The Invisible Hand in Economics (Paperback)

The paperback edition of The Invisible Hand in Economics: How Economists Explain Unintended Social Consequences (Routledge) is available from Amazon.com.

The Invisible Hand in Economics

The Invisible Hand in Economics - N. Emrah AYDINONAT

Catch 22 for History of Economic Thought

Here is Doug Mackenzie’s formulation of Catch 22 for HET at the SHOE list:

“That is a catch 22: they must believe that HET leads to pubs in top
journals, but top journals will not bother with HET unless most
economists see it as important. Of course, HOPE and JHET are good
hits for any economist, so long as they have hits in mainstream
journals, but HET is at best optional for most economists. Another
avenue is teaching, its pretty common for mainstream economists to
babble about how Arrow and Debreu formalized Smith’s conjecture or
how Keynes converted everyone in the universe to his view in less
that ten minutes, and they look foolish to anyone who knows HET.
Trouble is that they mostly preach this nonsense to those who know no
better, so there is no embarrassment factor. How then can the
foolishness of knowing virtually nothing about the history of ones
own alleged area of expertise be made apparent? How can we make the
feel as foolish as they are?” (Source)

I especially like the second part.

This was a response to a post which was reporting that at least three distinguished professional economists (full professors) did not know about Frank Knight. You are advised to read the entire tread.

HOPE Conference 2011 Call for Papers

“A history of observation in economics”

conference organisers: Harro Maas & Mary Morgan

The annual HOPE Conference in 2011 will take place in late April or early May of that year, and the topic for the meeting will be the history of observation in economics (see discussion below).
Continue reading HOPE Conference 2011 Call for Papers

Postdoc positions at TINT

TINT is an collective endeavour investigating interdisciplinary and intertheoretic dynamics in the social sciences and beyond, mainly from the point of view of philosophy of science, but historical and social perspectives are also supported. TINT is sponsored by the Academy of Finland and is located at the Department of Philosophy of the University of Helsinki. For further details, including current sub-projects, team members, and publications, please check http://www.helsinki.fi/tint
Continue reading Postdoc positions at TINT

David Colander’s “Beyond the rhetoric of pluralism” + comments by Geoff Hodgson, Uskali Mäki & Dimitris Milonakis

Previously I have announced that we (Uskali Mäki and me) were organizing a special session on pluralism and heterodoxy in economics at the EAEPE 2009 conference in Amsterdam. If you missed this event, you may still get a taste of it below. (You are especially missing the lively and fruitful discussion at the end.)

Before you proceed please note that a rather strange comment concerning this session appeared in the Heterodox Economics Newsletter. The editor of the newsletter Fred Lee makes the following comment concerning the session:

There was also a session on pluralism and heterodoxy in economics. Themes, comments, and feelings that emerged from it included the notion that pluralism should not be considered an important value for economists because it offended mainstream economists; that heterodox is a term that should not be used and that economists should not identify themselves as heterodox economists; that young economists should not spend much of their time studying heterodox economics; and that graduate students from heterodox programs were not competitive enough on the job market relative to mainstream students. No heterodox graduate programs were named, but programs at UMKC, UM-Amherst, American University, New School, SOAS, Bremen, and the University of Sydney are the reference targets. A rather strange session where apparently the intent was to make heterodox economists and their graduate students feel unwelcome at EAEPE.

EAEPE encourages pluralism and welcomes heterodox approaches. The special session itself was pluralistic. And no unified view emerged at the end of it. The discussion at the end was lively and was full of differing views on pluralism and heterodoxy in economics. The aim of the special session was to open David Colander’s views to discussion. And I think we have accomplished just that. Uskali Mäki, Geoff Hodgson and Dimitris Milonakis presented their comments and criticism concerning David Colander’s paper. Moreover, at the end of the session scholars such as Ben Fine made extensive comments on Colander’s views. For these reasons I do not understand how Fred Lee could say that  the sessions “intent was to make heterodox economists and their graduate students feel unwelcome at EAEPE.” Our aim was to discuss different views on pluralism and heterodoxy in economics, and David Colander’s paper was in fact a very good target paper for doing that. David Colander’s paper “Moving Beyond the Rhetoric of Pluralism” is available at EAEPE website and could be downloaded by clicking here. We are planning to publish the comments by Uskali Mäki, Geoff Hodgson and Dimitris Milonakis online (at the EAEPE web site) for future discussion.

For now, you could read Colander’s paper and watch the videos below and join the discussion.

David Colander’s talk at EAEPE Conference 2009 (8 November 2009, Amsterdam)

The talk is based on David Colander’s “Moving Beyond the Rhetoric of Pluralism”. The paper is available at EAEPE website and could be downloaded by clicking here.

Comments by Geoff Hodgson, Uskali Mäki and Dimitris Milonakis are below.

