Re: econ. and cognitive psychology

[GREG RANSOM <GRANSOM@xxxxxxxxxxxxxx>]

Jonathan Dune writes:

>Has anyone ever applied cognitive psychology to understand
>economic events and phenomena?

See "Rules, Perception and Intelligibility" and "Notes on the
Evolution of Systems of Rules of Conduct" in F.A. Hayek, Studies
in Philosophy, Politics, and Economics.

As Nobel Laureate Gerald Edelman notes, "Since the work of Hebb and Hayek
[The Sensory Order, 1952], most theoretical modesl have opted for some
form of dependent synaptic rule."  "[Hebb] placed the Law of Effect at the
synaptic level by proposing a correlation model of synaptic modification
similar to that of Hayek.  This work is seminal in providing a basis for
mahy subsequent theoretical studies."

Hayek's work on the implications for the relationships between this model
(which is the conceptual foundation for most all 'neural nets') and the
strategy of explanation in economics -- particularly as this relates to the
nature of behavior imitation, the limits of knowledge, and the process of
learning in a social environment.

For references as a simple suggestion of the nature of this work see
F.A. Hayek, The Fatal Conceit, Vol. 1 of the Collected Works of F. A. Hayek.

Greg Ransom
Dept. of Philosophy
UC-Riverside