

Before finally turning to the question of ‘macro’ implications, we now, as promised in the Introduction, relate the micro theory to existing statistical evidence. This is also the most convenient moment to keep another promise, namely to consider the possible effects of satisficing behaviour (see p. 109). For, whatever his position in the debate between the behaviourists and the rationalists, one cannot deny that the behaviourist arguments are of crucial relevance in any empirical application. First, therefore, we state our general view about behaviourism in economics, then the application to our theory; then we attempt to satisplice the discussion to the empirical data.