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122 DOI: 10.15587/978-617-8360-18-4.CH4 Tatiana Korobkina, Natalia Dashenkova, Olha Myttseva, Hanna Horiachkovska, Olena Bakalenko, Viktoriia Omelchenko © The Author(s) of chapter, 2025. This is an Open Access chapter distributed under the terms of the CC BY license CULTURE OF DIGNITY AS APSYCHOLOGICAL ARCHITECTURE OFINTEGRATION OF NATIONAL ECONOMIES ABSTRACT The article examines the concept ofa culture ofdignity asa new psychological architecture for the integration ofnational economies inthe global world. Unlike traditional approaches that focus oninstitutional mechanisms oreconomic indicators, the proposed methodology integrates three dimensions: behavioral economics, philosophy, and psychology. The authors show that modern integration processes cannot beexplained solely through agreements, markets, ortransaction costs, astheir viability isdetermined bythe level oftrust, empathy, moral legitimacy, and cultural memory ofsocieties. The central thesis isthat dignity ceases tobe anethical “decor” ofeconomic processes and becomes their foundation, since itis precisely itthat allows toneutralize cognitive biases, overcome the consequences ofcollective trauma, and ensure the sustainability ofcooperation. Aninterdisciplinary design was used: content analysis ofphilosophical and economic sources, comparative analysis ofintegration practices (EU, Brexit, Good Friday Agreement, Erasmus), aswell asinterpretation ofneuroscience and behavioral economics data confirming the role ofempathy, affects and oxytocin inthe formation oftrust. Itis shown that the digitalization ofmanagement and the growth ofthe role ofalgorithms create new risks ofthe “illusion oftechnological neutrality”, which can level the human dimension ofintegration. The culture ofdignity isproposed asa compass that can ensure abalance between innovation and ethics, technocratic efficiency and humanity. Special attention ispaid tohistorical and cultural factors that influence the formation oftrust between nations. The authors analyze examples ofboth successful and problematic integration, showing that the absence ofa culture ofdignity leads toconflicts, distrust and the collapse ofalliances. Thus, the article offers avision ofintegration processes not asa technocratic construct, but asa “living organism” inwhich morality and psychology play akey role. This allows for abroader interpretation ofeconomic phenomena through the prism ofhumanistic methodology. The paper also outlines practical implications for politics and business. The authors emphasize that aculture ofdignity should beintegrated into education, public administration, and corporate management systems asa fundamental principle oflong-term development. Global challenges— the climate crisis, wars, inequality— require precisely such acultural foundation inwhich coexistence, mutual respect, and empathy become resources noless important than financial investments ortechnological innovations. The article also touches onthe issue ofidentity and the psychology ofcommunities: itshows how asense ofdignity shapes not only political loyalty, but also the economic behavior ofcitizens. 4
CHAPTER 4. CULTURE OF DIGNITY AS A PSYCHOLOGICAL ARCHITECTURE OF INTEGRATION OF NATIONAL ECONOMIES 123 Here, dignity isnot anabstract ideal, but adaily practice, manifested inchoosing cooperation over competition, inthe willingness totake responsibility, inthe search for acommon meaning. This approach opens upa new horizon for research— from business ethics togeopolitics— and demonstrates the universality ofthe category of“dignity” asan analytical tool. Inthis context, the proposed study goes beyond academic analysis and acts asa project ofcivilizational development. Itcalls for arethinking ofintegration processes inthe light ofhumanistic values, where economic unions become aspace for coexistence, and not just atool for survival. The work has both academic and civilizational significance. Itdemonstrates that global integration inthe 21st century ispossible only when the person with its dignity isat the center. Thus, the study contributes tothe development ofpublic administration ethics, philosophy ofdignity and humanistic management, offering anew theoretical and methodological basis for the analysis ofintegration processes. KEYWORDS Culture ofdignity, integration ofeconomies, behavioral economics, management psychology, cognitive biases, trust, neuroscience, public administration ethics, digital algorithms, humanistic management, globalization. The integration ofnational economies ina globalized environment has long ceased tobe exclusively amatter offinancial flows and trade agreements. Modern economic science isincreasingly aware that integration processes have amultidimensional nature, inwhich, along with market mechanisms, cognitive biases, affective reactions and ethical guidelines ofpublic administration are decisive [1, 2]. Recognition ofthis complexity forces economists, social psychologists and political philosophers tosearch for anintegrative methodology that can explain why formally rational institutions often turn out tobe fragile without aculture oftrust and dignity [3, 4]. Intraditional economic approaches, integration appears asa function ofrational choice and optimization ofbenefits. However, modern behavioral economics demonstrates that economic agents are not “rational maximizers”, but act within the cognitive distortions formed bycultural narratives and historical memory [5, 6]. These biases, such asthe status quo effect oringroup favoritism, create barriers toeconomic integration even insituations where formal models predict its feasibility [7]. Thus, the integration ofnational economies cannot bereduced tothe arithmetic ofbenefits— itis aphenomenon ofpsychological architecture, where economic rationality coexists with affective and cultural parameters. Itis here that the concept ofa “culture ofdignity” appears asan analytical category. M. Nussbaum considers dignity asa universal basis for creating “capabilities” that allow societies not only tosurvive, but also todevelop inthe direction ofjustice and equality [6]. P. Ricoeur, analyzing the phenomenon of“self asOther”, shows that trust and recognition are necessary prerequisites for interaction that goes beyond instrumental relations [4].
