Recognizing that human rationality has bounds that are unequal across individuals entails treating it as a special scarce resource, tied to individuals and used for deciding on its own uses. This causes a meta-mathematical difficulty to the axiomatic theories of human capital and resource...

As governments lack the rationality-promoting selective pressures of market competition, the standard (unbounded) rationality assumption is less legitimate in Public Choice than in analysis of markets. This paper argues that many Public Choice problems require recognizing that human rationality...

To assess alternative forms of ownership of firms and allocation of capital, the standard incentive argument is complemented and qualified by an argument considering competence. Regarding capital as a currency conveying decision authority for organizing production, this argument recognizes that...