Wednesday, 27 October 2010

The Problem with Economists: Keynesian, Monetarist, and Pragmatist

The fact is that economists differ in their advice because they are paid to differ. There are very few self employed economists. Ronald Brech of Wimbledon was one such economist, and I had the immense joy of working for him. His ideas evoked brilliance compared with the run of the mill economists that I have had to deal with before or since.

Maybe it's being an independent economist that helps one achieve the understanding of business and macroeconomics simultaneously, but I don't think that it's just that. One must add that economists are pretty awful if they are not totally immersed in reading economic history very thoroughly. The worst economists are those that come out of mathematics and try to give the idea that mathematics is the be all and end all of the science.

They are dead wrong and the huge monster mistakes their notions can spread is horrendous.

So get an economist who is steeped in economic history and pragmatism, knows that business cycles are a very real phenomenon and has the wisdom to understand how money works an economy. You are bound to get better policy as a result.

We see the buying off of economic policy in political events and campaigns. Paid off economists, the ones that can be bought for a dime will tell the political candidates and the public what they want to hear. Things like the economy needs a stimulus are always popular so these economic solutions come simultaneously from the mouths of paid off economists of opposing sides in economic debates. Give us a break!

Especially economists in universities are paid off so don't think they are slightest bit independent. No, to find an economist that is not bought by politicals or comp orates, is just plain difficult.

Will ye no think kindly on those who would be your friends! May the sun shine with your thoughts, today, and happiness grow in your heart! May you allow yourself some peace of mind.

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Sketches from scratches is a provocative blogspot that has grown out of the Wuh Lax experience. It is eclectic, which means that it might consider just about anything from the simple to the extremely difficult. A scratch can be something that is troubling me or a short line on paper. From a scratch comes a verbal sketch or image sketch of the issue or subject. Other sites have other stuff that should really be of interest to the broad reader. I try to develop themes, but variety often comes before depth. ... more!