The issue of rationality and the theory of public goods Cover Image

Zagadnienie racjonalności a teoria dóbr publicznych
The issue of rationality and the theory of public goods

Author(s): Bonawentura Lach
Subject(s): Micro-Economics, Political Philosophy, Philosophy of Science
Published by: Polskie Towarzystwo Ekonomiczne w Zielonej Górze
Keywords: rationality; public goods; economic methodology;

Summary/Abstract: The article addresses the issue of economic rationality and the problem of public goods by analyzing the differences between mainstream economics and the Austrian School of Economics. The aim of the study is to demonstrate how assumptions about human action influence the interpretation of economic processes and justify state intervention in the provision of public goods. The author analyzes the methodological foundations of both schools, highlighting the consequences of using predictive models based on simplified assumptions about individual rationality. The article then presents the problems arising from the positivist approach to economics, including the arbitrariness of defining rationality and the difficulties in falsifying mainstream theories. In the context of public goods theory, the issue of free riders and justifications for state intervention are examined and confronted with the Austrian concept of methodological subjectivism. The article concludes with findings that highlight the limitations of the mainstream definition of rationality and advocate for a more coherent approach to analyzing economic processes, one that refrains from evaluating individuals' goals.

  • Issue Year: 12/2025
  • Issue No: 22
  • Page Range: 37-46
  • Page Count: 10
  • Language: Polish
Toggle Accessibility Mode