The 2022 Nobel Prize in Economics recognized excellent work in economics. No one will dispute that. However, the Nobel committee did not display the kind of even-handedness we have seen in the past. I remember when the Diamond-Dybvig model was first put forward. It energized discussion of the role of central banks and supported their …
The 2022 Nobel prize in economics will be announced tomorrow, Monday, October 10. Of course, it is not a “real” Nobel prize but rather the “Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel” but I will use the conventional phrase “Nobel prize in economics.” The official name does raise an interesting question. Why …
I have documented errors in economics papers and pointed out the arguments for why economists say they can’t do better. In a real science, authors would fix errors others have found before publishing their paper. Not in economics. In 2001, I became aware of a working paper version of “Equilibrium Welfare and Government Policy with …
I often ask macroeconomists why their models are so simple, far simpler than the real world. I asked one macroeconomist what “constraint prevents you from examining less simplified models?” His answer was clear and direct: “In my case it’s IQ” but he goes on to claim that this is true of “mainstream macro people.” He …
I will be hosting a variety of Zoom lectures and workshops starting Tuesday. The first one will be presented by the estimagic team. Economics has been hampered by the fractured collection of software tools typically used by economists, the lack of free software designed to solve their problems, and the absence of organized efforts to …