The Rational Foundations of Economic Behaviour

ROBERT AUMANN The Hebrew University of Jerusalem, Israel PIERPAOLO BATTIGALLI Princeton University, USA, and Politecnico di Milano, Italy KENNETH BINMORE University College, London JONAS BJORNESTEDT Stockholm University, Sweden FRANCO DONSELLI Università di Milano, Italy MASSIMO EGIDI Università di Trento, Italy FRANK HAHN University of Cambridge PETER J. HAMMOND Stanford University, USA JOHN H. HOLLAND University of Michigan, USA RICHARD C. JEFFREY Princeton University, USA DANIEL KAHNEMAN Princeton University, USA MORDECAI KURZ Stanford University, USA AVISHAI MARGALIT The Hebrew University of Jerusalem, Israel MARCO MARIOTTI Queen Mary and Westfield College, University of London BERTRAND MUNIER GRID, Ecole Normale Supérieure de Cachan, France CHARLES R. PLOTT California Institute of Technology, USA ALVIN E. ROTH University of Pittsburgh, USA JEAN-LOUIS RULLIERE GRID, Ecole Normale Supérieure de Cachan, France HAMID SABOURIAN King's College, University of Cambridge PIERLUIGI SACCO Università di Firenze, Italy LARRY SAMUELSON University of Wisconsin, USA AMARTYA SEN Harvard University, USA AMOS TVERSKY Stanford University, USA BERNARD WALLISER CERAS, Ecole Nationale des Ponts et Chausées, France JORGEN WEIBULL Stockholm University, Sweden MENAHEM E. YAARI The Open University of Israel

The International Economic Association Acknowledgements List of Contributors Abbreviations Preface; K.J.Arrow Introduction; E.Colombatto & M.Perlman PART 1: RATIONAL CHOICE AND LOGICAL PROBLEMS Decision Kinematics; R.C.Jeffrey - Comment; C.Schmidt Consequentialism, Structural Rationality and Game Theory; P.J.Hammond - Comment; B.Munier Paradoxes of Rationality in Decision-making Theory; C.Schmidt - Comment; F.Donzelli - Rejoinder; C.Schmidt Rationality and Comprehension ; A.Margalit & M.Yaari - Comment; A.Sen - Rejoinder; R.J.Aumann PART 2: RATIONALITY IN GAME THEORY Rationalizing Backward Induction; K.Binmore & L.Samuelson - Comment; B.Walliser - Rejoinder; R.J.Aumann The Decision-Theoretic Foundations of Game Theory; M.Mariotti - Comment; P.Battigalli Nash Equilibrium and Evolution by Imitation; J.Bjornerstedt & J.Weibull - Comment; P.L.Sacco PART 3: RATIONAL BEHAVIOUR FROM AN EXPERIMENTAL APPROACH Rational Theory and Constructive Choice; A.Tversky - Comment; A.E.Roth New Challenges to the Rationality Assumption; D.Kahneman - Comment; C.R.Plott Rational Individual Behaviour in Markets and Social Choice Processes; C.R.Plott - Comment; D.Kahneman Adaptive Behaviour and Strategic Rationality: Evidence from the Laboratory and the Field; A.E.Roth - Comment; J-L.Rulliere PART 4: ALTERNATIVE TREATMENTS OF RATIONALITY IN DECISION-MAKING SYSTEMS The Rationality of Adaptive Agents; J.H.Holland - Comment; F.Hahn Routines, Hierarchies of Problems, Procedural Behaviour: Some Evidence from Experiments; M.Egidi - Comment; H.Sabourian Rational Preferences and Rational Beliefs; M.Kurz - Comment; K.J.Arrow Postface; C.Schmidt Index of Names Subject Index