Conceptual Framework of Behavioural Economics

The main purpose of this paper is to systematize the characteristics of behavioural economics, and, on this basis, to highlight the differences between behavioural economics and neoclassical economics. Special emphasis is placed on the differences between the real and the rational economic man. Attention is focused on economic choice modelling under the influence of behavioural economics and the emergence of the so-called limited rationality. The paper also presents the methodological tools of behavioural economics, as well as the principles on which it is built as a modern branch of economic theory.

CONCEPTUAL FUNDAMENTALS OF FORMATION OF THE CONCEPT OF ECONOMIC MAN: EVOLUTION OF DEVELOPMENT

The article considers the evolution of the formation of approaches to defining the essence of man in the economy. The theo­retical foundations of the concept of «economic man» are described and its correspondence to modern processes is shown. The perception of the «economic man» model in economic discourse is analyzed. A comparative analysis of the views of different economic schools on the place and role of man in the economy makes it possible to argue that the analysis of models of economic man has not yet stood out in an independent area of research in world economics. In the framework of rather infrequent attempts in the literature to comprehensively analyze the theoretical and methodological problems associated with the economic person, there is not yet a clear definite definition. Some identify the economic person as «a rational individual who has stable advantages and seeks to maximize their own benefits in terms of complete information, freedom of choice and quality evaluation of alternatives». Others believe that «economic man is a metaphorical or figurative concept that means a prerequisite for a hypothetical­deductive system of economic theory». There is also the opinion that the economic person is characterized by goals based on self­interest and rational choice of means, but the rationality of the economic person does not extend to the choice of goals themselves. It is purely in-strumental in nature and is associated exclusively with the choice of optimal means of self­interest, which is equivalent to maximizing the individual objective function. The models of the economic person formulated above have developed in the course of more than two centuries of evolution of economic science. During this time, some features of the economic man, previously considered basic, have disappeared as optional. These signs include the inevitable selfishness, completeness of information, instant reaction. Entre-preneurial abilities have been added to the main features, where an economic person can work to satisfy his own needs constantly, or become the driving force of this process and then simply control this process, thus satisfying all his needs.Keywords: man, economic man, model of «economic man», sociological man. У статті розглянуто еволюцію формування підходів до визначення сутності людини в економіці. Охарактеризовано теоретичні засади концепції «економічної людини» та показано її відповідність сучасним процесам. Проаналізовано сприйняття моделі «економічної людини» в економічному дискурсі. Порівняльне аналізування поглядів різних економічних шкіл на місце і роль людини в економіці дає можливість стверджувати те, що економічна людина розглядалася не як фактичний суб’єкт, який володіє волею, приймає конкретні господарські рішення, а як пасивний носій тієї чи іншої соціальної ролі. Лише в останні роки з’явилася низка праць економістів, соціологів, філософів, у яких людина економічна розглядається як сукупність економічних потреб, цілей індивіда та розкривається у суперечливій єдності людини, працівника як основ­ного елемента системи продуктивних сил та суб’єкта економічних відносин.Ключові слова: людина, економічна людина, модель «економічної людини», соціологічної людини.

MONETARY IDENTIFICATION OF A PERSON AS A PRODUCT OF DISSEMINATION OF VALUES OF WESTERN CIVILIZATION

The article is devoted to the problem of monetary identity, which needs a detailed study in the context of the transformation processes of the modern world. The relevance of the study is that the identity of modern man is becoming unsteady. In seeking guidance for constructing one’s own “Self”, a person finds himself at a crossroads. They lose the identity they had from birth as members of traditional society and are forced to build it independently. The article reveals the preconditions for the emergence of an identity crisis in the context of the development of capitalism and the formation of the economic man. The purpose of the article is to determine the peculiarities of the formation of monetary identity, which has become essentially a by-product of the spread of Western values. To achieve this goal, a structural-functional analysis of social interactions of the subjects of identification has been conducted, as well as general scientific methods of synthesis and generalization of materials, analysis, comparison, deductive and inductive methods, etc. have been used. The main features of monetary identity are that a person begins to be guided by one’s own selfish principles, and money becomes the main value for such a person, appearing as a universal value that is equivalent to all other material values. In the modern world, monetary identity appears as a global and unstable one, it is formed artificially and serves the modern market for profit within the consumer society. It is concluded that in the modern world, money not only serves to improve the objective circumstances of life, but also becomes a means of achieving public recognition. The problem of monetary identity is especially relevant for Ukraine as a country that focuses on the Western type of management with its achievements, values and at the same time problems, and therefore requires further research.

