LECTURE 2 : Module 1: Orthodox vs. Heterodox Flashcards
(25 cards)
Describe / summarize what Feminist economics is
- subdiscipline that critiques traditional economic frameworks - proposes new ways to analyze gender relations in economics and focuses on addressing gender inequalities in the system
- examines how economics has been historically shaped > challenges its andocentric (male-centered) bias
- broadens the definition of economic work and emphasizes human well-being, development, and capabilities (not just efficiency or profit)
- more politically engaged approach - more inclusive thinking
- Incorporates ethical considerations and feminist values while positive economics tries to remain neutral
- advocates for social justice, ethical responsibility, and equity > goes beyond narrow notions of utility and self-interest
- works on understudied topics
- rehumanizes economics as a field
- argues for methodological pluralism and qualitative research
Explain 4 of the Andocentric biases in Neoclassical economics
Male centered economic agent: rational economic man > typical breadwinner who makes independent decisions, selfish, utility-maximizing, only focused on personal benefit
Neglect of unpaid labour
Gender blind models: many models do not disaggregate data by gender or account for gender constraints > has policy implications because policies based on neoclassical frameworks may reinforce existing inequalities
Exclusion from economic definitions: many social reproductive activities not considered economic activities - reinforces gender hierarchy
What are the core methodological starting points of feminist economics (Marilyn Power)
- care labour is vital to the economic system and should be incorporated
- economic success should be centrally measured by human well-being (not just GDP)
- human agency (choices) is important > need to look at questions of access to power
- ethical judgements are needed in economic analysis
- “women” are not a homogeneous category unlike how neoclassical economics treats them - importance of intersection considerations
Briefly summarize the origin and evolution of feminist economics
- started as a social movement with roots in the UK and US - late 19th, early 20th centuries - women’s right and worker’s rights
- also connected to the 1st (right to vote) and 2nd (social and cultural economic role of women) waves of feminism in the 60s and 80s
- woman scholars began critically examining economics as a discipline > how it was misrepresenting/excluding women
- as a result, the American Economic Association (AEA) and the committee on the Status of Women in the Economic Profession (CSWEP) was founded in the early 70s
- feminist economics gained formal recognition when the International Association for Feminist Economics (IAFFE) and the journal Feminist Economics were established in the 90s
*these institutions helped legitimize feminist economics and provided platforms for gender-aware research
What are the 4 main focuses of feminist economics as a Heterodox approach? (not neoclassical)
- Interdisciplinary and Pluralist > draws on Marxist, institutional, and ecological economics, and utilizes theories from other disciplines
- Focus on Power and Inequality > how gender, race, and class hierarchies shape economics > challenges neutrality in economic policy > overriding concern on distributional issues
- Ethical and Normative Orientation > advocates for justice in economic systems, not just efficiency and growth > prioritizes well-being, sustainability, and inclusivity
- Alternative Economic Measures > critiques GDP and market-only indicators (even when GDP is high, there can be other inequalities seen in the economy)
Who were some of the notable contributors and influences of Feminist Heterodox economics?
Nancy Folbre - on care work and feminist political economy
Marilyn Waring - critique of GDP in If Women Counted
Marianne Ferber - beyond economic man
What is a basic definition of Heterodox feminist economics?
Heterodox feminist economics reimagines the economy as a gendered and socially embedded system, aiming to make invisible labour visible, challenge systemic inequalities, and promote a more just and caring economic order
What are the main assumptions of neoclassical economics
- individuals are self-interested and independent > they act alone to maximize their own satisfaction
- utility is subjective and cannot be compared between people > this makes it hard to deal with questions of fairness or inequality
- preferences are fixed and come from outside the economy > assuming fixed preferences and no altruism makes the model blind to how people actually live in families and communities
- actors are selfish > doesn’t consider caring, sharing, or cooperation which limits how well economics can address inequality and social justice
- markets are the main way economic activity happens > leaves out huge parts of the real economy
What are the 3 core critiques of mainstream neoclassical economics from a feminist economics perspective
- Assumptions about human behaviour > emphasizes rationality, self-interest, and utility-maximization while feminist economists critique this as gender-biased, and ignores altruism, emotions, interdependence, and ethical considerations
- Rethinking the Household > assumes shared preferences and pooled resources while feminist economics reveals intra-household inequalities, proposing models like collective household bargaining
- Unpaid work > a major concern feminist economics have is the exclusion of unpaid care work from economic theory and national accounting systems
What are the 3 Central Focus points of Feminist Economics?
- Care Economy
- how care work sustains the labour force and society > should be recognized and more equally distributed between genders, households, and the state - Gender and Labour Markets
- analyzing the feminization of labour, informal work, and the precarization of women’s jobs - Development and Globalization
- arguing for gender-sensitive development policies > looking at Structural Adjustment Programs and neoliberal reforms on women and unequal effects of globalization and trade liberalization on women in the global south
What are the two major strands of feminist economics and why do they exist?
2 strands: Orthodox feminist economics and Heterodox feminist economics
- they both challenge the gender-blind nature of mainstream economics, but differ on how to do this
- both want to address gender inequalities, but they differ in methods, goals, and how deeply they critique the existing economic systems
Summarize the main points of Orthodox Feminist economics
** Reforming from within
- works with the mainstream neoclassical framework, but introduces gender-aware adjustments
- critiques unrealistic assumptions of the man being the benevolent head of household > instead models the household as a space of bargaining, where power matters
- applies tools to fields like labour markets, taxation, education, etc.
