Decision Making as Output and Bounded Rationality

  The classical economics theories proceed on the assumption of rational agents. Rationality implies the economic agents undertake actions or exercise choices based on the cost-benefit analysis they undertake. The assumption further posits that there exists no information asymmetry and thus the agent is aware of all the costs and benefits associated with the choice he or she has exercised. The behavioral school contested the decision stating the decisions in practice are often irrational. Implied there is a continuous departure from rationality. Rationality in the views of the behavioral school is more an exception to the norm rather a rule. The past posts have discussed the limitations of this view by the behavioral school. Economics has often posited rationality in the context in which the choices are exercised rather than theoretical abstract view of rational action. Rational action in theory seems to be grounded in zero restraint situation yet in practice, there are numerous restra

Indic Cultural Revivalism and Invisible Hand

India is a land of myriad traditions. Each town or village has its own traditions and rituals often associated with deep history. Some rituals find themselves bounded in space of caste or region while some expand into multiple geographies and psychographics. With passage of time, some experience the Darwinian survival while many fall by the wayside to the vagaries of evolution. Some find themselves taking a rebirth on account of many factors, incidental or deliberate. As the people move across regions and countries, they take their traditions and rituals with them thus giving them a new lease of life. In recent years, India has seen an explosion of sorts with respect to revival of many traditions and in unexpected geographies and demographics.

 

There are many reasons for the same some of which would be useful to be decoded. Firstly, it has to deal with internal migration and cross cultural marriages. As people marry across castes and regions, the traditions find themselves intermingled between the two regions. Therefore, a north Indian traditions probably gets acceptance in the south and vice versa. Similarly an east Indian tradition might find resonance in the west Indian context following inter-region and inter-caste marriages. Yet these would be small in number to result in a widespread acceptance or in more particular wherein a tradition’s roots itself might get lost and instead get associated with some other region.

 

As many Indians moved abroad mainly due to the IT revolution and like, there was need to build up community bonding. The festivals which are numerous to be counted and various rituals and rites now began to be celebrated and followed in these distant lands. Indian communities when settled abroad are small in number when viewed caste or region wise but substantially cumulative when observed community wise. There might very few belonging to a particular caste or region and they might further might not even be located at a single or nearby places. In such circumstances, a caste or region specific ritual or tradition or celebration might not sustain. This however applies to each of the region or caste specific elements. It is in this context, that communities bonded by a feeling of common nationality will join together and celebrate. As they evolve and move out into different places and at times return to India, these rituals and celebrations follow them.

 

Further, the Indian community bondness also serves as a signal to the host country population. To any host country, the traditions or rituals moreover, given the Indian idiosyncrasies associated, will appear to be novel and thus generates interest. This interest will definitely be exploited as signal of the community’s uniqueness. In fact, marriages in India are becoming steeped in more tradition because of the Facebook effect. The Indians when they go back to their work places abroad can showcase it as something deeply ritualistic and steeped in tradition thus playing to the novelties of those countrymen and women. This signalling to an external audience while creating a sense of attention and interest unwittingly plays a role in revisionism of Indic culture and tradition.  This gets extended to dress as Indian dress gets a lease of life and novelty in the Western world.

 

Within the domestic territory, as modernization descends with greater force, this does pose questions on the roots where the Indians would have come from. There is an apprehension that in zeal to embrace modernity and all that accompanies it, the trade-off is apparently a sacrifice of traditions. Therefore, a conflict emerges within over modernity-tradition balance. Thomas Friedman termed it as the battles between the longing for Lexus without sacrificing the Olive Tree. More appropriately, I n the Indian context, it was VS Naipaul who diagnosed it perfectly. He called the Land of Million Mutinies. These mutinies are not just on the surface but at every sub-surface level within the community as also within each individual or within the family. He argued as Indians were exposed to the modern way of living, there appeared tendencies to disassociate from the culture or the roots. Yet this appeared transient. The civilization might have been wounded, yet beneath each layer of the civilization lay a longing for those cultural significations that enabled the survival of the civilization in the first place. Naipaul argued that while Indians did not want to let go off the benefits and might be in some ways as recent scholars argue on woke culture. Indians were disposed towards woke but at the personal level, maybe an atonement of that, it becomes deeper and more religious. The simultaneous woke and religious traditions seem to battle out everyday in daily life with what Naipaul termed the Million Mutinies.

 

Alongside these, the entertainment industry too has made its contribution in a significant way. The reasons for their contribution are hardly their personal feelings for the religion or their mission zeal to revive Hindu culture. Their considerations are commercial and linked to their self-interest of survival and personal benefit. Entertainment industry both film and television function on the implied demand uncertainty. There is certainly demand for entertainment products but there is uncertainty over a demand for specific entertainment product or genre. So when an extended marriage video becomes a theme for a movie and it becomes a hit, it is all but natural that others follow suit in adopting to similar theme. When a classical saas bahu story becomes a hit or novelty, it is again natural for other producers to follow suit linking to a similar theme. In fact, formula films in the movie or television industry arise owing to the same. As more and more emerge from the genre, it will create its own cultural message however unintended it would be. In the television industry, as the channels mushroom, there is paucity of supply. They have to keep occupied the audience for extended periods of time. One outcome would be sort of stretching a serial if it is popular and commands a large audience. This creates a paucity of content for those serials if they have stretch longer. Given the endless festivals in India each year, associating the celebration with the soap opera is perhaps the best alternative. There are low opportunity costs and the benefits would be people getting to see the intricacies of traditions and rituals of other regions, castes and communities. As these gain popularity, there would without doubt a tendency to adopt these festivals, rituals and celebrations in their own local community thus a catalyst for the diffusion of the cultural practices. The demand-supply mismatch in one industry becomes an unintended cause for cultural diffusion somewhere else.

 

As one dissects these causes, they need a deeper engagement with each of these causes. In economics, it is just not the unintended consequences that are important but equally important are unintended consequences. The current revival of cultural revisionism is an externality arising out of the various causes none of which were explicit attempts to promote Indic causes. The actions were perhaps an outcome arising out of self-interest but the externalities turned out to be very different. Yet, though the promotion of Indic interests was least in their mind, these economic agents can be considered to be catalysts for the revival. To borrow from Adam Smith’s phraseology, they might be the disguised invisible hand that perhaps unwitting leads to collective Indic betterment.

 

 

 

 


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