• DogWater@lemmy.world
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    3 months ago

    It’s like people are the ones doing the things that create an economy so economists should be integrating the study of human psychology into economic theory.

    Which, to the credit of the discipline seems to be happening finally (at least more than it was in the past).

    • Avid Amoeba
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      3 months ago

      Oh yes. But more generally there’s a significant need for empiricism. Not just on the psychology of the economic individual. For example the fact that MMT’s empirical observations of reality aren’t mainstream yet is staggering. If empiricism was a mainstay or economics, these observations would have been tested and accepted if not falsified in the 90s or 2000s. Yet you have a country like the UK devastated by austerity following the great recession because that didn’t happen.