Editing Feminist economics (section)

===''Homo economicus''===

The [[neoclassical economics|neoclassical economic]] model of a person is called ''[[Homo economicus]]'', describing a person who "interacts in society without being influenced by society," because "his mode of interaction is through an ideal [[Market (economics)|market]]," in which prices are the only necessary considerations.<ref name="nelson1" /> In this view, people are considered rational actors who engage in [[marginal analysis]] to make many or all of their decisions.<ref name="web" /> Feminist economists argue that people are more complex than such models, and call for "a more holistic vision of an economic actor, which includes group interactions and actions motivated by factors other than greed."<ref name="web" /> Feminist economics holds that such a reformation provides a better description of the actual experiences of both men and women in the market, arguing that mainstream economics overemphasizes the role of individualism, competition and selfishness of all actors. Instead, feminist economists like [[Nancy Folbre]] show that cooperation also plays a role in the economy.

Feminist economists also point out that [[agency (sociology)|agency]] is not available to everyone, such as children, the sick, and the frail elderly. Responsibilities for their care can compromise the agency of caregivers as well. This is a critical departure from the ''homo economicus'' model.<ref>{{cite journal|last=Levison|first=Deborah|title=Children as Economic Agents|journal=Feminist Economics|date=January 2000|volume=6|issue=1|pages=125–134|doi=10.1080/135457000337732|citeseerx=10.1.1.460.2185|s2cid=154879275}}</ref>

Moreover, feminist economists critique the focus of neoclassical economics on monetary rewards. [[Nancy Folbre]] notes, "legal rules and cultural norms can affect market outcomes in ways distinctly disadvantageous to women." This includes [[occupational segregation]] resulting in unequal pay for women. Feminist research in these areas contradicts the neoclassical description of [[labor markets]] in which [[Job (role)|occupations]] are chosen freely by individuals acting alone and out of their own free will.<ref name="web" /> Feminist economics also includes study of [[Norm (social)|norms]] relevant to economics, challenging the traditional view that material incentives will reliably provide the goods we want and need (consumer sovereignty), which does not hold true for many people.

[[Institutional economics]] is one means by which feminist economists improve upon the ''homo economicus'' model. This theory examines the role of institutions and evolutionary social processes in shaping economic behavior, emphasizing "the complexity of human motives and the importance of culture and relations of power." This provides a more holistic view of the economic actor than ''homo economicus.''<ref name="Power, Marilyn 2011"/>

The work of George Akerlof and Janet Yellen on [[efficiency wage]]s based on notions of fairness provides an example of a feminist model of economic actors. In their work, agents are not hyperrational or isolated, but instead act in concert and with fairness, are capable of experiencing jealousy, and are interested in personal relationships. This work is based on empirical [[sociology]] and psychology, and suggests that wages can be influenced by fairness considerations rather than purely market forces.<ref name="nelson1" />