REVITALIZATION OF THE ECONOMIC BEHAVIOR CONCEPT AND IRRATIONALITY OF ITS SUBJECTS IN DECISION-MAKING
Abstract
The article is devoted to the current issues of economic behavior studies and the irrationality of its subjects in decision-making. Economic behavior aggregately reflects real human existence in the economic field and is the object of research in various social sciences – economic theory, management, marketing, HR management, economic sociology, economic psychology. The genesis of the concept of economic behavior development and the problems of rationality in the behavior of economic subjects in classical, neoclassical and behavioral theories are studied. The methodological toolkit of the research consists of comparative analysis, content analysis, analysis of rationality in the activities of economic subjects based on the application of psychodiagnostic methods. Revitalization of the concept of economic behavior was carried out through the understanding of the rationality in regards to economic behavior: according to the latest behavioral theories, the behavior of economic subjects is predictably irrational. According to the results of the study, the limits of rationality of economic subjects were revealed. the majority of economic agents (76.9%) are subjectively rational, 60% are risk-averse and seek to rationally distribute funds in making economic decisions. 26.2% of respondents are subjectively rational or prone to rational economic decisions, and 21.5% are subjectively irrational. The author's definition of economic behavior is given as a combination of rational and irrational cognitions and behavioral manifestations in making economic decisions and meeting the needs of an individual in situations of active social communications, limited resources and cognitive overload of individuals. We determine the main differences between the provisions of standard and behavioral economic models. The main postulates of the behavioral economic model are characterized based on the behavior of economic subjects. The prospect of further research using models of presumed irrationality for further improvement of behavioral models is anticipated.
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