Reflection without Rules offers a comprehensive, pointed exploration of the methodological tradition in economics and the breakdown of the received view within the philosophy of science. Professor Hands investigates economists' use of naturalistic and sociological paradigms to model economic phenomena and assesses the roles of pragmatism, discourse, and situatedness in discussions of economic practice before turning to a systematic exploration of more recent developments in economic methodology. The treatment emphasizes the changes taking place in science theory and its relationship to the...

Reflection without Rules offers a comprehensive, pointed exploration of the methodological tradition in economics and the breakdown of the received view within the philosophy of science. Professor Hands investigates economists' use of naturalistic and sociological paradigms to model economic phenomena and assesses the roles of pragmatism, discourse, and situatedness in discussions of economic practice before turning to a systematic exploration of more recent developments in economic methodology. The treatment emphasizes the changes taking place in science theory and its relationship to the...

The form of reflexivity defined by the dictionary as that which is directed back upon itself that is most relevant to economic methodology is that where observation of the economy leads to ideas that change behavior, which in turn changes (is directed back upon) the economy itself. As George Soros explains: "if investors believe that markets are efficient then that belief will change the way they invest, and that in turn will change the nature of the markets they are observing That is the principle of reflexivity."

Although various versions of reflexivity have long been...