Frank Hindriks

Traditional accounts of explanation fail to illuminate the explanatory relevance of “models that are descriptively false” in the sense that the regularities they entail fail to obtain. In this paper, I propose an account of explanation, which I call ‘explanation by concretization’, that serves to explicate the explanatory relevance of such models. Starting from a highly abstract and idealized model, causal explanations of the absence of regularities are sought by adding complexity to the model or by concretizing it. Whether this process is successful depends on whether the abstractions and idealizations in the basic model succeed in isolating a mechanism, i.e. in representing how it operates when interfering factors are absent. This account is developed in the context of economics and contrasted to those of Daniel Hausman and Nancy Cartwright. I go on to provide an account of how unrealistic models can be used for providing understanding of the way mechanisms work.

Intuitions about intentional action have turned out to be sensitive to normative factors: most people say that an indifferent agent brings about an effect of her action intentionally when it is harmful, but unintentionally when it is beneficial. Joshua Knobe explains this asymmetry, which is known as ‘the Knobe effect’, in terms of the moral valence of the effect, arguing that this explanation generalizes to other asymmetries concerning notions as diverse as deciding and being free. I present an alternative explanation of the Knobe effect in terms of normative reasons. This explanation generalizes to other folk psychological notions such as deciding, but not to such notions as being free. I go on to argue, against Knobe, that offering a unified explanation of all the asymmetries he discusses is in fact undesirable

Corporate freedom is the freedom of a collective agent to perform a joint action. According to a reductive account, a collective or corporate agent is free exactly if the individuals who constitute the corporate agent are free. It is argued that individual freedoms are neither necessary nor sufficient for corporate freedom. The alternative account proposed here focuses on the performance of the joint action by the corporate agent itself. Subsequently, the analysis is applied to Cohen’s (1983) analysis of proletarian freedom. Cohen claims that proletarians are individually free but collectively unfree to leave the proletariat. I argue that, pace Cohen, such a contrast between individual and collective freedom can only exist if collective freedom is interpreted in terms of corporate freedom

Many models in economics are very unrealistic. At the same time, economists put a lot of effort into making their models more realistic. I argue that in many cases, including the Modigliani-Miller irrelevance theorem investigated in this paper, the purpose of this process of concretization is explanatory. When evaluated in combination with their assumptions, a highly unrealistic model may well be true. The purpose of relaxing an unrealistic assumption, then, need not be to move from a false model to a true one. Instead, it may be providing an explanation of some phenomenon by invoking the factor that figures in the assumption. This idea is developed in terms of the contrastive account of explanation. It is argued that economists use highly unrealistic assumptions to determine a contrast that is worth explaining. The process of concretization also motivates new explanatory questions. A high degree of explanatory power, then, may well be due to a high number of unrealistic assumptions. Thus, highly unrealistic models can be powerful explanatory engines. Key Words: concretization • explanation • explanatory power • idealization • model • Modigliani-Miller theorem • unrealistic assumption.

Skill or control is commonly regarded as a necessary condition for intentional action. This received wisdom is challenged by experiments conducted by Joshua Knobe and Thomas Nadelhoffer, which suggest that moral considerations sometimes trump considerations of skill and control. I argue that this effect (as well as the Knobe effect) can be explained in terms of the role normative reasons play in the concept of intentional action. This explanation has significant advantages over its rivals. It involves at most a conservative extension rather than a radical revision of what we tend to believe about intentional action, and it fits better with the way we conceive of the relation between intentional action and moral responsibility

Current debates in social ontology are dominated by approaches that view institutions either as rules or as equilibria of strategic games. We argue that these two approaches can be unified within an encompassing theory based on the notion of correlated equilibrium. We show that in a correlated equilibrium each player follows a regulative rule of the form ‘if X then do Y’. We then criticize Searle's claim that constitutive rules of the form ‘X counts as Y in C’ are fundamental building blocks for institutions, showing that such rules can be derived from regulative rules by introducing new institutional terms. Institutional terms are introduced for economy of thought, but are not necessary for the creation of social reality.

