Despite the rise of behavioral economics, many economists still believe that utility maximization is a good explanation of human behavior. Although evidence from experimental economics and elsewhere has rolled back the assumption that human agents are entirely self-interested, and shown that altruism and cooperation are important, a prominent response has been to modify individual preference […]
economics
. Ett av de grundläggande feltänken i dagens diskussion om statsskuld och budgetunderskott är att man inte skiljer på skuld och skuld. Även om det på makroplanet av nödvändighet är så att skulder och tillgångar balanserar varandra, så är det inte oväsentligt vem som har tillgångarna och vem som har skulderna. Länge har man varit motvillig att öka de […]
Teaching economics students the fundamentals of the utility theory used in mainstream economics is a bit of a challenge. But I guess we all expect the professors to know what they are teaching … At a meeting of the American Economic Association (AEA), 200 of the professional economists present were asked to answer the following […]
To yours truly, the real value of Appelbaum’s meticulously researched history of how economists have come to increasingly influence public policies in modern societies, is that it shows how fundamentally ideological economics is. Of course, you never hear anyone at our seminars telling the lecturer that the assumptions on which his models are built are […]
One of the most important tasks of social sciences is to explain the events, processes, and structures that take place and act in society. Explanations are important within science since the choice between different theories hinges in large part on their explanatory powers. The most reasonable explanation for one theory’s having greater explanatory power than […]
I have been travelling for most of today so I have to keep this post short. Well shorter than usual. Edward Palmer Thompson – who died at the age of 69 in 1993, was a British writer who wrote the exceptional book – The Making of the English Working Class – which was a very…
Egentligen är det märkligt att den ekonomiska mainstreamteorins företrädare inget verkar vilja lära av historien och åter under senaste tiden stått tämligen handfallna inför den nuvarande ekonomiska krisens härjningar runtom i världen. Speciellt erfarenheterna av den stora depressionen under mellankrigstiden borde annars vara lärorika. Att den neoklassiska ekonomiska teorin stod handfallen när denna bröt ut […]
. Mainstream economists have always wanted to use their hammer, and so have decided to pretend that the world looks like a nail. Pretending that uncertainty can be reduced to risk and that all activities, relations, processes, and events can be adequately converted to pure numbers, have only contributed to making economics irrelevant and powerless […]
Mainstream economics has sadly made economics increasingly irrelevant to the understanding of the real world. Trying to contribute to making economics a more realistic and relevant science, yours truly launched this blog in 2011. Now, thirteen years later and with millions of page views yours truly is — together with people like e.g. Paul Krugman, […]