Exposing the Myth of Homo Economicus

Authors

Ronald J. Colombo, Maurice A. Deane School of Law at Hofstra UniversityFollow

Document Type

Book Review

Publication Title

Harvard Journal of Law & Public Policy

Publication Date

2009

DOI

10.2139/ssrn.1189499

Abstract

The prevalence of the "homo economicus" model of humanity has crowded out considerations of important non-economic aspects of human nature - most importantly, the moral dimension of human thought and conduct. As a result, our understanding of the present ills besetting the business world and the market economy is incomplete, and the policy prescriptions flowing therefrom are often suboptimal (if not counterproductive).

This book review situates Moral Markets within this larger debate over human nature generally. I show how, through the presentation of biological evidence and evolutionary theory, Moral Markets repudiates the "homo economicus" model of humankind, and supports the Aristotelian position that human beings are fundamentally moral creatures by nature.After demonstrating that free markets cannot thrive in the absence of virtue, Moral Markets leaps to the conclusion that free markets must be generally populated by virtuous actors. This book review asks whether another conclusion might be drawn: that the free markets of today lack a critical mass of virtuous actors, hence the current spate of corporate scandals and economic woes.

Comments

Book Review of Moral Markets: The Critical Role of Values in the Economy.

Recommended Citation

Ronald J. Colombo, Exposing the Myth of Homo Economicus, 32 Harv. J.L. & Pub. Pol'y 737 (2009)
Available at: https://scholarlycommons.law.hofstra.edu/faculty_scholarship/103