124 INTEGRATIVE OPPORTUNITIES OF NATIONAL ECONOMIES D. Acemoglu and J. Robinson argue that economic institutions function effectively only when they are embedded ina social context where dignity and inclusiveness define the rules ofthe game [1]. Therefore, the integration ofnational economies without aculture ofdignity risks turning into atechnocratic process without social legitimacy. Animportant aspect isthe role oftrust associal capital. F. Fukuyama convincingly proved inthe mid1990s that ahigh level ofpublic trust isa determining factor ineconomic development and the stability ofinstitutions [3]. Later, R. Putnam showed using the example ofItaly that “social capital”— that is, horizontal networks oftrust— directly correlates with the quality ofgovernance and economic progress [9]. These studies have acquired anew meaning inthe era ofglobalization, astrust becomes anintercultural category that determines not only the internal cohesion ofsocieties, but also their ability tointegrate with other economies. Atthe same time, cognitive biases remain anunderstudied factor inthe macroeconomic analysis ofintegration processes. D. Kahneman showed that human thinking processes are structurally prone toheuristics and errors that form systematic deviations from rationality [2]. G. Akerlof and R. Shiller, inturn, proved that macroeconomic cycles are often explained not only by“real” economic factors, but also by“animal spirits”— collective emotions and narratives [7]. This opens upthe possibility ofexplaining why formally attractive integration agreements often fail. They ignore the psychological mechanisms oftrust, identity and dignity. The modern theory ofmultilevel integration, which isdeveloped within the framework ofsocial economics and institutional theory, shows that economic agreements should beconsidered through the prism not only oftransaction costs, but also ofcognitive costs and the “value oftrust” [3, 9]. These costs are noless real than financial, asthey determine the legitimacy and viability ofintegration structures. Inthis sense, the psychological architecture ofintegration becomes akey concept that combines behavioral economics, the philosophy ofdignity, and the ethics ofpublic administration. Itis not possible toignore the perspective ofintegral thinking ofK. Wilber, which issupported bya number ofmodern researchers inthe context ofglobal challenges [28]. Integration here appears asa synthesis ofdifferent levels— economic, cultural, psychological, ethical. Without taking into account this synthesis, attempts tobuild unified economic spaces resemble architectural structures without afoundation; they may look strong, but remain vulnerable tothe first serious crisis. Thus, the introduction toour study outlines the central hypothesis. The integration ofnational economies inthe 21st century ispossible only ifit isdesigned asa culture ofdignity that integrates cognitive, behavioral and ethical dimensions into aholistic psychological architecture. Without this, economic models risk remaining abstract schemes, disconnected from human reality. Inthe global economic system, integration increasingly shows signs of“uneven interdependence”, when economies are formally connected into asingle network, but their internal psychological readiness for interaction differs significantly [14]. This gives rise tonew types ofasymmetries that are not always explained bytraditional macroeconomic models. Incountries with alow level ofinstitutional trust, formal agreements often donot turn into real mechanisms ofcooperation, since participants perceive partners through the prism ofhistorical images and stereotypes [11]. Thus, the cost oftransaction costs insuch economies increases not only due toinstitutional gaps, but also due tocultural and psychological biases.
