Why We Must Resist Economic Conventional Wisdom

Dani Rodrik says that when ideas become conventional wisdom, we become blind to their limitations.

Harvard economist Dani Rodrik talks to INET President Rob Johnson about pluralism in economics and widening the lens through which introductory economics is taught. They also discuss Economics for Inclusive Prosperity (EfIP), an initiative co-founded by Rodrik for economists addressing inequality.

[tuncalikutukcuoglu]

Rethinking Economics should not be an affair of the exclusive club of economists, young or old. It should be a multi-disciplinary affair; anthropologists, sociologists, ecologists, historians, philosophers... This is not emphasized enough. The current economics education is almost blind to many aspects of life, including ecology and anthropology.

If the ultimate purpose of economic policies is "sustainable well-being for all" (or inclusive prosperity), why should an average economist be a better economist than an average anthropologist?

I put this question forward as an old PhD student in ecological economics. Younger economists can be better than the older ones in the context of social & ecological cooperation/balance, but this is not enough; multi-disciplinary broad (holistic) view is required for Rethinking Economics. Conventional economics with its illusions like "economic development/growth and technological progress" has become one of the primary enemies of nature and life.

[ondersarkaya]

As far as I'm concerned, Prof. Rodrik is the emiritus of political economists..

[Mrlimabean]

one of the better conversations... how can young economists outside harvard, maybe coming from public schools, get involved in these discussions?

[lynncostello]

Every human has to live under the economic systems we have created and every single human being should have to learn economics from the time we're young kids and then everybody should be cooperating to design a system that benefits all of us--if we keep pushing just "prosperity" then think about that--what is "prosperity"--how are we defining that--what does "prosperity" mean for the ecological crash we're facing? Mindlessly pursuing endless acquisition of material things is not going to create a healthy or happy society in the long run.

[coolmodelguy]

From 5:08 to 5:15 is one of the most profound truths I have ever heard. Creativity is an act of will and willpower, I know it and I live it, which is why this phrase struck me.

[piperjustin]

Can anyone recommend some good books with the "widened lens through which introductory economics is taught"?

[johnellington]

Let us never negotiate outa fear. But let us never fear to negotiate. President John F. Kennedy

[tuncalikutukcuoglu]

What is the difference between "inclusive prosperity" and "sustainable well-being for all"?
If you mean the same thing, why do you prefer "inclusive prosperity"? Does it sound more scientific?

[krcalder]

“Everything is getting better and better look at the stock market” the 1920’s sucker that believed in free markets
“Stocks have reached what looks like a permanently high plateau.” Irving Fisher 1929.
The 1920's neoclassical economist that believed in free markets knew this was a stable equilibrium.
Better shelve this for a few decades until everyone has forgotten.
Now everyone has forgotten we can use it for globalisation.


1929 and 2008 look so similar because they are; it’s the same economics and thinking.

[PoliticalEconomy]

To bad that guy is clueless about feasible socialism. Seems too difficult for liberals. When is this channel actually going propose some real alternatives to liberalism? Such as centralized democratic coordination, economic democracy, economic rights, principles of socialist governance, and the common ownership of capital? Too scary for you guys?

[aarongwayn]

The Yin and ANDREW YANG for president in 2020! ECONOMICS!

[sbain]

To lurch from flawed conventional wisdom to the utter lunacy of socialism is not progress.
Keynesian economics (mainstream economics) is inefficient and open to corrupt, incompetent government policy.
The answer is Austrian economics, i.e. individual freedoms, free markets, personal rights & responsibilities, with minimal public ownership of resources and minimal regulatory red-tape.