Truth and validity15 August, 2016 at 14:01 | Posted in Theory of Science & Methodology | 1 Comment
Mainstream economics has become increasingly irrelevant to the understanding of the real world. The main reason for this irrelevance is the failure of economists to match their deductive-axiomatic methods with their subject.
It is — sad to say — a fact that within mainstream economics internal validity is everything and external validity and truth nothing. Why anyone should be interested in that kind of theories and models — as long as mainstream economists do not come up with any export licenses for their theories and models to the real world in which we live — is beyond comprehension. Stupid models are of no or little help in understanding the real world.