Model failure is usually more interesting than model success.The success of a model doesn't confirm the theory on which it is based, since many explanations for an outcome are possible. The failure of a model shows that at least one of the assumptions is incorrect, including the usual assumption in economics that all things remain equal.
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Thoughts on the use of Models in Economics
Arnold Kling | Mercatus Center–affiliated senior scholar at George Mason University and a member of the Financial Markets Working Group
ht Mark Thoma at Economist's View
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