CHAPTER 4. CULTURE OF DIGNITY AS A PSYCHOLOGICAL ARCHITECTURE OF INTEGRATION OF NATIONAL ECONOMIES 125 This requires anew economic methodology that combines institutional analysis and the psychology oftrust, considering them asinterdependent determinants ofintegration processes [8]. Inthis context, itis worth paying attention tothe concept of“economy ofemotions”, which describes how collective affects influence political and economic decision-making [15]. When narratives offear orhumiliation become dominant insociety, they shape the behavior ofcitizens and politicians asstrongly asindicators ofmacroeconomic stability. Integration agreements insuch conditions require not only financial incentives, but also cultural programs aimed atovercoming these negative affects. Without this, economic integration risks remaining an“empty form” that does not transform real relations. The issue oflegitimation ofintegration projects becomes particularly important. Iflegitimacy isconsidered only asa legal instrument, itis possible torisk underestimating its psychological dimension. Research inthe field ofpolitical psychology shows that trust ininstitutions isformed atthe intersection oftwo planes— cognitive (rational assessment ofefficiency) and affective (emotional sense ofjustice) [16]. Successful integration models, asthe EU analysis shows, are based precisely onthe combination ofboth dimensions, namely— citizens perceive institutions aseffective and atthe same time fair. When one ofthese components ismissing, a“trust deficit” arises, which undermines the stability ofeven formally successful economic unions. Anadditional complication isthe phenomenon ofpost-truth, which creates new conditions for the formation ofcollective perceptions [17]. Inan environment ofinformation manipulation, integration processes become especially vulnerable, because rational arguments are often replaced byemotionally colored fake narratives. This imposes new requirements onthe ethics ofpublic administration. Managers must not only develop economic strategies, but also actively work with the psychological resources oftrust. Insuch acontext, the culture ofdignity becomes not only anethical category, but also atool for countering information distortions. Itprovides the basis for critical thinking and collective resilience inthe face ofinformation attacks. Animportant innovation isthe emergence ofconcepts of“behavioral public administration”, which integrate the achievements ofcognitive science into the analysis ofmanagement decisions [18]. This approach shows that even inthe field ofpublic administration, biases and emotions determine the effectiveness ofpolicies asstrongly asformal institutions. For integration processes, this means that managers must take into account not only macroeconomic models, but also the psychological constraints oncitizens’ perception ofpolicies. Here, aculture ofdignity acts asa normative framework that allows the design ofpolicies that are not only effective but also legitimate from the perspective ofcitizens. Finally, integration asa “psychological architecture” implies anew vision ofrationality. Itis not about abandoning rational economic models, but about enriching them bytaking into account multidimensional factors, from affects toethics [19]. A. Sen convincingly showed that development and well-being should beassessed not only inthe categories ofincome orproductivity, but also inthe categories ofopportunities and freedoms. This approach isespecially important for integration processes. Economic unions become sustainable only when they expand the space ofopportunities for citizens, rather than narrowing it. Inthis sense, the culture ofdignity acts asa methodological compass that determines the direction ofintegration not only
126 INTEGRATIVE OPPORTUNITIES OF NATIONAL ECONOMIES towards economic growth, but also towards social justice and coexistence. The work uses aninterdisciplinary approach that combines content analysis ofphilosophical and economic sources, comparative analysis ofintegration practices, and interpretation ofneuroscience and behavioral economics data toidentify psychological mechanisms oftrust and dignity. 4.1 CULTURE OFDIGNITY ASA METHODOLOGY OFINTEGRATION The idea ofintegrating national economies has traditionally been viewed through the prism ofinstitutional mechanisms, regulatory regimes, and standard economic policy instruments. However, inthe 21stcentury, itis increasingly evident that formal constructs donot guarantee either the stability orfairness ofintegration processes. They are able tounite markets, but not consciousness; toagree onrules, but not torecreate trust. Therefore, the methodological dimension ofintegration requires rethinking— atransition from technocratic logic tothe logic ofa culture ofdignity, which sets anew epistemology ofcoexistence. Dignity here appears not asan “ethical decoration” ofeconomic integration, but asits architectonics— the foundation that provides stability where institutions are fragile and markets are volatile [6, 18, 20]. The culture ofdignity asa methodology ofintegration proceeds from the postulate that economic interaction isnever reduced