From Aaron Schiff: A model should not be judged solely by its assumptions (although highly dubious assumptions are not a good thing). Rather we should focus on the model’s ability to teach us something, and its ability to explain the economics of something in a plausible way. To summarise, a model does: Highlight the incentives …
Monthly Archive: April 2010
Permanent link to this article: http://www.tvhe.co.nz/2010/04/14/economic-models/
Apr
13
2010
Attacks from the left and the right on economics
One thing I have noticed in my time is that people on the political left and right both attack “mainstream economics” with abandon. This is good, as a discipline has to be able to explain itself widely and be willing to face criticism. However, it is one of the elements of these attacks that interests …
Permanent link to this article: http://www.tvhe.co.nz/2010/04/13/attacks-from-the-left-and-the-right-on-economics/
Apr
12
2010
Data and prediction
Via Scott Sumner we saw the following article that mentions economic data and economic predictions. The statements that stood out to me were: (Economic) predictions are, of course, the bread and butter of economic institutions. But can we believe them? In recent years, some economists have begun to express doubts over predictions made from huge …
Permanent link to this article: http://www.tvhe.co.nz/2010/04/12/data-and-prediction/
Apr
01
2010
Mankiw is right again – this time on prediction
This time on how Economics as an academic discipline will not have to have the wholesale changes some peoples are suggesting. He is right when he says the focus of economists and economic teaching is not on prediction. However, I would also say that economists HAVE sold the idea that they can predict when talking …
Permanent link to this article: http://www.tvhe.co.nz/2010/04/01/mankiw-is-right-again-this-time-on-prediction/
Recent Comments