I Choose for Myself, Therefore I Am: The Contours of Existentialist Welfare Economics

Abstract

Behavioral economics and existentialism both have persuasive, informative perspectives on human choice and welfare. We argue in this paper that the weaknesses in each of their positions are answered by the strengths in the other, creating a more comprehensive vision of what human choice is and how we should engage with the modern world. The dialogue between existentialism and behavioral economics can help us understand why we should protect our choices as our own and how doing so may be more difficult than we anticipate. While individuals are internally and situationally constrained, they can always endeavor to treat themselves as free. Acknowledging this tension in the form of a theoretical synthesis – which we propose to call Existentialist Welfare Economics – can help navigate the threat of identity-shaping social and technological developments, such as nudges or artificial intelligence.