tothe exchange ofgoods and services. Itis always aform ofsocial coexistence, which isdetermined bythe quality ofinterpersonal relations. That iswhy cognitive biases, behavioral patterns and affective attitudes become determining factors ofintegration dynamics. Ifpolitics ignores these factors, itproduces conflict; ifit includes them inthe field ofdignity, ittransforms potential barriers into pillars ofdialogue. Inthis sense, the culture ofdignity functions asan anti-cognitive architecture. Itdoes not eliminate the limitations ofhuman thinking, but teaches tointegrate them into the space ofcoexistence [2, 21]. The European Union has become asymbol ofthe fact that integration can bebased not only oneconomic agreements, but also onthe idea ofdignity asa common foundation. Its project began with pragmatic cooperation incoal and steel, but gradually turned into acommunity where the principles ofequality, human rights and mutual recognition have become asimportant asfinancial incentives [22]. When European integration faced crises, from debt tomigration, itwas the appeal todignity, not just contracts, that allowed for minimal consensus and avoided disintegration [23]. The African Union and Mercosur demonstrate another dimension ofintegration quests: the attempt tobuild a“long horizon oftrust” inan environment where historical trauma and economic asymmetry make stability difficult. InAfrica, integration initiatives have repeatedly encountered alack ofinstitutional trust and post-colonial legacies, but the very existence ofthe African Union asa platform for solidarity testifies tothe search for anew culture ofdignity asthe basis for political and economic unity [24]. InLatin America, Mercosur isexperiencing undulating stages ofdevelopment, from ambitious integration tocrises oflegitimacy. However, even intimes ofdispute, member states have sought tomaintain minimal channels ofcooperation, appealing toa shared cultural heritage and the symbolic idea of“Latin American unity”. Both examples demonstrate that without long-term investment ina culture ofdignity, any economic agreements remain fragile constructs, sensitive topolitical cycles.
CHAPTER 4. CULTURE OF DIGNITY AS A PSYCHOLOGICAL ARCHITECTURE OF INTEGRATION OF NATIONAL ECONOMIES 127 The additional value ofa culture ofdignity lies inthe fact that itis formed not asan external coercion, but asan internal logic ofthe development ofinstitutions and practices. Itoffers analternative toboth classical utilitarianism (the person asa “rational agent”) and the reductions ofneoliberalism (the person asa “consumer”). Dignity overcomes these reductions. Ittakes the individual beyond the roles ofagent orclient and reminds that integration isprimarily about coexistence ina space ofmutual recognition and responsibility [25, 26] (Table 4.1). Table 4.1 Intellectual portraits-episodes: ideas that shape the methodology ofa culture ofdignity inintegration Author /intellectual portrait Key concept / approach Key principles Importance for integration M. Nussbaum [6] Capabilities approach Development does not begin with GDP, but with the real possibilities ofa person tolive with dignity. Emotions— compassion, shame, indignation— are important factors insocial dynamics Integration should bebuilt not only onagreements and tariffs, but onthe creation ofan “infrastructure ofopportunities”: access toeducation, health care, cultural participation W. Welsch [12] Transversal thinking Rejection ofthe extremes ofuniversalism and relativism. Openness toplurality asa condition for development Unity isachieved not through unification, but through the interaction ofdifferences; integration becomes aspace for dialogue and coexistence R. Hackman [27] Team effectiveness and trust The effectiveness ofteams isdetermined bythe quality ofinterpersonal relationships, trust and the distribution ofresponsibility, not control Integration isbased onmutual recognition ofthe parties asequal subjects; itcreates anenvironment ofinnovation and creativity without coercion K. Wilber [28] Integral model ofconsciousness Economic systems are woven into cultural, psychological and spiritual contexts. Consciousness ismultidimensional and requires anintegrated approach Aculture ofdignity corresponds tothe multidimensionality ofreality, combining the material and the immaterial, the local and the global; integration goes beyond the economy S. Krymskyi [29] Dignity asthe basis ofidentity Dignity isthe key tocultural resilience and national identity. Without it, peoples are reduced to“functions” ofglobal markets Dignity allows societies tomaintain subjectivity, form their own integration models and remain active creators ofglobal interaction CONCLUSION Aculture ofdignity isnot analternative torules ormarkets, but their underlying condition. Itreduces the destructive impact ofcognitive distortions not through the illusion of“sterility” but through the discipline ofreflection; itteaches tolive with human limitations sothat they donot turn into institutional fragility. Anew type ofintegration emerges asa practice ofcoexistence— where mutual recognition sets the limits ofwhat ispermissible, and trust shapes the long horizon.
