Articles

The more reflexive mode brought by the financial crisis to macroeconomics made economists more outspoken about methodological, historical and sociological issues: how have we come to the DSGE dogma? What are its limitations? How can we produce alternative knowledge? Do publishing practices favor a “monolithic” thinking, and if so, how can we change it? What about the graduate training in economics?

The last straw in the enduring blog debate over microfoundations has taken a decisive historical turn.

Adair Lord Turner’s powerful comments about the global economy’s addiction to private debt are continuing to reverberate around the world.

Bubbles have become a major focus of discussion in today’s financial markets. But very few people actually define what they mean when describing this financial phenomenon.

Does it matter if the Rational Expectations Hypothesis is unrealistic?

Why does Benn Steil’s history of Bretton Woods distort the ideas of Harry Dexter White?

Adair Lord Turner, former Chairman of Great Britain’s Financial Services Authority and current Senior Fellow at the Institute for New Economic Thinking, argued in a keynote address to the Federal Reserve Bank of Chicago on Thursday that central banks must be equipped in future to address the dangers of excessive private sector leverage, using both pre-emptive interest rate policy and macro-prudential policy tools.

Inequalities in skills are fundamentally linked to economic and social inequalities.

So, most Nobel Prize exegetes went a long way, this week, toward explaining that asset pricing is not primarily born out of theoretical reflection but out of prize-deserving empirical work.

Friedrich von Hayek described the economist’s task as demonstrating how little we really know about what we imagine we can design