Socioeconomics

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Socioeconomics (also known as social economics) is the social science that studies how economic activity affects and is shaped by social processes. In general it analyzes how societies progress, stagnate, or regress because of their local or regional economy, or the global economy. Societies are divided into 3 groups: social, cultural and economic.

Social science is a category of academic disciplines, concerned with society and the relationships among individuals within a society. Social science as a whole has many branches. These social sciences include, but are not limited to: anthropology, archaeology, communication studies, economics, history, musicology, human geography, jurisprudence, linguistics, political science, psychology, public health, and sociology. The term is also sometimes used to refer specifically to the field of sociology, the original "science of society", established in the 19th century. For a more detailed list of sub-disciplines within the social sciences see: Outline of social science.

Society Social group involved in persistent social interaction

A society is a group of individuals involved in persistent social interaction, or a large social group sharing the same geographical or social territory, typically subject to the same political authority and dominant cultural expectations. Societies are characterized by patterns of relationships between individuals who share a distinctive culture and institutions; a given society may be described as the sum total of such relationships among its constituent of members. In the social sciences, a larger society often exhibits stratification or dominance patterns in subgroups.

Economic stagnation is a prolonged period of slow economic growth, usually accompanied by high unemployment. Under some definitions, "slow" means significantly slower than potential growth as estimated by macroeconomists, even though the growth rate may be nominally higher than in other countries not experiencing economic stagnation.

Contents

Overview

“Socioeconomics” is sometimes used as an umbrella term for various areas of inquiry. The term “social economics” may refer broadly to the "use of economics in the study of society". [1] More narrowly, contemporary practice considers behavioral interactions of individuals and groups through social capital and social "markets" (not excluding, for example, sorting by marriage) and the formation of social norms. [2] In the latter, it studies the relation of economics to social values. [3]

Economics Social science that analyzes the production, distribution, and consumption of goods and services

Economics is the social science that studies the production, distribution, and consumption of goods and services.

In social science, a social relation or social interaction is any relationship between two or more individuals. Social relations derived from individual agency form the basis of social structure and the basic object for analysis by social scientists. Fundamental inquiries into the nature of social relations feature in the work of sociologists such as Max Weber in his theory of social action.

Social capital Concept

Social capital broadly refers to those factors of effectively functioning social groups that include such things as interpersonal relationships, a shared sense of identity, a shared understanding, shared norms, shared values, trust, cooperation, and reciprocity. However, the many views of this complex subject make a single definition difficult.

A distinct supplemental usage describes social economics as "a discipline studying the reciprocal relationship between economic science on the one hand and social philosophy, ethics, and human dignity on the other" toward social reconstruction and improvement [4] or as also emphasizing multidisciplinary methods from such fields as sociology, history, and political science. [5] In criticizing mainstream economics for its alleged faulty philosophical premises (for example the pursuit of self-interest) and neglect of dysfunctional economic relationships, such advocates tend to classify social economics as heterodox. [6]

Social philosophy branch of philosophy

Social philosophy is the study of questions about social behavior and interpretations of society and social institutions in terms of ethical values rather than empirical relations. Social philosophers place new emphasis on understanding the social contexts for political, legal, moral, and cultural questions, and to the development of novel theoretical frameworks, from social ontology to care ethics to cosmopolitan theories of democracy, human rights, gender equity and global justice.

Ethics branch of philosophy that systematizes, defends, and recommends concepts of right and wrong conduct

Ethics or moral philosophy is a branch of philosophy that involves systematizing, defending, and recommending concepts of right and wrong conduct. The field of ethics, along with aesthetics, concerns matters of value, and thus comprises the branch of philosophy called axiology.

Scientific method Interplay between observation, experiment and theory in science

The scientific method is an empirical method of acquiring knowledge that has characterized the development of science since at least the 17th century. It involves careful observation, applying rigorous skepticism about what is observed, given that cognitive assumptions can distort how one interprets the observation. It involves formulating hypotheses, via induction, based on such observations; experimental and measurement-based testing of deductions drawn from the hypotheses; and refinement of the hypotheses based on the experimental findings. These are principles of the scientific method, as distinguished from a definitive series of steps applicable to all scientific enterprises.

