By Patrick Spread
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Extra resources for A Theory of Support and Money Bargaining
The similarity of approach implies that Kuhn's (1970) idea of paradigmatic perception in the natural sciences should be applicable also to economic theory. Economists, like natural scientists, may view the world in relation to a particular paradigm, and hence see much less than they assume themselves to be seeing. The idea, explicitly connected with economic theory, is apparent in the work of Max Weber. In The Methodology of the Social Sciences he writes: All the analysis of infinite reality which the finite human mind can conduct rests on the tacit assumption that only a finite portion of this reality constitutes the object of scientific investigation, and that only it is 'important' in the sense of 'worthy of being known'.
This importance of support bargaining means that it determines also the extent of money bargaining in society. Groups that see themselves as having potentially stronger bargaining positions in a support bargaining network will seek the extension of the support bargaining network at the expense of the money bargaining network. Groups that see themselves as stronger in money bargaining will seek broad scope for money bargaining. The group associations of support and the individualist associations of money have resulted in the conflict being widely understood in terms of communalism against individualism.
Political parties maximise their vote incomes in the same way that firms maximise profit. 51. The second starting point for public-choice theory is economic theory at a later stage of development. The chief impulse for this second migration of economics into politics was not the possible light that might be shed on political matters, but the possible light that might be shed on an economic problem. Pigou 34 pointed out that traditional economic theory concerned itself exclusively with trade between individuals.
A Theory of Support and Money Bargaining by Patrick Spread
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