reflections on economics

Reflections on Economics:

Dr Liliana Harding, University of East Anglia

ECONOMIC KNOWLEDGE AND PERFORMANCE, TIMISOARA, ROMANIA 2012 1

The academic approach in an international perspective and expectations of future economists.

Economics as a far-reaching discipline Mainstream areas (based on Joffe, 2011)

Neoclassical (micro/macro) Econometrics Game theory Information economics Behavioural economics and neuro-economics Experimental economics (new) Institutional economics Specialised areas (e.g. business economics,

health economics, etc) ECONOMIC KNOWLEDGE AND

PERFORMANCE, TIMISOARA, ROMANIA 2012

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Heterodox approaches (based on Lawson, 2003) Austrianism Feminist economics (old) institutionalism Post Keynsianism Marxian economics Social economics

ECONOMIC KNOWLEDGE AND PERFORMANCE, TIMISOARA, ROMANIA 2012

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Economics and reality A theoretician’s perspective (Sugden,

2009) Questions arising from the endeavour to

explain reality Conceptual explorations

o Casual empiricism o Striving towards realist social theorising

(Lawson, 2003) and approaches towards a dynamic process, in a pluralistic forum


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Lost in translation? The universal language(s) of economics

1. Mathematics 2. English

(i.e. a universal language….)! European contributions and the

contemporary dominance of the American model ECONOMIC KNOWLEDGE AND


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Schools of Economics: a European perspective (Rosser et al, 2010)

France Cournot and Walras as representative

for orthodox neoclassical mathematical economics

Saint-Simon and the rationalistic approach supporting central planning

Boyer and the ‘régulation’ school


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Schools of Economics(cont.) Germany

the neoclassical approach promoted by the Austrians

The historical school and socialist thought (Marx)

Embracing American School of though post-WWII

Most advanced behaviour/experimental economics

Contributing to developing the complexity theory ECONOMIC KNOWLEDGE AND


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Schools of Economics(cont.)

Italy Leader in mathematical economic

theory at the beginning of the 20th century – Pareto

Currently dominant centre for complex non-linear dynamics and interactive heterogeneous agents modelling


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What has emerged behind the ‘Iron Curtain’? Moving beyond the social sciences

producing ‘apologetic “academic works”’ that undermined academic credibility (Sadlak, 1993)

Even where methods were similar, economics’ objective was different from West: e.g. optimisation towards the central plan


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Citeable Publications in Economics, Econometrics and Finance (c) Scimago


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http://www.scimagojr.com/

Citeable Publications in Economics, Econometrics and Finance (c) Scimago


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http://www.scimagojr.com/

Slow change in economics compared to economic changes Watts and Walstad, 2002: Russia : from 500,000 economics textbooks

translated before the formal Soviet breakup to elite programmes of international standards

East Germany fired and replaced Soviet style economists

Others: replacements from maths departments + young academics + resistance to change ECONOMIC KNOWLEDGE AND


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Topics for consideration The wide-spread adoption of the Business

School model and requirement to take business modules on economics degrees

Mathematics / statistics without link to continued ‘political economy’ approach?

The disjoint use of externally supported programmes (e.g. CEP, joint MSc programmes)

Western training and the local context: faculty structure and topic interests


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From ‘Western economics’ to relevant economics Based on interview with Janos Kornai in Rosser et. al (2010)

Need to acknowledge work on economic systems, the study of world history avoid ’small problems’ that tools can handle

vs. quest for truly relevant questions (see ex. of China)

not institutionalism for its own sake but only justifiable by ‘real struggle with theory’


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Higher education and its moving focus:

‘[...] from teaching students to be clerics, to teaching students to be citizens and public administrators, and now to teaching them to be

consumers’

Chaudhuri, Supriyo, 2012: ECONOMIC KNOWLEDGE AND


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http://sundayposts.blogspot.co.uk/search?q=From+teaching+students+to+be+clerics,+to+teaching++students+to+be+citizens+and+public+administrators,+and+now+to+teaching+them+to+be+consumers



Economics and its competitors In research liberal colleges (USA) no

business majors are offered (see Colander and McGoldrick, 2009)

Business schools expansion in universities in general

‘the discouraged business -major hypothesis’ (Salemi and Eubanks, 1996) and economics degrees


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Postgraduate studies in economics: A European Focus Typical tripartite:

Microeconomics, Macroeconomics, Econometrics

A students’ view (based on a survey of

doctoral programmes in top European institutions – Colander, 2009):

Strong attachment to supervisor and inflexibility in the (relevant, global) labour market


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“You never want a serious crisis to go to waste”(Rahm Emanuel, 2009)

Is there a choice for Romanian economics ? Joining on the side of cutting edge

research in the discipline OR Supporting commercial ventures of

the moment. ECONOMIC KNOWLEDGE AND PERFORMANCE, TIMISOARA, ROMANIA 2012

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Lessons for a European economics research agenda To join the mainstream dialogue the

discipline must adopt the specific vocabulary and methods (formal modelling, econometric testing, economic experiments)

The Common European Educational Policy creates the framework for collaboration but also competition ECONOMIC KNOWLEDGE AND


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Lessons (continued) The opportunities arising:

Equal, transparent criteria of evaluation across Europe based on publications and quality of research (towards a European economists’ market?)

The move away from a closed system of national academic monopoly and paternalistic criteria

The possibility to contribute to the debate with new, innovative approaches


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Lessons (continued) The threat arising: The danger of a narrow focus on a set

of (nevertheless quality) publications the issue of technique (obsession)

versus relevant ideas The loss of interest in national/local

questions the difficulties of the newcomer


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Conclusion (or what can be done?) Focus the curriculum and develop the

interest in methodological questions Expand the skill base and improve

accessibility to relevant data sets Move beyond ‘the questions of the day’

and explore the needs of the Romanian economy and society

Be prepared to enter and enhance the global dialogue of the discipline.


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reflections on economics

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