Strategic Choices for Social Responsibility of Startups in China

This study uses the structure–conduct–performance analytical framework in industrial organization theory to analyze Chinese startups’ corporate social responsibility (CSR) assuming normalization after the COVID-19 pandemic. Specifically, we take the external impact of the pandemic on startups during the pandemic as a starting point for analyzing the changes in the structure of startups and their CSR performance. We find a positive correlation between the pandemic and the performance of startups. We propose that the CSR of startups is not simply altruism but must involve an “altruistic and self-interested” mechanism. Therefore, this study proposes that during the pandemic, startups need to rebuild their CSR model. Furthermore, the company’s “economic man” and “social man” are interdependent; economic, ethical, and legal responsibilities are parallel and charitable responsibilities remain the highest pursuit amid the pandemic. The social responsibility of startups as the COVID-19 pandemic normalizes is a strategic choice.

RATIONALITY OR IRRATIONALITY? DECISION TO QUIT A JOB TO START A BUSINESS

The paper discusses rationality and decision making with a critical reflection on decisions by employees to quit jobs and set up fragile, micro, and rival businesses. This is a common phenomenon in management consulting businesses in especially emerging economies, where the demand for consultancy services is ballooning. The concepts of decision making and factors that influence decision making were discussed. Rationality and irrationality within the context of economics were briefly defined and theories such as (1) The utility theory , (2) The utility maximization theory and (3)The classical decision theory were used to explain the phenomenon. It was found that reasons for quitting or staying in a management consulting job is not only motivated by preparedness or readiness, rather a complex array of factors, some of which are observable and explainable while others may be attributable to complex cognitive processes that cannot be easily observed and explained. Deciding to leave a job is a complex but intentional rational decision that is influenced by many factors, some of which are observable, environmental, and cognitive. It is in the nature of the economic man to always decide, consequences of which might be sometimes predictable or influenced by events outside of the decision-makers control.

KOMUNITAS "SADAR KRISIS" DALAM PENANGGULANGAN WABAH COVID-19

AbstrakPandemi Covid-19 menjadi sebuah realitas baru dalam kehidupan manusia. Di Kota Palembang, data DinasKesehatan per 12 November 2020 menunjukkan tren kenaikan sebesar 3706 kasus yang terkonfirmasi dengankorban meninggal sebanyak 220 orang. Pemerintah melalui Satgas Nasional Penanggulangan Covid-19 danDirektorat Jenderal Pendidikan Tinggi meluncurkan program Edukasi Perubahan Perilaku (EPP) melibatkanmahasiswa untuk terlibat dalam upaya kreatif pemberdayaan kesadaran masyarakat. Perilaku merupakanmanifestasi pola pikir. Dengan mengaplikasikan pendekatan metode gabungan dilakukan analisis kritis terhadapmodel "Komunitas Sadar Krisis". Penelitian konseptual ini menggunakan teori perilaku sosio-ekonomi untukmenjelaskan kesadaran terhadap krisis manusia dari dua aspek. Pertama, manusia sebagai makhluk sosialdengan segala tindakan yang dimotivasi oleh pengakuan sosial. Kedua, manusia sebagai makhluk ekonomisdengan segala tindakan yang dimotivasi oleh pencarian manfaat. Hasil dari penelitian ini diharapkan dapatdikontribusikan bagi penanggulangan pandemi Covid-19.AbstractCovid-19 pandemic has become a new reality in human life. In Palembang City, the data from the HealthDepartment of Palembang City taken on the November 12th of 2020 has shown significantly that 3706 caseswith 220 deaths are confirmed. Indonesian Government through the National Task Force for Covid-19 Responseand Directorate General of Higher Education has launched an educational program for behavior change (EPP)with students involvement to develop creative efforts for public awareness. Behavior is a manifestation of thinkingpattern. In this research, a mixed-method approach is adopted through critical analysis of a community of "CrisisAwareness". Theory of socio-economic behavior is used to describe awareness towards crisis from two aspects.First, human being as a social man with his all action is motivated by social recognition. Second, human beingas an economic man with his all action is motivated by benefit-seeking motives. The result of this research couldcontribute in developing a sense of crisis related to Covid-19 pandemic.

