Skip to main content
    • Aa
    • Aa
  • Get access
    Check if you have access via personal or institutional login
  • Cited by 3
  • Cited by
    This article has been cited by the following publications. This list is generated based on data provided by CrossRef.

    Hurt, Kevin J. 2015. A theoretical model of training and its transference: the pivotal role of top management team composition and characteristics. Human Resource Development International, p. 1.

    Crawford, Vincent P 2013. Boundedly Rational versus Optimization-Based Models of Strategic Thinking and Learning in Games. Journal of Economic Literature, Vol. 51, Issue. 2, p. 512.

    Szech, Nora 2011. Becoming a bad doctor. Journal of Economic Behavior & Organization, Vol. 80, Issue. 1, p. 244.



  • Ran Spiegler (a1)
  • DOI:
  • Published online: 18 January 2011

This paper discusses a common criticism of economic models that depart from the standard rational-choice paradigm - namely, that the phenomena addressed by such models can be ‘rationalized’ by some standard model. I criticize this criterion for evaluating bounded-rationality models. Using a market model with boundedly rational consumers due to Spiegler (2006a) as a test case, I show that even when it initially appears that a bounded-rationality model can be rationalized by a standard model, rationalizing models tend to come with unwarranted ‘extra baggage’. I conclude that we should impose a greater burden of proof on rationalizations that are offered in refutation of bounded-rationality models.

Linked references
Hide All

This list contains references from the content that can be linked to their source. For a full set of references and notes please see the PDF or HTML where available.

O. Compte and A. Postelwaite 2005. Confidence-enhanced performance. American Economic Review 94: 15361557.

D. Fudenberg 2006. Advancing beyond advances in behavioural economics, Journal of Economic Literature 44: 694711.

E. Kamenica 2008. Contextual inference in markets: on the informational content of product lines. American Economic Review 98: 21272149.

R. Lucas 1976. Econometric policy evaluation: a critique. In Carnegie-Rochester Conference Series on Public Policy Vol. 1, pp. 1946. Amsterdam: Elsevier.

M. Rabin 2002. A perspective on psychology and economics. European Economic Review 46: 657685.

A. Rubinstein 2006. Dilemmas of an economic theorist. Econometrica 74: 865883.

L. Samuelson 2001. Analogies, adaptations, and anomalies. Journal of Economic Theory 97: 320367.

R. Spiegler 2006a. The Market for Quacks. Review of Economic Studies 73: 11131131.

Recommend this journal

Email your librarian or administrator to recommend adding this journal to your organisation's collection.

Economics & Philosophy
  • ISSN: 0266-2671
  • EISSN: 1474-0028
  • URL: /core/journals/economics-and-philosophy
Please enter your name
Please enter a valid email address
Who would you like to send this to? *