See also

Notes

  1. John Eatwell, Murray Milgate, and Peter Newman, [1987] 1989. Social Economics: The New Palgrave, p. xii. Topic-preview links, pp. v-vi.
  2. Becker, Gary S. (November–December 1974). "A theory of social interactions". Journal of Political Economy . Chicago Journals. 82 (6): 1063–1093. doi:10.1086/260265. JSTOR   1830662. Pdf.
       • _____ and Kevin M. Murphy, 2001, Social Economics: Market Behavior in a Social Environment. Description and table of contents. Harvard University Press.
       • Mariano Tommasi and Kathryn Ierulli, ed., 1995. The New Economics of Human Behavior, Cambridge. Description and preview.
      Steven N. Durlauf and H. Peyton Young 2001. "The New Social Economics" in Social Dynamics, ch. 1, pp. 1-14. Preview. MIT Press.
       • Steven N. Durlauf and Lawrence E. Blume, 2008. The New Palgrave Dictionary of Economics , 2nd Edition:
    "social interactions (empirics)" by Yannis M. Ioannides. Abstract.
    "social interactions (theory)" by José A. Scheinkman. Abstract.
  3. • 'Relation of Economics to Social Values' is the corresponding title of JEL: A13 in the Journal of Economic Literature classification codes.
       • Jess Benhabib, Alberto Bisin, and Matthew Jackson, ed., 2011. Handbook of Social Economics, Elsevier:
         Vol. 1A: Part 1. Social Preferences, ch. 1-11; Part 2. Social Actions, ch. 12-17. Description & Contents links and chapter-preview links.
         Vol. 1B: Part 3. Peer and Neighborhood Effects, ch. 18-25. Description & Contents links and chapter-preview links
  4. Mark A. Lutz, 2009. "Social economics," in Jan Peil and Irene van Staveren, ed., Handbook of Economics and Ethics, p. 516. [Pp. 516-22.] Edward Elgar Publishing.
       • _____, 1999. Economics for the Common Good: Two Centuries of Social Economic Thought in the Humanist Tradition, Routledge. Preview.
  5. Davis, John B.; Dolfsma, Wilfred (2008), "Social economics: an introduction and a view of the field", in Davis, John B.; Dolfsma, Wilfred (eds.), The Elgar companion to social economics, Cheltenham, UK Northampton, Massachusetts: Edward Elgar, pp. 1–7, ISBN   9781848442771. Preview. Description.
      International Journal of Social Economics. Description.
       Socio-Economic Review .
  6. • Edward O'Boyle, ed., 1996. Social Economics: Premises, Findings and Policies, pp. ii and ix.
       • Tony Lawson, 2006. "The Nature of Heterodox Economics," Cambridge Journal of Economics, 30(4), pp. 483-505. Alternate access copy (press +).
       • Frederic S. Lee, 2008. "heterodox economics," The New Palgrave Dictionary of Economics , 2nd Ed., v.4, pp. 1–6. Abstract.

Related Research Articles

In economics, industrial organization or industrial economy is a field that builds on the theory of the firm by examining the structure of firms and markets. Industrial organization adds real-world complications to the perfectly competitive model, complications such as transaction costs, limited information, and barriers to entry of new firms that may be associated with imperfect competition. It analyzes determinants of firm and market organization and behavior as between competition and monopoly, including from government actions.

Monetary economics is the branch of economics that studies the different competing theories of money: it provides a framework for analyzing money and considers its functions, and it considers how money, for example fiat currency, can gain acceptance purely because of its convenience as a public good. The discipline has historically prefigured, and remains integrally linked to, macroeconomics. This branch also examines the effects of monetary systems, including regulation of money and associated financial institutions and international aspects.

Managerial economics deals with the application of the economic concepts, theories, tools, and methodologies to solve practical problems in a business. In other words, managerial economics is the combination of economics theory and managerial theory. It helps the manager in decision-making and acts as a link between practice and theory. It is sometimes referred to as business economics and is a branch of economics that applies microeconomic analysis to decision methods of businesses or other management units.

Experimental economics is the application of experimental methods to study economic questions. Data collected in experiments are used to estimate effect size, test the validity of economic theories, and illuminate market mechanisms. Economic experiments usually use cash to motivate subjects, in order to mimic real-world incentives. Experiments are used to help understand how and why markets and other exchange systems function as they do. Experimental economics have also expanded to understand institutions and the law.

Economic sociology Study of the social cause and effect of various economic phenomena

Economic sociology is the study of the social cause and effect of various economic phenomena. The field can be broadly divided into a classical period and a contemporary one, known as "New economic sociology".

Information economics or the economics of information is a branch of microeconomic theory that studies how information and information systems affect an economy and economic decisions. Information has special characteristics: It is easy to create but hard to trust. It is easy to spread but hard to control. It influences many decisions. These special characteristics complicate many standard economic theories.