Geoff Hodgson’s comments on Colander’s paper:

And Uskali Mäki’s comments: (Sorry for the low quality of the video. This was filmed with a mobile phone.)

And finally, Dimitris Milonakis’ comments. (Note that this is only a part of the talk. The other half of the talk could not be recorded because of a technical problem.)

Pluralism and heterodoxy in economics

EAEPE 2009 Conference Venue

EAEPE 2009 Conference Venue

We are organizing a special session on Pluralism and Heterodoxy in Economics at this years EAEPE conference. The session will be organized around David Colander’s paper entitled “Moving Beyond the Rhetoric of Pluralism: Suggestions for an “Inside-the-Mainstream” Heterodoxy “. The discussants are Geoff Hodgson, Dimitris Milonakis & Uskali Mäki.

You may also be interested in the following sessions concerning Economic Methodology (Research Area A)

Saturday 7 November, 08h45-10h45 Research area A – Room: E0.03

  • Chair: Ana Santos
  • Hansen: The Stern review and its critics: Putting economics at work in an interdisciplinary setting
  • Engelen: My way or the highway: Why economists should stop isolating themselves from other social scientists
  • Wells: What kind of economics is Amartya Sen’s capability approach and where is it going?
  • Chiusi: A two-tier structure for normative theory appraisal

Saturday 7 November, 11h00-13h00 Research area A – Room: E0.03

  • Chair: Uskali Mäki
  • Boland: Models vs. theories: a generation gap
  • Martinez: Good predictions and bad policies? A critique of methodological instrumentalism in economics
  • Boldyrev: Ontology of economics: an interpretive perspective
  • Denis: Methodological individualism: some notes on orthodox and heterodox views

Saturday 7 November, 14h30-16h30 Research area A – Room: E0.03

  • Chair: Bart Engelen
  • Maki: One size does not fit all: scientific realism and disciplinary diversity
  • Hirsch: Interdisciplinarity in the social sciences: the case of Williamson’s transaction cost economics
  • Aydinonat: Interdisciplinary perspectives on the origin of money
  • Stanek: Plurality of theories and its realist interpretation: the case of money

Saturday 7 November, 16h45-18h45 Research area A – Room: E0.03

  • Chair: Thomas Wells
  • Daemen: The cash value of performativity in finance
  • Sappinen: Economics imperialism writ large – the reflexive impact of neo-institutional and organizational economics
  • Santos: Choice architecture and design economics: theoretical implications
  • Su: John Stuart Mill on political economy as a moral science: Reconsider the distinction between positive and normative economics

Sunday 8 November, 08h45-10h45 Research area A – Room: E0.03

  • Special session: Pluralism and heterodoxy in Economics
  • Chair: Emrah Aydinonat
  • Colander: Beyond the rhetoric of pluralism
  • Discussants: Geoff Hodgson, Dimitris Milonakis & Uskali Mäki

Sunday 8 November, 11h00-13h00 Research area A – Room: E0.03

  • Chair: Jorma Sappinen
  • Alierta: Technical change and wages in a (evolutionary) general system
  • Gagliardi: Diversity in socio-economic systems: from unilinear to institutional views
  • McMaster: Situating care and dignity in health economics.
  • Klarl: Modelling the folk theorem of spatial economics: a heterogeneous regional growth model

More info at http://eaepe.org/

How Did Economists Get It So Wrong? Replies to Krugman and more

You already know Krugman’s “How Did Economists Get It So Wrong?“. You may want to read the following:

Also see: Barry Eichengreen’s piece.

Thanks to Greg Mankiw and Ceyhun Elgin for the pointers.

Review by Mark Blaug

Mark Blaug’s review of The Invisible Hand in Economics is here.

Here is how the review starts:

This is a splendid book about a controversial concept in economics…

New Issue of EJPE

A new issue of The Erasmus Journal for Philosophy and Economics (EJPE) is available online at http://ejpe.org

Latest issue of EJPE is full of interesting articles (once again). I especially recommend Jack Vromen’s “The booming economics-made-fun genre: more than having fun, but less than economics imperialism“. It is a must read.

How Did Economists Get It So Wrong?

Foto: Wikimedia Commons, Dosya: 800px-Financialcrisisconsumerspendings.JPG

Photo source: Wikimedia Commons, File: 800px-Financialcrisisconsumerspendings.JPG

“[...] the economics profession went astray because economists, as a group, mistook beauty, clad in impressive-looking mathematics, for truth. [...] When it comes to the all-too-human problem of recessions and depressions, economists need to abandon the neat but wrong solution of assuming that everyone is rational and markets work perfectly. The vision that emerges as the profession rethinks its foundations may not be all that clear; it certainly won’t be neat; but we can hope that it will have the virtue of being at least partly right. “

These are Paul Krugman’s words. You may read the full article here.

The question is the following: Will philosophers of economics come to the rescue?