Susumu Egashira

Hayek’s Cognitive Psychology

The Sensory Order published in 1952 is unique among Hayek’ s works. Although many economists and political scientists acknowledge its significance, they have seldom studied it because it requires the reader to have some knowledge of cognitive psychology.1 Despite this, many researchers have regarded it as the beginning of Hayek s knowledge theory and have suggested the necessity of a detailed investigation. Kurt Leube, the author of Chapter 13 of this volume worked as Hayek’s assistant for many years and pointed out the significance of The Sensory Order. This chapter is supplementary to Leube s chapter.

Multi-agent-based simulation for formation of institutions on socially constructed facts

In human societies, facts are constructed through social consensus. Here, the formation of social institutions in such a society is studied using a multi-agent-based simulation. Institutions are formed through communications among members, and the effects of errors in communication on the formation of institutions are investigated. Our results show that the institution is established when information suppliers frequently make errors in their information interpretation. We propose here that there is a phase transition in the error rate of the information suppliers in the formation of institutions.

Agent-Based Simulation as a Method for International Political Science: A Way of Expressing Diversity

This chapter tried to demonstrate utility of agent-based simulation (ABS) for the studies of international relations (IR). Traditionally, IR studies have been heavily dependent on historical approaches emphasizing detailed empirical analyses. Although more “scientific” approaches such as mathematical methods and game theories were introduced, empirical approaches are still much more dominant than economics.

Hayek, Evolution, and Imanishi

This chapter examines Friedrich Hayek’s 1978/1979 dialogues on evolutionary biology with Kinji Imanishi, an influential Japanese evolutionary biologist—a conversation that has not previously been available to non-Japanese speakers. Hayek had rarely discussed biological evolution—these neglected dialogues illuminate his understanding of this issue. Imanishi offers a counterpoint to Hayek because he adopted a holistic approach to understand the evolution of the ecological system. Although Imanishi agreed with Hayek’s concept of a self-organizing society, he harshly criticizes Hayek’s argument of natural selection. This chapter highlights Hayek’s understanding of the theory of natural selection and the theory of spontaneous order.

Ernst Mach and the Origin of the Knowledge Theory in the Former Austrian Empire

This paper discusses the origin of the modern social knowledge theory and Ernst Mach’s role in its development and his contribution to the history of economics. We categorize economic and scientific methodologies based on the dichotomy between“describable” and “indescribable” knowledge. The arguments of both groups drew from Mach’s theory and later developed along different lines. We investigate the reason for this by assessing evolutionism. It is important to assess fallibility and anti-rationalism as causes for the development of both concepts of knowledge. We also discuss Ludwig Mises’ unique standpoint. Although he criticized socialist economy planned rationally, he was also a rationalist. In other words, Mises was politically on the same side as Hayek and M. Polanyi but he was rather in a closer position about knowledge to the Vienna Circle. The aim of this paper is to consider Ernst Mach’s contribution in the history of economics.

Hayek's Transformation and His Dissertation

This article describes the change of Hayek’s economic concepts in the period from his dissertation on political science in 1923 to ‘Economics and Knowledge’ in 1937. Hayek’s dissertation was written under the influence of Wieser and Spann, professors at Vienna University. His dissertation in fact reconsiders problems addressed by Spann, whose comprehensive influence is apparent on the development of Hayek’s position. Although influence of Spann had disappeared after meeting to Mises, this paper points out that there is the Austrian concept of “institutionalism” between Hayek and Spann. Although this popular theme has already been discussed by several researchers, this paper aims to clarify the background to his transformation and his position in economics from the 1920s to the 1930s. The intellectual background of Hayek is usually discussed in the context of his liberalism, but consideration of the origin of his social science helps to explain why his later methodology and though was not simple individualism and included a holistic aspect.

Hayek’s Sensory Order, Gestalt Neuroeconomics, and Quantum Psychophysics

Relationship between Hayeks economic thought and recent advances in behavioral economics is introduced.