Computational economics is a research discipline at the interface of computer science, economics, and management science. This subject encompasses computational modeling of economic systems, whether agent-based, general-equilibrium, macroeconomic, or rational-expectations, computational econometrics and statistics, computational finance, computational tools for the design of automated internet markets, programming tool specifically designed for computational economics and the teaching of computational economics. Some of these areas are unique, while others extend traditional areas of economics by solving problems that are tedious to study without computers and associated numerical methods.

Philosophy and economics, also philosophy of economics, studies topics such as rational choice, the appraisal of economic outcomes, institutions and processes, and the ontology of economic phenomena and the possibilities of acquiring knowledge of them.

Social choice theory or social choice is a theoretical framework for analysis of combining individual opinions, preferences, interests, or welfares to reach a collective decision or social welfare in some sense. A non-theoretical example of a collective decision is enacting a law or set of laws under a constitution. Social choice theory dates from Condorcet's formulation of the voting paradox. Kenneth Arrow's Social Choice and Individual Values (1951) and Arrow's impossibility theorem in it are generally acknowledged as the basis of the modern social choice theory. In addition to Arrow's theorem and the voting paradox, the Gibbard–Satterthwaite theorem, the Condorcet jury theorem, the median voter theorem, and May's theorem are among the more well known results from social choice theory.

Heterodox economics schools of economic thought or methodologies that are outside "mainstream economics", contrasting with or going beyond neoclassical economics

Heterodoxy is a term that may be used in contrast with orthodoxy in schools of economic thought or methodologies, that may be beyond neoclassical economics. Heterodoxy is an umbrella term that can cover various schools of thought or theories. These might for example include institutional, evolutionary, Georgist, Austrian, feminist, social, post-Keynesian, ecological, Marxian, socialist and anarchist economics, among others.

Economic methodology is the study of methods, especially the scientific method, in relation to economics, including principles underlying economic reasoning. In contemporary English, 'methodology' may reference theoretical or systematic aspects of a method. Philosophy and economics also takes up methodology at the intersection of the two subjects.

Economics imperialism in contemporary economics is the economic analysis of seemingly non-economic aspects of life, such as crime, law, the family, prejudice, tastes, irrational behavior, politics, sociology, culture, religion, war, science, and research. Related usage of the term goes back as far as the 1930s.

In economics, distribution is the way total output, income, or wealth is distributed among individuals or among the factors of production. In general theory and the national income and product accounts, each unit of output corresponds to a unit of income. One use of national accounts is for classifying factor incomes and measuring their respective shares, as in national Income. But, where focus is on income of persons or households, adjustments to the national accounts or other data sources are frequently used. Here, interest is often on the fraction of income going to the top x percent of households, the next x percent, and so forth, and on the factors that might affect them.

Justice in economics is a subcategory of welfare economics with models frequently representing the ethical-social requirements of a given theory, whether "in the large", as of a just social order, or "in the small", as in the equity of "how institutions distribute specific benefits and burdens". That theory may or may not elicit acceptance. In the Journal of Economic Literature classification codes 'justice' is scrolled to at JEL: D63, wedged on the same line between 'Equity' and 'Inequality' along with 'Other Normative Criteria and Measurement'. Categories above and below the line are Externalities and Altruism.

Agent-based computational economics (ACE) is the area of computational economics that studies economic processes, including whole economies, as dynamic systems of interacting agents. As such, it falls in the paradigm of complex adaptive systems. In corresponding agent-based models, the "agents" are "computational objects modeled as interacting according to rules" over space and time, not real people. The rules are formulated to model behavior and social interactions based on incentives and information. Such rules could also be the result of optimization, realized through use of AI methods.

Cultural economics is the branch of economics that studies the relation of culture to economic outcomes. Here, 'culture' is defined by shared beliefs and preferences of respective groups. Programmatic issues include whether and how much culture matters as to economic outcomes and what its relation is to institutions. As a growing field in behavioral economics, the role of culture in economic behavior is increasingly being demonstrate to cause significant differentials in decision-making and the management and valuation of assets.

Public economics is the study of government policy through the lens of economic efficiency and equity. Public economics builds on the theory of welfare economics and is ultimately used as a tool to improve social welfare.

Mathematical economics is the application of mathematical methods to represent theories and analyze problems in economics. By convention, these applied methods are beyond simple geometry, such as differential and integral calculus, difference and differential equations, matrix algebra, mathematical programming, and other computational methods. Proponents of this approach claim that it allows the formulation of theoretical relationships with rigor, generality, and simplicity.

Robert Wayne Clower was an American economist. He is credited with having largely created the field of stock-flow analysis in economics and with seminal works on the microfoundations of monetary theory and macroeconomics.

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