A note on critical realism as a research philosophy

A note on critical realism as a research philosophy [information from perplexity.ai]

My question 1: "What are the main ideas of the research philosophy of critical realism with reference to the fields of (1) business management, (2) housing studies and (3) accounting and finance?"

The reply: "Critical realism (CR) is a philosophical approach that seeks to understand the complex interplay between structures and agency in social phenomena. It posits that an objective reality exists independently of human perception while acknowledging the impact of social structures and individual interpretations. This philosophy has significant implications across various fields, including business management, housing studies, and accounting and finance.

Business Management

In business management, critical realism provides a framework for understanding organizational dynamics by emphasizing the importance of causal mechanisms that shape business practices. It encourages researchers to explore the underlying structures that influence organizational behavior, rather than merely describing observable phenomena. Key applications include:

• Meta-theoretical Framework: CR helps in overcoming meta-theoretical obstacles that can limit theoretical development, enabling a more nuanced understanding of organizational contexts210.
• Causality: Emphasis is placed on identifying causal mechanisms that drive organizational change and performance, allowing for a deeper analysis beyond surface-level observations15.
• Methodological Rigor: CR advocates for a mixed-methods approach, combining qualitative and quantitative research to capture the complexity of organizational realities210.

Housing Studies

In housing studies, critical realism serves as a valuable philosophical lens for examining the intricate relationships between social structures and housing outcomes. It highlights several critical aspects:

• Causal Tendencies: CR focuses on the causal mechanisms that shape housing policies and practices, enabling researchers to understand how different social arrangements influence housing solutions over time37.
• Comparative Analysis: The philosophy supports comparative studies across different contexts (e.g., housing systems in Australia vs. the Netherlands), allowing for insights into how historical and structural factors affect housing pathways7.
• Realism vs. Social Constructionism: CR provides a counterpoint to social constructionist approaches by asserting that while perceptions of housing realities are socially constructed, there are underlying structures that exist independently and influence these perceptions43.

Accounting and Finance

In accounting and finance, critical realism offers a framework for understanding financial practices and their implications within broader socio-economic contexts. Its main contributions include:

• Understanding Structures: CR emphasizes the importance of recognizing both the empirical (observable) and real (underlying) aspects of financial phenomena, which allows for a more comprehensive understanding of financial reporting and accountability56.
• Causal Mechanisms in Financial Decision-Making: The philosophy encourages exploration of the causal mechanisms behind financial behaviors, such as how institutional structures impact decision-making processes within organizations19.
• Emancipatory Goals: By rejecting strict positivism, CR aligns with emancipatory goals in accounting research, aiming to uncover injustices or inefficiencies within financial systems through a deeper analysis of underlying causes510.

In summary, critical realism provides a robust philosophical framework across various fields by facilitating a deeper exploration of causality, structure-agency relationships, and the complexities inherent in social phenomena. Its application encourages researchers to look beyond surface-level observations to uncover the underlying mechanisms that shape behaviors and outcomes in business management, housing studies, and accounting and finance."

My question 2: "What are the main academic concepts and investigation techniques to employ with using critical realism in dissertation projects with reference to (1) business management, (2) housing studies and (3) accounting and finance?"

The reply: "Critical realism (CR) offers a robust philosophical foundation for dissertation projects across various fields, including business management, housing studies, and accounting and finance. Below are the main academic concepts and investigation techniques relevant to each field.

Business Management

Academic Concepts

• Causal Mechanisms: CR emphasizes understanding the underlying structures and mechanisms that drive organizational behavior. This involves looking beyond observable events to identify deeper causal relationships.
• Stratified Ontology: CR posits a layered reality consisting of the real, actual, and empirical domains. This stratification helps researchers differentiate between underlying structures (real), events (actual), and observations (empirical) in business contexts.

Investigation Techniques

• Mixed Methods: Employing both qualitative and quantitative approaches allows for a comprehensive analysis of complex organizational phenomena. For instance, case studies can be combined with surveys to gather rich data.
• Qualitative Comparative Analysis (QCA): This method aligns well with CR by allowing researchers to explore configurations of conditions that lead to specific outcomes, facilitating a deeper understanding of causal patterns in business settings1.

Housing Studies

Academic Concepts

• Emergent Properties: CR highlights that social phenomena, such as housing markets, have emergent properties that cannot be reduced to their individual components. This perspective aids in understanding complex housing dynamics.
• Social Structures: Understanding how social arrangements influence housing outcomes is crucial. CR encourages examining the interplay between agency and structure within housing systems.