128 INTEGRATIVE OPPORTUNITIES OF NATIONAL ECONOMIES 4.2 COGNITIVE PREJUDICES ASBARRIERS TOINTEGRATION PROCESSES The integration ofnational economies rarely stops atnumbers. Its dynamics are determined not only bytariffs orcurrency regimes, but primarily bycognitive “curbs”, imperceptible because they are embedded inthe way ofthinking. Economic theory has long treated them as“noise” indecision-making, but behavioral economics has shown that itis heuristics, affects and moral intuitions that set the structure ofrationality [2, 30]. Innegotiations, the loss effect isthe first tobe triggered. Losses are perceived much more painfully than symmetrical gains. Therefore, any integration agreement isovershadowed bythe fear oflosing control orsovereignty [13]. Itis reinforced byconfirmation bias. Elites and voters filter information sothat itconfirms existing stereotypes about partners [31]. Added tothis isthe status quo effect— the tendency tooverestimate the risks ofchange and underestimate the risks ofstagnation, which opens upspace for populism [32]. Ingroup bias isparticularly dangerous. Making concessions tothe other side isinterpreted asa humiliation ofone’sown dignity, rather than aninvestment intrust [33]. Asa result, integration becomes an“usversus them” moral drama. The culture ofdignity inthis context becomes acounterframe. Itlegitimizes differences without transforming them into threats. Noless significant are the anchoring effect and framing. The first number uttered orthe way aquestion isphrased can shift the trajectory ofnegotiations more than “real” economic parameters [34]. There isalso the availability effect. Media images ofcrises ordefaults distort risk assessments, outweighing statistical trends [35]. Finally, the halo effect forms astereotypical perception ofthe partner (“good/bad”), which blocks the consideration ofnuances [36]. Thus, decisions innegotiations are explained not only byeconomics, but also bypsychology. Aculture ofdignity inthis case isa requirement for cognitive transparency, honest argumentation, and practices ofmutual recognition. Cognitive distortions are even more pronounced incollective structures. The classic syndrome ofgroupthink describes asituation where the desire for agreement suppresses critical thinking: opponents’ ideas are suppressed, and consensus becomes artificial [37]. Inthe digital age, this effect isamplified byalgorithms. “Echo chambers” and personalized feeds create information cocoons where communities read only themselves and confuse repetition with truth [38, 39]. This generates polarization. Groups oflike-minded people are radicalized, and institutions ofintegration are transformed into scenes ofmutual moral condemnation. Aculture ofdignity does not try tosterilize emotions oreliminate conflict. Itproposes transversal thinking (W. Welsh)— dialogue through recognition ofdifferences, not their unification [12]. This creates acommunication protocol inwhich conflict becomes aresource for development, rather than athreat ofdisintegration. Atthe level ofintegration policy, other distortions operate. Short-termism forces politicians and markets todemand quick results, underfunding institutions oftrust [40]. Overconfidence and the illusion ofcontrol lead tosystematic optimism and underestimation ofchance [41]. Asstudies oflarge-scale projects show, this leads tochronic cost overruns and broken promises [42].
CHAPTER 4. CULTURE OF DIGNITY AS A PSYCHOLOGICAL ARCHITECTURE OF INTEGRATION OF NATIONAL ECONOMIES 129 Here, aculture ofdignity teaches institutional modesty. Recognizing risks, backing public promises with verification mechanisms, and creating safe “corridors oferror”. This allows for the transformation ofvulnerability into aresource oftrust. Big data does not eliminate cognitive distortions, itmagnifies them. Algorithmic biases are built into the design ofsystems, turning the “availability effect” and “motivated thinking” into industrial power [43]. “Smart” feeds and targeted messages create attentional operating systems that manipulate risk and shape a“market offear” [44, 45]. Aculture ofdignity requires not censorship but human design— transparent explanations, clear labels, the right tocorrection and mechanisms for counter-criticism. This reduces the asymmetry ofpower between institutions and citizens. The institutional level confirms that integration collapses where rules remain “empty forms” without trust [46]. Conversely, itholds together where shared norms are rooted inpractices ofmutual recognition and collective governance ofgoods [47]. The EU and ASEAN show two different paths— from the eurozone crisis [23] tothe gradual “slow integration” inSoutheast Asia [48]. Inboth cases, cognitive traps either escalate into populism orare discharged through mechanisms ofsolidarity. This proves that the stability ofintegration unions isimpossible without amoral infrastructure— this isthe function performed bythe culture ofdignity. Ukrainian humanitarian thought confirms this thesis. S. Krymskyi emphasized that dignity isthe basis ofcultural stability. Ye. Holovakha described social illusions that form political errors. V. Paniotto analyzed trust asa scarce social capital. Educational studies have shown that without emotional literacy, integration turns into asimulacrum. All these insights boil down tothe main thing: dignity isa way ofthinking that turns vulnerability into aresource for co-creation. When wesay “anti-cognitive architecture”, weare not declaring war oncognition. Weare only rejecting reductionism, which reduces aperson toa variable ina utility function. The culture ofdignity isa metacognitive regime inwhich differences are not erased, but carried together; inwhich mistakes are not hidden, but announced; inwhich weaknesses are not stigmatized, but become points ofgrowth. Itis this architecture that gives integration achance tosurvive another cycle ofcrisis and populism. CONCLUSION Cognitive biases are not adisease tobe eliminated, but amirror ofour conditioning. Integration without dignity looks into this mirror and sees anenemy. Integration with dignity sees aninterlocutor. The first turns politics into amarketplace offears; the second into aspace ofcoexistence. And ifwe are destined tobuild alliances that can withstand the pressure oftime, then wewill have todo sonot only byreforming the rules, but also bycultivating dignity, asan ethic ofmutual recognition, asa discipline oftransparency, asa pedagogy oftrust. Inthis sense, the culture ofdignity isan anti-cognitive architecture ofintegration: itdoes not promise sterility ofthinking, but creates conditions inwhich human weaknesses become the basis ofresilience.
