This study presents the view that economics can serve as a paradigm for all of the social sciences by dealing with actual problems of society. Providing insights into our understanding of human behaviour, it also suggests solutions to social problems in such areas as the environment, politics, art, family, history and academia. The economic model is extended by emphasizing issues of fairness and morals and by relating to psychological issues. This revised second edition presents three new chapters; fair siting procedures to preserve the natural environment, an economic analysis of the behaviour of academics, and fairness in social interactions (prisoner's dilemmas and ultimatum games).

This study presents the view that economics can serve as a paradigm for all of the social sciences by dealing with actual problems of society. Providing insights into our understanding of human behaviour, it also suggests solutions to social problems in such areas as the environment, politics, art, family, history and academia. The economic model is extended by emphasizing issues of fairness and morals and by relating to psychological issues. This revised second edition presents three new chapters; fair siting procedures to preserve the natural environment, an economic analysis of the behaviour of academics, and fairness in social interactions (prisoner's dilemmas and ultimatum games).

This study presents the view that economics can serve as a paradigm for all of the social sciences by dealing with actual problems of society. Providing insights into our understanding of human behaviour, it also suggests solutions to social problems in such areas as the environment, politics, art, family, history and academia. The economic model is extended by emphasizing issues of fairness and morals and by relating to psychological issues. This revised second edition presents three new chapters; fair siting procedures to preserve the natural environment, an economic analysis of the behaviour of academics, and fairness in social interactions (prisoner's dilemmas and ultimatum games).