In an essay in the Economic Journal (117 [2007] 146-73), Robert Sugden and Luigino Bruni describe how “psychology was removed from economics, and how it might be brought back.” The development of behavior economics provides a starting point for them to examine the “Pareto turn,” the work of Vilfredo Pareto that “eliminated psychological concepts from economics by basing economic theory on principles of rational choice.” Pareto was attempting to dislodge the psychological models of classical economics, in an effort to establish economics as… Read more














