Self-Interest
Self-interest is an economic and philosophical concept that states that individuals act in their own best interests. It is a fundamental assumption of many economic theories and is often used to explain why people make certain decisions. Self-interest is based on the idea that people are rational and will make decisions that will benefit them the most. It is also used to explain why people may act in ways that are not in their own best interests, such as when they are influenced by emotions or external pressures.
History of Self-Interest
The concept of self-interest has been around for centuries. It was first introduced by the ancient Greek philosopher Aristotle, who argued that people act in their own best interests. This idea was later developed by the 17th-century philosopher Thomas Hobbes, who argued that people are driven by their own self-interest and that this is the basis of all human behavior. The concept of self-interest was further developed by the 18th-century philosopher Adam Smith, who argued that people are motivated by their own self-interest and that this is the basis of a free market economy.
The concept of self-interest has been used to explain a wide range of economic and social phenomena, from the behavior of consumers to the behavior of businesses. It has also been used to explain why people may act in ways that are not in their own best interests, such as when they are influenced by emotions or external pressures. Self-interest is a fundamental assumption of many economic theories and is often used to explain why people make certain decisions.
Table of Comparisons
| Self-Interest | Altruism |
|---|---|
| Acts in own best interests | Acts in the best interests of others |
| Motivated by own gain | Motivated by helping others |
| Individualistic | Collective |
Summary
Self-interest is an economic and philosophical concept that states that individuals act in their own best interests. It is a fundamental assumption of many economic theories and is often used to explain why people make certain decisions. Self-interest is based on the idea that people are rational and will make decisions that will benefit them the most. For more information about this term, you can visit websites such as Investopedia, The Balance, and Investing.com.
See Also
- Altruism
- Rational Choice Theory
- Utilitarianism
- Game Theory
- Opportunity Cost
- Marginal Utility
- Supply and Demand
- Externalities
- Public Choice Theory
- Behavioral Economics
