An economics, investment, trading and policy blog with a focus on Modern Monetary Theory (MMT). We seek the truth, avoid the mainstream and are virulently anti-neoliberalism.
Physicist stil refuses to accept that people learn as well as act as sheep. The reason why you need reduction to agents is of course the essence of the 'Lucas Critique'. Policies work on entities, not on groups.If policies worked on groups properly you wouldn't get unexpected outcomes. And you wouldn't get deaths in French drug trials. 'Statistical regularities' has another name: curve fitting.
Physicist stil refuses to accept that people learn as well as act as sheep.
ReplyDeleteThe reason why you need reduction to agents is of course the essence of the 'Lucas Critique'. Policies work on entities, not on groups.
If policies worked on groups properly you wouldn't get unexpected outcomes. And you wouldn't get deaths in French drug trials.
'Statistical regularities' has another name: curve fitting.