According to the increasingly popular knowledge account, assertion is governed by the rule that speech acts of that kind require knowledge of their content. Timothy Williamson has argued that this knowledge rule is the constitutive rule of assertion. It is argued here that it is not the constitutive rule of assertion in any sense of the term, as it governs only some assertions rather than all of them. A (qualified) knowledge rule can in fact be derived from the traditional analysis of assertion according to which assertion is the linguistic expression of belief. Because it is more informative, this analysis provides a better point of departure for defending the knowledge account than Williamson’s view according to which the knowledge rule is part of the analysis of assertion.

Institutions are normative social structures that are collectively accepted. In his book Making the Social World, John R. Searle maintains that these social structures are created and maintained by Status Function Declarations. The article’s author criticizes this claim and argues, first, that Searle overestimates the role that language plays in relation to institutions and, second, that Searle’s notion of a Status Function Declaration confuses more than it enlightens. The distinction is exposed between regulative and constitutive rules as being primarily a linguistic one: whereas deontic powers figure explicitly in regulative rules, they feature only implicitly in constitutive rules. Furthermore, he contends that Searle’s collective acceptance account of human rights cannot adequately account for the fact that people have these rights even when they are not recognized. Finally, It is argued that a conception of collective intentionality that involves collective commitment is needed in order to do justice to the normative dimension of institutions

Recent empirical research by Joshua Knobe has uncovered two asymmetries in judgements about intentional action and moral responsibility. First, people are more inclined to say that a side effect was brought about intentionally when they regard that side effect as bad than when they regard it as good. Secondly, people are more inclined to ascribe blame to someone for bad effects than they are inclined to ascribe praise for good effects. These findings suggest that the notion of intentional action has a normative component. I propose a theory of intentional action on which one acts intentionally if one fails to be motivated to avoid a bad effect. This explains the asymmetry concerning intentional action. The praise–blame asymmetry is explained in terms of the claim that praise depends on being appropriately motivated, whereas blame does not.

Famously Ryle imagined a visitor who has seen the colleges, departments, and libraries of a university but still wonders where the university is. The visitor fails to realize that the university consists of these organizational units. In this paper I ask what exactly the relation is between institutional entities such as universities and the entities they are composed of. I argue that the relation is constitution, and that it can be illuminated in terms of constitutive rules. The understanding of the ontology of institutions that constitutive rules provide, however, is incomplete. In order to capture the practical significance of institutions, I introduce the notion of a status rule. Status rules concern the normative powers of institutions. The status account of institutions defended here is used to solve the problem of freestanding status terms: it turns out to be rather difficult to identify the entities of which statuses such as corporations and electronic money are composed. Unable to solve this problem, Searle concludes that they are created out of thin air. I criticize this claim and argue that these statuses are imposed on persons.

Corporate responsibility requires a conception of collective agency on which collective agents are able to form moral judgments and act on them. In spite of claims to the contrary, existing accounts of collective agency fall short of this kind of corporate autonomy, as they fail to explain how collective agents might be responsive to moral reasons. I discuss how a recently proposed conception of shared valuing can be used for developing a solution to this problem. Although the resulting conception of corporate autonomy is useful for making sense of corporate responsibility, it also gives rise to what I call ‘the Corporate Autonomy Problem’. Autonomous collective agents are in principle entitled to the same rights as autonomous individual agents. However, at least some individual rights, such as the right to vote, the right to life, and the right not to be enslaved cannot plausibly be attributed to collective agents. This intuition is supported by normative individualism, the position according to which corporate agents are not entitled to non-derivative rights at all. I argue that without a proper solution to this problem—I sketch the available options—saving corporate responsibility requires giving up on normative individualism

Paradoxical results concerning judgment aggregation have recently been invoked to defend the thesis that a corporate agent can be morally responsible for a decision without any of its individual members bearing such responsibility. I contend that the arguments offered for this irreducibility thesis are inconclusive. They do not pay enough attention to how we evaluate individual moral responsibility, in particular not to the role that a flawed assessment of the normative reasons that bear on the issue to be decided on play in this context. I go on to propose a method for distributing corporate responsibility to individual members within the judgment aggregation framework.