Herbert Simon (Economist)

Herbert Simon was an influential American economist and cognitive psychologist known for his work on decision-making and problem-solving. He introduced the concept of "bounded rationality," which suggests that people make decisions based on limited information and cognitive constraints, rather than being perfectly rational. Simon helped establish the field of behavioral economics by highlighting how human behavior often deviates from traditional economic theories. He also contributed to artificial intelligence and organizational theory, emphasizing how systems and processes affect decision-making in businesses and institutions. His interdisciplinary approach has had a lasting impact on economics, psychology, and computer science.