The Tyranny Of The Myths — NeilW

Economics is often described as the dismal science, but it’s more apt to call it the mystical science. For generations, the field has been ruled by aphorisms that sound profound but crumble under scrutiny. These sayings, like “tighten your belt in tough times” or “the market knows best,” are not neutral observations. They are myths crafted to justify particular views of how society should be run—views that often prioritise the interests of the few over the many.

Take monetarists, for example, with their obsession with controlling inflation through tight monetary policies. Their aphorisms reinforce the “sound money” myth, which ultimately serves financiers by ensuring that debt repayments hold more value than wages. Similarly, New Keynesians push the myth of the impartial, unelected central bank—a supposedly noble institution that must remain insulated from democratic accountability to protect us from our worst instincts. But making “correct decisions” for whom? These systems, by design, elevate the interests of those who already hold power and wealth.

A New Compass for a Modern Economy

In contrast, a more honest approach to economics would start from the premise that democracy can be trusted—that the people of a nation have the agency to shape its future via the ballot box. This is the bedrock of what I see as modern economic thought, encapsulated by a simple aphorism:

It is better to give poor people a job than rich people a bung...

New Wayland

The Tyranny Of The Myths
NeilW

See also

Keeper Keynes quote if you don't have it on file already.

Lars P. Syll’s Blog
Economics — a pseudo-analogy with physics
Lars P. Syll | Professor, Malmo University