Psychology

Currently many countries are passing anti-discrimination laws for the employment sector. It is increasingly considered morally wrong to pay someone less based on their genetically or environmentally determined traits, such as race, gender, age and certain mental or physical disabilities. However there is one trait that is universally left out of this anti-discrimination trend and that is intelligence; An intelligence based salary system remains completely acceptable despite the fact that we have little more control over our level of intelligence than our gender.

Read More »

In a perfectly rational world, Ted the taxi driver works long hours on days with many customers and goes home early on bad days to save money on driving. On the other side of the world, Mexican farming couple Carlos and Verónica send their children to the new school built in the next town, because they know that education will lead to a job that will make up for the time not spent on the farm. Ted, Carlos and Verónica demonstrate what is a central tenet of classical economic theory : the belief in homo economicus, the rational economic man—a being that makes fully calculated decisions in a rational manner to achieve the best possible outcome for himself. Read More »