Reexamination of Individual Knowledge and Common Behavior Rules: A Cross-disciplinary View Based on Empirical Evidences

Liang, Zhao (2009): Reexamination of Individual Knowledge and Common Behavior Rules: A Cross-disciplinary View Based on Empirical Evidences.

Abstract

Based on evidences from empirical disciplines, the paper offers three different basic assumptions and one simplified framework on individual behavior when dealing with signals from uncertain environments. On the basis of these, the paper defines individual knowledge and shows its hierarchical state, the connatural- and the acquired-shared-knowledge among individuals. Furthermore, the paper describes and explains the sources and general mechanisms of changing of these kinds of knowledge, and stresses that human connatural knowledge is the most stable level in the entire knowledge, which constitutes the fundamental prerequisite for mutually recognizing signals (or events) and interactions among individuals; The acquired-shared-knowledge, however, is the common anticipation owned among individuals about behavioral response of other individuals facing a signal; it derives from interacting experiences between individuals and circumstances or among individuals; and stable accumulation of the knowledge is one of key foundations on which the stable anticipation of individual behavior, commonly behavioral beliefs and rules will can be formed in a group.

• Item Type: MPRA Paper
• Language: English
• Keywords: individual assumptions; simplified behavior-framework; individual knowledge; knowledge hierarchy; shared knowledge; common behavior rules; empirical evidences
• Subjects: B - History of Economic Thought, Methodology, and Heterodox Approaches > B5 - Current Heterodox Approaches > B52 - Institutional ; Evolutionary; A - General Economics and Teaching > A1 - General Economics > A12 - Relation of Economics to Other Disciplines; D - Microeconomics > D0 - General > D01 - Microeconomic Behavior: Underlying Principles

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