Neuroeconomist Paul Zak on Markets and the "Molecule of Love"
"Markets are pro-social. Markets are about serving the needs of another-that is innately virtuous," says Paul J. Zak, professor of Economics at Claremont Graduate University.
Zak is the founding Director of the Center for Neuroeconomics Studies at Claremont and is credited with the first published use of the term neuroeconomics, a new discipline that integrates neuroscience and economics. He describes neuroeconomics as the "brain basis for decision-making" or simply put, "It's really about why people make bad decisions regarding money."
In 2004, Zak's lab discovered that the chemnical oxytocin (best known for inducing labor in women and giving us that warm fuzzy feeling when we hug someone) allows us to determine whom to trust in situations that require exchange. That's the same trust that makes trade possible and underpins modern civilizations and economies.
Zak discusses his oxytocin argument, presented in Moral Markets: The Critical Role of Values in the Economy and why even the most untrustworthy among us leads to a healthy and moral marketplace.
Approximately 10 minutes long. Produced by Hawk Jensen with Alex Manning as director of photography.
Scroll down for embed code and downloadable versions. If you have trouble embedding, check out the version posted at Reason.tv's YouTube channel (subscribe today!).
Hide Comments (0)
Editor's Note: As of February 29, 2024, commenting privileges on reason.com posts are limited to Reason Plus subscribers. Past commenters are grandfathered in for a temporary period. Subscribe here to preserve your ability to comment. Your Reason Plus subscription also gives you an ad-free version of reason.com, along with full access to the digital edition and archives of Reason magazine. We request that comments be civil and on-topic. We do not moderate or assume any responsibility for comments, which are owned by the readers who post them. Comments do not represent the views of reason.com or Reason Foundation. We reserve the right to delete any comment and ban commenters for any reason at any time. Comments may only be edited within 5 minutes of posting. Report abuses.
Please
to post commentsMute this user?
Ban this user?
Un-ban this user?
Nuke this user?
Un-nuke this user?
Flag this comment?
Un-flag this comment?