Contribution of Gary Becker







Introduction

Gary S. Becker had been awarded with the Nobel Prize pertaining to having successfully expanded the domain of microeconomic analysis to a diversified range of human behaviour mechanisms as well as discussing the non market behaviour mechanisms as well. Becker's field of study was Social Economics as well as he was awarded the Nobel Prize in 1992. Gary Becker knew the fact that the economic field is characterized by diverse human behaviours as well as the intricacies of such human behaviours have a high degree of implications pertaining to the different economical findings (Becker, 2009).

Significant economical concepts are discussed on the lines of human behaviours as well as are also discussed on the lines of non market behaviours. The market as well as non market behaviours have a huge influence in shaping economical outcomes since different market players as well as actions greatly depend on economical concepts. Microeconomic analysis pertains to the different economic concepts such as consumer behaviours, price discrimination, monopoly, as well as oligopoly, perfect as well as imperfect competition as well as thus Becker used his expertise in these sorts of areas to successfully shape his economical findings. Due to his extensive as well as valuable expertise in economics, he got rewarded with the Nobel Prize in social economics. In this paper, we would be discussing the core areas as well as concepts presented by Becker that greatly formed the essence of his exemplary literary work in the field of economics (Becker, 2010).

Discussion

Becker's core assumption pertains to the aspect that rational economic decisions that rely on self interest are responsible pertaining to impacting most of the facets of human behaviour. In other words, rational economic decisions are not confined to the purchase as well as investment decisions that impact the essence of economic behaviour. Becker sought to argue against this aspect of human behaviour as well as was quite successful in proving his point. Becker also assessed the role of racial discrimination in the various labour markets. He observed the fact that racial discrimination has a profound impact on both the victim as well as the attacker.

The costs pertaining to both of them are huge as well as thus the labor market should look to eliminate any occurrence of racial discrimination in labor markets. On the other hand, Becker also studied the various intricacies of human capital since it also has a huge bearing on the economic costs. In such a context, Becker expressed that the investment of an individual in education as well as training is directly comparable with the organization's decision to invest in the purchase of new machinery or equipment. Becker considered the household as a factory that is involved in the production of shelter, child care as well as meals. By successfully applying the various theories of production, Becker was able to make successful predictions regarding the divorce, family size as well as the potential role of women in the workplace (Becker, & Murphy, ...