Comments on: Is economics not transparent enough?

By: Matt Nolan

Matt Nolan — Mon, 25 Aug 2008 00:18:42 +0000

“Isn’t that what the mainstream inflation expectations and consumption models are all about?”

Indeed and that raises the question:

“However, if us economists can’t agree on the appropriate characterisation of an economic actor (and thereby we adjust our characterisation in an ad hoc manner), how can the results of our economic models be transparent (as what determines the fundamental “rational agent” is unclear)?”

- I would term a lot of modern inflation expectations and consumption models as ad hoc.

As a result, is our set of value judgments actually as transparent as we say it is?

By: CPW

CPW — Sun, 24 Aug 2008 22:11:47 +0000

There is a simple answer, have a model where some agents are rational and some agents are impressionistic, then it is just a matter of calibrating the percentage of each until we match reality! Isn’t that what the mainstream inflation expectations and consumption models are all about?

By: John

John — Fri, 22 Aug 2008 08:45:39 +0000

“It’s not a science it’s…[forgot the rest]“….> Frog.

By: Matt Nolan

Matt Nolan — Fri, 22 Aug 2008 03:10:41 +0000

“Thanks Kissinger. Wise words there from a brave mortal-combating 5-year old, taken before his time to everyones detriment, to be sure.”

Love the sarcasm – you can tell it is now past 3pm on a Friday afternoon

By: Kimble

Kimble — Fri, 22 Aug 2008 03:04:53 +0000

Thanks Kissinger. Wise words there from a brave mortal-combating 5-year old, taken before his time to everyones detriment, to be sure.

By: Kissinger

Kissinger — Fri, 22 Aug 2008 02:43:11 +0000

Paper should be edible, nutritious. Inks used for printing or writing should have delicious flavors. Magazines or newspapers read at breakfast should be eaten for lunch. Instead of throwing one’s mail in the waste-basket, it should be saved for the dinner guests.JohnCageJohn Cage, M, Writings 1967 – 1972

By: Matt Nolan

Matt Nolan — Fri, 22 Aug 2008 02:32:24 +0000

“second place, or third.”

I have to admit that I enjoyed that quote as well.

I made this post as I was just wondering if anyone had anything to say about transparency (given that some people feel that even though economics is explicit about its assumptions, it is still not transparent). However, there are no comments from anyone that thinks that yet

By: Kimble

Kimble — Fri, 22 Aug 2008 01:44:30 +0000

28. The speaker apparently believes that there is still one free lunch.

wins imo

“Perhaps this suggests a methodological narrowness to neoclassical economics. But equally, it is the clarity of the framework that gives economic analysis its power.”

second place, or third.