Deductive Economic Rationality and Its Limitations
Lynne Kiesling In this really outstanding post on FT.com’s Economists Forum, Roman Freedman and Michael Goldberg point out some of the essential flaws of the underlying concept of “rationality” as it is defined and used in economics: The centrepiece of this standard of rationality, the so-called “Rational Expectations Hypothesis”, presumes that economists can model exactly …
Deductive Economic Rationality and Its Limitations Read More »