DP11132 Bread and Bullet
|Author(s):||George Akerlof, Dennis J. Snower|
|Publication Date:||February 2016|
|Keyword(s):||attention, identity, motivation, Narrative, prediction, social assignment|
|JEL(s):||A12, A13, A14, D03, D04, D20, D23, D30, D62, D71, D72, D74|
|Programme Areas:||Macroeconomics and Growth|
|Link to this Page:||cepr.org/active/publications/discussion_papers/dp.php?dpno=11132|
Standard economics omits the role of narratives (the stories that people tell themselves and others) when they make all kinds of decisions. Narratives play a role in understanding the environment; focusing attention; predicting events; motivating action; assigning social roles and identities; defining power relations; and establishing and conveying social norms. This paper describes the role narratives play in decision making, as it also juxtaposes this description against the backdrop of the Bolshevik-spawned narrative that played a critical role in the history of Russia and the Soviet Union in the 20th Century.