130 INTEGRATIVE OPPORTUNITIES OF NATIONAL ECONOMIES 4.3 COGNITIVE PREDICTIONS AND PSYCHOLOGY OFMANAGEMENT DECISIONS ININTEGRATION PROCESSES Integration processes inthe modern world resemble acomplex game onthe border ofrationality and emotionality. Astep forward can bedetermined not bycold calculation, but bysudden fear, prejudice orsymbolic gesture. What textbooks call “economic strategies” inreality often turns out tobe acombination ofcognitive distortions and political compromises. Integration isnot only aset ofagreements, but also apsychological game with ideas about justice, dignity and control. Classical economics has long ignored this psychological dimension, drawing anabstract homo economicus who chooses optimal solutions like amachine. But research inrecent decades proves that the real driver ofintegration processes ishomo sapiens affectivus— aperson who reacts torisk through emotions, not through rational formulas[41, 50]. Itis these biases— the “status quo effect”, the “anchor”, the “illusion ofcontrol”— that become the “invisible parliament” that votes for oragainst economic unions. Take, for example, the “loss effect”. Inintegration negotiations, governments often exaggerate the potential loss ofsovereignty and underestimate the benefits ofcooperation. This psychological bias explains why even profitable deals encounter resistance: the familiar seems more valuable than the new. Inthis sense, any integration process isnot only aneconomic but also atherapeutic experiment inovercoming collective anxiety. Another barrier is“anchor thinking”. The first number orfact voiced innegotiations often shapes the perception ofthe deal regardless ofthe real data. When one side mentions “inflated expectations” or“catastrophic risks”, even the strongest arguments then revolve around this starting point. Asa result, compromises are not built onobjective calculations, but onpsychologically imposed guidelines. Ukrainian economists and philosophers, inparticular V. Kebuladze and O. Gerasymchuk, rightly note that integration inthe case ofUkraine isprimarily achallenge inovercoming “mental traps”, and not only inchanging legislation [59]. Indeed, institutional reforms are blocked not somuch bya lack ofresources asby cognitive inertia— fear ofthe new, belief inthe “eternity” ofold practices. Brexit isa vivid example ofhow prejudices determine the fate ofintegration projects. The “loss effect” played akey role here. The British were afraid oflosing their imaginary independence, even ifthe economic benefits from the EU were obvious. Logic said “remain”, but the symbols ofthe red passport, fear ofmigrants and the illusion ofrestored control prevailed. This isnot economic arithmetic, but the psychology ofimages, which can outweigh rational calculation [51]. Asimilar situation occurred with the failure ofthe EU Constitution inFrance and the Netherlands in2005. Citizens who enjoyed the benefits ofintegration voted against its symbolic consolidation. Here aconservative psychological mechanism manifested itself. People overestimated the risks ofchange and underestimated the risks ofstagnation [23]. Inother words, ahistorical chance was lost not because ofeconomic calculations, but because ofpsychological discomfort with the unknown. Onan international scale, the “trade wars” between the US and China also show psychological logic. “Groupthink” and the “hostility effect” push the parties toescalate, even when compromise would bemore beneficial [53]. Instead ofrational dialogue, itis possible tosee atheater ofsymbols, where the stakes are determined byprestige and fears, not economic models.
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