An Investigation Into The Methodology Of Austrian Evolutionary Economics

In economic investigation into the institution,there always is an idea that methodological individualism and holistic feature of the institution have a natural conflict.On the basis of the investigation into Austrian methodology of individualism,it is said that this conflict can be recocilable in Austrian methodology of individualism.In evolutionary methodology,the coordination of this conflict is the most important characteristic of the Austrian school.The purpose of the investigation is,through the discussions of Austrian methodological individualism,the comparisons with other kinds of methodological individualism,some misunderstandings about Austrian methodological individualism and clearing up those misunderstandings,to know how to understand Austrian methodological individualism,to remove some confusions over evolutionary economic methodology,and to show that Austrian methodological individualism is a feasible and fitting method for doing evolutionary economic research.According to the philosophical thoughts of Kant's first Critique,in order to make sure that the theoretical cognition of evolutionary economic research is really possible,and to avoid the study of evolutionary economic problems having just logical meaning,the assumption of evolutionary economic theory must be of objective reality.As far as the assumption' objective reality is concerned,if assumption is empirical,the assumption can naturally refer to experiential contents,and have signification in experience and thus objective reality;if the assumption is a priori,in order that the use of a priori assumption is justifiable,we must provide transcendental proof for the question of how a priori assumption is objectively valid,that is to say,we must prove in a transcendental way that a priori assumption is necessary and a priori conditons for cognizing experiential things or phenomena in the field of evolutionary research,but can not neglect transcendental proof concerning this question.If transcendent assumption is introduced,because transcendent and empirical range are heterogeneous in nature,we can not slavishly and uncritically apply evolutionary economic hypothesis derived from transcendent assumption to experience,or test transcendent economic hypothesis by empirical facts.The limitation on the use of assumption is,on the one hand,negative,on the other,it is positive,because it can make reason exert on the basis of the assumption its cognitive fuction adequately.In the world of empirical phenomena,the Austrian School argues that its methodological individualism can be used to investigate evolutionary economic problems.What can be treated as data in the study of social sciences,in Austrian individualistic methodology,are not all those opinions that individuals have formed of themselves,other people,external world,and so on,but the ideas that individuals know and believe about themselves,others,external world,etc.,and that become the causes of their actions.It is through the ideas constituting the causes of invidivi duals'action that individuals themselves,others,external world,etc.,become the factors that enter into the views and action of individuals.The way of thinking that is reflected in individuals' ideas of actions is subjectivist,and this subjectivist way of thinking is a way of cognizing objects within the epistemological scope,but is different from and not connected with idealist way of thinking in ontological range.For individuals' actions are taken under the guidance of their ideas of actions,we need to know individuals' ideas of actions that guide their actions,so as to explain and understand individuals' actions.Considering that ideas of individuals' actions are data of research done in the social sciences,we need to begin with the examination of ideas guiding individuals' actions to investigate their actions,interactive relations and fuctions between them,effects of their actions,from which we form,in our minds,unities of social economic phenomena,by combining the cognition obtained from this kind of examination and investigation.This method employed in our explanation and understing of social economic phenomena is Austrian methodological individualism.Austrian methodological individualism has an inseparable connection with subjectivism;it is not equivalent to "methodological individual";it is neither the same as reducible individualism,nor as atomistic individualism;it is systematic individualism,and can,by its very nature,produce synthetic unity,the basis of which lies in the unity of combination that belongs to the category revealed in Kantian transcendental philosophy.In Kantian transcendental philosophy,pure forms of sensible intuition and categories as a priori concepts of understanding make it possible that object conforms to cognition;furthermore,the way of thinking that object conforms to cognition is embodied in subjectivism expounded in the the social sciences;therefore,Kant'first Critique can be regarded as philosophical foundation for Austrian methodological individualism and subjectivism.In terms of explaining and understanding undesigned social phenomena,Austrian methodological individualism is feasible.Austrian methodological individualism can be not only used to explain and understand the actions of acting persons,but,for the reason that it includes the following up of interaction between acting men,also employed to make research into the choices and actions of groups,the choices and evolution of culture(rules of conduct),and the becoming and changes of spontaneous social order.So far as the solution to the question is concerned that how institutions can hanve an influence on individuals,we must rely on a mechanism of intermediate agency that functions on the part of individuals as real acting persons.This mechanism of intermediate agency consists of individuals' cognition,learning,acceptance,and believing.Austrian methodological individualism contains this type of mechanism of intermediate agency depending on individuals;thus,it can be applied to the explanation and understanding of the effects of the institution on individuals.Consequently,Austrian methodological individualism can be freedom from anthropomorphic way of thinking;it can dissolve the problem of conceiving in a sense the institution itself as an agent than could act independently,or the problem of recognizing to a degree collective agents that might themselves take independent actions,which faced methodological collectivsm(holism)in discussing the problem concerning institution' influence on individuals;it can cope with the problem of considering in a way the intermediate factor that was not an acting man to be an agent,which resulted from an attempt to link the institution with individuals by means of the intermediate factor whose workings did not rest on individuals.Austrian methodological individualism is a kind of systematic individualism,and has the nature of synthetic unity;hence,in accordance with it,we can start by examining individuals' ideas of actions to explore the question of how the actions of individuals can have an effect on the institution;following this type of exploration,we can go to explain and understand the formation,operation,and evolution of the institution.In the study of the interactive relations between individuals and institutions,it can be concluded that Austrian methodological individualism is consistent.In brief,Austrian methodological individualism can make evolutionary economic research built on comparatively solid micro-foundation.It has noting to do with ontological sense——that is to say,as to the problem of the relations between individuals and society,it does not show that individuals are prior to society,and are of decisive importance compared to society.On the contrary,what it itself only involves is,within epistemological range,how to cognize the actions of individuals,and how to understand social economic phenomena.It does not contain judgents of value or normative significance,but is neutral in respect of value judgments.