Semiotics, Economic Development, and the Deconstruction of Economic Man

Veblen defines economics as one of many possible study groups that analyze culture. He analyzes all cultural phenomena as habits. Economics is distinguished from other study groups by its interest in studying technology as one type of habitual behavior. Veblen makes instinct the basis of habits. By choosing to base his theory on instincts, Veblen builds his theory on a shaky foundation. Semiotics or sign theory can strengthen the theoretical core of institutionalism because it provides a theory of behavior in which habit plays a key role but is not grounded on the idea of instinct. By considering the 4 principles of sign behavior derived from the work of Pierce a sign theory of habit can be formulated. The first principle is that all intelligent behavior is mediate. The 2nd is the tendency of habits to grow, and the 3rd is the indefinite nature of signs. A 4th principle of sign theory is that it is purposeful. A sign theory of habit brings to attention Veblen's analysis of the origins of technology as a unique mode of personal expression.