Has anyone even heard about the debate between John Kay and others: There is an interesting paper by Paul Davidson as a response which I think merits attention fromheterodox economists.
He starts by saying: Kay attempts to explain why mainstream economic theory does not provide a "science" approach to learning about the economic world in which we live. Kay indicates that the claim by mainstream economists’s (e.g., Lucas, Cochrane) for rigor, consistency, and mathematics in economics has created the basis for the low reputation of economists - especially since the financial crash of 2008 was not foreseen by their theory. John Kay’s argument suggests that the love of rigor and mathematics and the use of computer models has encouraged the use of efficient market theory. Whether they declare themselves Monetarists, Rational Expectation theorists, Neoclassical Synthesis [Old] Keynesians or New Keynesians, the backbone of their theories is the efficient market analysis where the future can be known. David Barkin Mexico Institute for New Economic Thinking published a paper, written by John Kay, that deals with the relationship between economics and the world we live in. The Map Is Not the Territory : An Essay on the State of Economics spells out methodological critiques of economic theory in general, and of DSGE models and rational expectations in particular.
_______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
