The Whys and Hows of Theory—Comparing Cognitive Science and Economics

Abstract

Given the ongoing debates about the replication crisis, theory crisis, and cooperation among disciplines in cognitive science, it is instructive to compare cognitive science with economics. The two fields face common challenges, most importantly in that both study complex, open systems. The strategies for facing these challenges, however, are quite different. Economics was long dominated by theory. Cognitive science takes a multidisciplinary approach, and despite its attendant diversity is dominated by psychology, which itself often neglects theory. I defend economics’ use of theory, characterizing its formal modeling tradition as an effective divide-and-conquer strategy for understanding complex, open systems. I argue that theory and experimentation ideally support one another, making replicability less of an issue. I also discuss the appropriate level(s) of analysis in economics and cognitive science as products of the systems they study. Finally, I compare the two fields’ very different community structures, treating economics as a cautionary tale and advocating pluralism.