Investigation Techniques

• Case Studies: Detailed case studies allow researchers to explore specific housing contexts deeply, revealing the causal mechanisms at play. This technique is particularly useful for comparative analysis across different geographical settings24.
• Framework Analysis: This qualitative method helps organize data systematically, making it easier to identify themes and patterns related to housing issues while maintaining a critical realist perspective7.

Accounting and Finance

Academic Concepts

• Ontological Realism: CR asserts that an objective reality exists in accounting practices, which can be studied through a critical lens. This approach helps uncover the structures influencing financial reporting and decision-making.
• Agency vs. Structure: The interplay between individual agency and institutional structures is central to understanding financial behaviors within organizations.

Investigation Techniques

• Retroduction: This technique involves moving from empirical observations to theoretical explanations, allowing researchers to infer underlying structures from qualitative data gathered through interviews or focus groups3.
• Comparative Analysis: Researchers can compare different accounting practices or financial systems across contexts to identify causal tendencies and their implications for practice5.

In summary, critical realism provides valuable concepts and methodologies that enhance the depth and rigor of research in business management, housing studies, and accounting and finance. By focusing on causal mechanisms and employing mixed methods, researchers can uncover the complexities of social phenomena in these fields."

My question 3: "What are the main research gaps and challenges of practice with regard to using critical realism in dissertation projects with reference to business research, housing studies and accounting & finance?"

The reply: "Using critical realism (CR) in dissertation projects presents several research gaps and challenges across various fields, including business research, housing studies, and accounting & finance. Below are the key issues identified in each area.

Business Research

Research Gaps

• Theoretical Development: There is a need for more comprehensive theoretical frameworks that integrate critical realism with contemporary business theories. Current literature often lacks depth in exploring how CR can inform business practices and decision-making processes.
• Causal Mechanisms: Identifying and articulating causal mechanisms that influence organizational behavior remains underexplored. More empirical studies are needed to validate the assumptions of CR regarding how structures impact agency in business contexts.

Challenges

• Methodological Rigor: Employing mixed methods effectively can be challenging, as researchers may struggle to balance qualitative and quantitative data without compromising the integrity of their findings. The integration of diverse methodologies requires careful planning and execution13.
• Navigating Complexity: The stratified ontology of CR necessitates a nuanced understanding of social phenomena, which can complicate research design and data interpretation. Researchers may find it difficult to operationalize concepts like emergence and causality in practical studies14.

Housing Studies

Research Gaps

• Narrow Focus: Many studies within housing research using CR have a limited scope, which can affect the generalizability of findings. Expanding research to include diverse contexts and populations could enhance the applicability of results25.
• Underexplored Contexts: There is a lack of investigation into how different housing systems interact with social structures. More comparative studies are needed to understand the implications of various housing policies across different regions.

Challenges

• Data Collection Limitations: Researchers often face challenges in obtaining comprehensive data that captures the complexity of housing phenomena. Issues such as restricted sample sizes can limit the robustness of findings and their applicability to broader contexts28.
• Conceptual Clarity: The concepts used in CR, such as social structures and emergent properties, may not always be clearly defined or understood within housing studies. This ambiguity can hinder effective communication of research findings56.

Accounting & Finance

Research Gaps

• Emancipatory Potential: There is an ongoing debate about how to fully realize the emancipatory potential of critical realism in accounting research. More work is needed to explore how CR can contribute to social justice within financial practices67.
• Integration with Existing Frameworks: Critical realism has yet to be fully integrated with established accounting theories, limiting its impact on the field. Researchers need to bridge this gap by developing frameworks that incorporate CR principles into accounting practices.

Challenges

• Legacy of Empiricism: Many accounting researchers continue to rely on empiricist methodologies, which may undermine the critical insights that CR could provide. This reliance poses a challenge for advancing radical critiques of existing accounting practices36.
• Complex Causality: Understanding complex causal relationships in accounting and finance is difficult due to the interplay between various factors influencing financial decisions. Researchers must navigate these complexities while adhering to CR principles, which can complicate analysis and interpretation34.

In summary, while critical realism offers valuable insights for dissertation projects across business research, housing studies, and accounting & finance, it also presents notable research gaps and challenges that require careful consideration and innovative approaches from researchers."

Reference: a collection of blog notes on using chatgpt for research purpose.