Where are the motives? A problem with evidence in the work of Richard Thaler

In this journal (Mackenzie, 1997. Economic Psychology 18(1), 123–135), Mackenzie argues that there is a problem with Thaler's work: in failing to provide evidence about motives, Thaler's claims are vulnerable. In this comment, I present a different view. Thaler merely pinpoints some stylized facts, such as the endowment effect. Models of economic behaviour should be able to account for these. Mackenzie's discussion of the wine owner anecdote gives ad hoc reasons for apparently irrational behaviour. Thaler's work focuses on systematic effects, which is a much more fruitful approach. Mackenzie fails to do justice to the work that has been done to document the endowment effect.