- support reforms like removing legal gender barriers, promoting women’s participation in paid work, and encouraging equal pay
Contrast the core beliefs of Orthodox and Heterodox feminist economics?
Orthodox: Gender inequalities in markets are inefficient - entail a loss of scarce resources > economies should tap into women’s economic potential which isn’t being utilized currently since they are absent in labour and financial markets and in decision-making positions
**“Smart Economics” > says eliminating gender inequalities is good for women and good for the economy
Heterodox: Gender equality is not just a tool for growth > it is a separate matter of social justice, even if it doesn’t lead to immediate economics gains > it’s simply the right and just thing to work for no matter what the economic result
Provide the Heterodox feminist economics counter opinions to the following orthodox feminist economics characteristics :
- focus on households, suggest new models of household decision-making
- gender inequality in markets is inefficient > loss of resources
- microeconomic oriented
- women as a universal and homogeneous category - gender equality can be reached without analyzing other dimensions of social justice
Heterodox counters:
- households are important, but broader concern of communities and public space
- gender equality is an objective in itself - a form of social justice - and not a means for improving economic performance
- macro and development centered
- intersectionality is crucial
What are the points of consensus in both heterodox and orthodox feminist economics?
- both aim to expose and address gender inequalities
- unpaid care and domestic work are work, and women’s work everywhere contributes to enhancing human capabilities
- GDP and other metrics are inadequate to gauge well-being over time
- both reject the self-interested, autonomous economic agent depicted in mainstream economic models
What kind of economic agent does feminist economics depict?
Depicts an economic agent who is an individual, interdependent, and part of a network of social relations in households, communities, and markets
Explain the aspects of economics of the household or “new home economics” (Margaret Reid)
- places households not just as places where people live, but as a production agent - like little factories that organize work and make decisions
- looks at how resources (money, time, effort) are shared inside the home
- includes both paid work and unpaid work
Explain the unitary household model (Gary Becker)
Unitary household model:
- used rational choice and neoclassical tools for households > household members as rational agents who maximize the household utility with their budget constraint
- male (benevolent dictator or altruistic head of the family) = the decision maker for the whole family
- assumed everyone in the family has the same goal (maximize utility function)
Explain the problems feminist economics has with the unitary household model
- hides individual differences and power imbalances within families (gender roles and inequalities)
- to imply that all family members have the same preferences under the head of the family is inaccurate and unrealistic > people are different and have different wants, needs, and priorities
- ignores power and control factors > assuming an altruistic head who makes decisions for everyone ignores power imbalances and conflicts that need to be considered by models
What is the neoclassical answer to this critical question:
How should the time of each individual be allocated between home and market work to most efficiently maximize satisfaction?
Explain the problem with this
Neoclassical answer: comparative advantage and efficiency
- this model assumes women specialize in household tasks because they are “more efficient” in doing so, while men specialize in market work, therefore men have a comparative advantage for market production (therefore women should stay home)
- even if this is true, it doesn’t question why such a comparative advantage exists or questions the role of the traditional division of labour > doesn’t address fairness or why women work longer hours overall than men > and ignores the internal decision-making structure of the family
What are the 4 feminist critiques of the unitary models?
- Ignores Power Dynamics and Gender Inequality
- assumes shared goals in households - overlooks power imbalances in decision making - ignores that households have cooperation AND conflict - Inconsistent Assumptions About Human Behaviour
- treats ppl as selfish in the market but altruistic in the family (unrealistic) - Flawed Income Pooling Assumption
- assumes all household income is pooled and used for the common good > in reality, income is not always shared equally or spend optimally - Households are self isolated units
- in reality, households are connected to broader social and economic networks > there are exchanges between households, not just within them
What are collective models of intra-household allocation?
- they were developed alongside Becker’s unitary model but focused on bargaining between individuals within the household
- assumes individuals have distinct preferences and make decisions through cooperative or non-cooperative bargaining
- say that households forms when the benefits of being together outweigh being along - this creates a surplus to be distributed
Explain the bargaining model (collective models of intra-household allocation) and the implications of this model
Bargaining Dynamics:
- outcome depends on bargaining power, which is linked to each person’s fallback position (income, social support, ability to leave)
- ex. threat point models like the divorce threat model > the better one’s fallback, the stronger their bargaining power
- models use game theory and microeconomic tools to analyze decisions
Implications:
- recognizes conflict AND cooperation in household decisions
- *moves beyond the unrealistic “single utility function” idea of the unitary model
What are the feminist critiques of the bargaining model/collective models of intra-household allocation?
- Overemphasis on modelling behaviour
- focuses on mathematical modelling more than the actual processes of bargaining that can be very emotional - Weak Understanding of Power
- treats bargaining power as individual-based, without considering how social, cultural, or political structures shape household dynamics - Narrow Focus on Household Type
- heteronormative > ignores diverse family structures - Rigid Dichotomies
- too many binaries (cooperation vs. conflict, rational vs. emotional) and too much focus on quantitative methods rather than qualitative
