The validity of a theory proper does not depend on the correspondence or lack of it between the assumptions of the theory or its conclusions and observations in the real world. A theory as an internally consistent system is valid if the conclusions follow logically from its premises, and the fact that neither the premises nor theconclusions correspond to reality may show that the theory is not very useful, but does not invalidate it.Such disdain for empirical verification is not found in the physical sciences.
The validity of a theory proper does not depend on the correspondence or lack of it between the assumptions of the theory or its conclusions and observations in the real world. A theory as an internally consistent system is valid if the conclusions follow logically from its premises, and the fact that neither the premises nor theconclusions correspond to reality may show that the theory is not very useful, but does not invalidate it.
Its popularity in the social sciences is sponsored by vested interests.
That follow on sentence from your quote is the qualifier. Economics is, despite all of the mathematical mumbo-jumbo surrounding it, a social science. That is, its theories are simply competing opinions detached from observable behaviour where the biggest backer wins. keep to the Fen Causeway
Disciplines that don't have the luxury of quantitative data where statistics can be applied (say, cultural anthropology as opposed to physical anthropology) fall under humanities, I guess, not social science. En un viejo país ineficiente, algo así como España entre dos guerras civiles, poseer una casa y poca hacienda y memoria ninguna. -- Gil de Biedma
Just because something looks algorithmic and has numbers in it doesn't mean that the algorithms are meaningful, interesting, or useful.
The entire NCE project was, is, and continues to be, PR and political spin.
my book describes the "intellectual engineering" that has turned the economics discipline into a public relations exercise for the rentier classes criticized by the classical economists: landlords, bankers and monopolists. It was largely to counter criticisms of their unearned income and wealth, after all, that the post-classical reaction aimed to limit the conceptual "toolbox" of economists to become so unrealistic, narrow-minded and self-serving to the status quo.
It turns out that Economics is Politics after all. En un viejo país ineficiente, algo así como España entre dos guerras civiles, poseer una casa y poca hacienda y memoria ninguna. -- Gil de Biedma
It turns out that Economics is Politics after all.
If I am going to do that I might as well go ahead and try to learn at least ordinary differential equations. Then I would better be able to follow Steve Keen's work. Any recommendations for Differential Equations for Dummies? Or is there such a book and is it useful? As the Dutch said while fighting the Spanish: "It is not necessary to have hope in order to persevere."
This is the real scandal
