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Behavioural Economics And Paternalism

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  • Hausman, Daniel M.

Abstract

Contemporary behavioural economics has documented common failures of reasoning that apparently make possible policies that benefit individuals by contravening or correcting their judgements. These policies appear to be paternalistic, even though a traditional view would deny that they are paternalistic on the grounds that policies such as nudges do not restrict individual liberty. It appears to many that a new definition of paternalism that takes its cue from behavioural economics is needed. Furthermore, if one revises the definition of paternalism, one must revisit traditional views concerning whether paternalist policies are wise. In Government Paternalism, Julian Le Grand and Bill New make a valuable start, although some corrections are needed. This essay provides a general setting for revising the definition of paternalism and suggests a revised definition of paternalism.

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  • Hausman, Daniel M., 2018. "Behavioural Economics And Paternalism," Economics and Philosophy, Cambridge University Press, vol. 34(1), pages 53-66, March.
    • Handle: RePEc:cup:ecnphi:v:34:y:2018:i:01:p:53-66_00
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    Cited by:

    1. Ramzi Mabsout, 2022. "John Stuart Mill, soft paternalist," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 58(1), pages 161-186, January.
    2. Luca Congiu & Ivan Moscati, 2022. "A review of nudges: Definitions, justifications, effectiveness," Journal of Economic Surveys, Wiley Blackwell, vol. 36(1), pages 188-213, February.
    3. Mozaffar Qizilbash, 2021. "Informed preference consequentialism, contractarianism and libertarian paternalism: on Harsanyi, Rawls and Robert Sugden’s The Community of Advantage," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 68(1), pages 67-88, March.

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