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Homo Economicus, Behavioural Sciences, and Economic Regulation: On the Concept of Man in Internal Market Regulation and its Normative Basis

  • Jens-Uwe FranckEmail author
  • Kai PurnhagenEmail author
Chapter
Part of the Economic Analysis of Law in European Legal Scholarship book series (EALELS, volume 1)

Abstract

We investigate how EU law conceptualizes the individual to whom internal market regulation is addressed. Our analytical point of departure is a stylized information paradigm , whereby for reasons of internal market benefits, market players have to bear the burden of perceiving and processing information that is relevant in respect of an intended transaction, as well as disadvantages should they be ill-equipped to cope with this assignment. Although the ECJ implemented the normative concept of a well-informed, observant and circumspect consumer, it never adopted such a stylized information paradigm . The EU legislature assists market players in perceiving and processing information, and even seeks to steer their decision-making process. We reconsider whether or to what extent this should be understood as an advancement of an information paradigm or rather as a “behavioural turn”. Only a differentiated approach that balances the internal market rationale with potentially conflicting rights meets the exigencies of EU law.

Keywords

Regulation Regulation Internal Market Bounded Rationality Fundamental Freedom Market Player 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Notes

Acknowledgement

The authors would like to thank an anonymous reviewer for valuable comments.

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Copyright information

© Springer Science+Business Media Dordrecht 2014

Authors and Affiliations

  1. 1.Faculty of LawLudwig-Maximilian University of MunichMunichGermany
  2. 2.Law and Governance GroupUniversity of Wageningen and Erasmus University of RotterdamWageningenthe Netherlands

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