McPherson M., Hausman D. (eds.). Economic Analysis, Moral Philosophy, and Public Policy

Cambridge, UK: Cambridge University Press, 2006. — 352 p. — ISBN10: 052160866X; ISBN13: 978-0521608664.This book shows through argument and numerous policy-related examples how understanding moral philosophy can improve economic analysis, how moral philosophy can benefit from economists' analytical tools, and how economic analysis and moral philosophy together can inform public policy. Part I explores the idea of rationality and its connections to ethics, arguing that when they defend their formal model of rationality, most economists implicitly espouse contestable moral principles. Part II addresses the nature and measurement of welfare, utilitarianism and cost-benefit analysis. Part III discusses freedom, rights, equality, and justice - moral notions that are relevant to evaluating policies, but which have played little if any role in conventional welfare economics. Finally, Part IV explores work in social choice theory and game theory that is relevant to moral decision making. Each chapter includes recommended reading and discussion questions.Ethics and economics?
Ethics in welfare economics
Ethics in positive economics: two examplesRationality, Morality, and MarketsRationality and utility theory
Rationality and morality in positive economics
The ethical limits to marketsWelfare and ConsequencesUtilitarianism, consequentialism, and justice
Welfare
Welfare economicsLiberty, Rights, Equality and JusticeLiberty, rights and libertarianism
Equality and egalitarianism
Justice and contractualismMoral MathematicsSocial choice theory
Game theoryConclusionsPutting economics and ethics to work
Economics and ethics, hand in handAppendix