We hear a lot about the failures of economics to perfectly predict the future. I’ll admit to being puzzled about that argument. What is the measuring stick here? Is Economics worse at predicting the future than English Literature or Philosophy? Obviously not. But equally obviously, the comparison in the criticism of Economics is to Chemistry, Physics or Biology, which do very well at predicting the future in laboratory experiments. Economists do like to compare themselves to the natural … [Read more...] about What is a Social Science?
Modern Society
Extreme Economies
For obvious reasons, I am frequently asked for recommendations of good economics books for non-economists. There are not nearly as many options as one would hope. There are lots of interesting books on particular topics, but not that many that I can just recommend to anyone. There is a new book that fits this category perfectly which I am happy to recommend to one and all. Richard Davies: Extreme Economies: What Life at the World’s Margins Can Teach Us About Our Own Future. Davies … [Read more...] about Extreme Economies
What Economic Models Can and Can’t Tell Us
It has been obvious from the coverage of the coronavirus pandemic that most people simply do not understand the nature of models. This is not surprising. Models are messy things, and few people have spent much time thinking about how they work. There are two parts to a model. First, there is the structure of the model, which is a bunch of mathematical equations that show how one thing is connected to another. The number of equations and the mathematical complexity of the equations can both … [Read more...] about What Economic Models Can and Can’t Tell Us
Trippin’ With Pollan
Wanna try some LSD? Or ‘shrooms? How about some toad venom?According to Michael Pollan…yes, that Michael Pollan, the well-respected author of The Omnivores Dilemma, the guy whose advice you would never be embarrassed to admit you were following, according to That Michael Pollan…your answer should be an enthusiastic Yes. How to Change Your Mind is a 400 page (New York Times Book Review Top 10 Book of the Year in 2018!) argument about the amazing benefits of psychedelic drugs. Here is the … [Read more...] about Trippin’ With Pollan
You Like Comic Books?
Nothing arouses greater bewilderment in my students than when I mention that I enjoy reading comic books. It’s as if there is a thought bubble over their heads containing the words, “Uh, you are a college professor and you like comic books?!?!” Thought bubbles are part of the language of comic books, by the way. Scott McCloud’s Understanding Comics: The Invisible Art is an attempt to explain the medium. If McCloud is right, then not only should you stop despising the form, you really … [Read more...] about You Like Comic Books?
Want to Hear a Story?
Would you rather hear a story or work through an economic model? Yeah, I know that is a very tough question to answer. They are both so enticing. Fortunately, a good story and an economic model are not as different as you think. Robert Shiller wants to talk about stories. Narrative Economics: How Stories Go Viral and Drive Major Economic Events is all about stories. Bitcoin, Rubik’s Cubes, Stock Market Bubbles, Social Distancing. OK, that last one isn’t in this book, but it will almost … [Read more...] about Want to Hear a Story?