Households Behaviour towards Sustainable Energy Management in Poland—The Homo Energeticus Concept as a New Behaviour Pattern in Sustainable Economics

The presented article belongs to the research school of sustainable development economics as a relatively new science discipline within the broader area of heterodox economics. This paper is based on literature studies of homo concepts in economics, sociology and psychology. It identifies a research gap in sustainable economics, especially in sustainable energy management, formulating a novel concept of an economic man involved in energy management called homo energeticus. Homo energeticus concept is verified by empirical evidence at a local level- quantitative research conducted on a sample of 500 households in Lower Silesia region in Poland. The research’s first objective is to build the original author’s methodology on which the shift patterns from homo oeconomicus (neoclassical economics) to homo sustinens (sustainable economics) may be presented and may be used by scientists worldwide. After preparing a method for identifying concept, the second goal is to identify and describe the new concept of behaviour. The main conclusions are the sustainable behavioural pattern is dominating trend observed among households' local energy management (homo energeticus). The homo energeticus behaviour was confirmed by every third respondent (critical threshold of 70%) or less restrictive and sustainable behaviour model homo sustinens (critical threshold of 50%) by more than 91.8% of whole respondents.

How formal is the ethics of responsibility?

Max Weber’s last in his life publications give grounds to correct the traditional notions of the ethics of responsibility as purely calculative and one that subordinates the ethical goal to the right means of achieving it and the strictness of its observance. For Weber devotion to certain values is ultimately the basis of any possible ethics: in the ethics of conviction, this devotion is contrasted with taking into account all the results of the ethical act, and in the ethics of responsibility these results seek to take into account what should make certain values more reliable. Passionate commitment to political goals that express the interests of the community, rather than the selfish and vain intentions of the politician is a solid basis for the responsibility of the politician. The passionate pursuit of truth directs the scientist’s well-thought-out research pro- gram. In economics, the pursuit of personal gain, which is inherent for the “economic man”, requires consideration of the common economic good both for those with whom the man makes his business and for the community, which is his lifeworld and creates the necessary conditions for any possible economic activity. In any social sphere, each social system has its own logic of calculating success, but each time this calculation involves respecting and protecting the basic values for this system. In everyday life we observe numerous deviations from this clear and transparent logic of the ethics of responsibility, which create the illusion of its dysfunction. Similarly, insincere and inconsistent adherence to declared beliefs can give the wrong impression of the whole ethics of conviction. It is these deviations from the intrinsic integrity of the ethics of responsibility and the ethics of persuasion that create the false impression of them as mutu- ally exclusive behavioral strategies. In their conscientious pursuit, the ethics of conviction and the ethics of responsibility complement each other. The formalism of the ethics of responsibility makes sense only for a stricter and more impartial protection of the values that are important to the adherents of this ethic. This formalism is a denial only of all other, irrelevant values, and not a designation of responsibility for a particular ethical commitment as a value-empty, indifferent form. Weber points to the prospect of recognition as a path to a collective ethic of responsibility in its positive sense — as a conscious commitment by a community of like-minded people to commit to values that are significant to them.