Razib and I have a discussion up at Bloggingheads.tv about genetics and behavior as well as a brief discussion of neuroeconomics. Check it out below the fold:
You both seemed to believe that economic rationality is defined by how you respond to one price signal: that of money. This disregards a host of other things, like the fact that as a scientist you’re being paid to play much of the time.
Economics is not really about money and if you read Mises, Hayek, and the other Austrians, they make this clear. Reading Keynes will have you believing that business cycles are inexplicable, saving money is detrimental to society even if it’s good for you, and that building pyramids is a legitimate way to “stimulate” a people out of a recession.
Economics is not really about money and if you read Mises, Hayek, and the other Austrians, they make this clear.
If you read the thousands of non-Austrian economists, other than the monetarists, they too, make this very clear. The very phrase “money illusion” was coined by Keynes.
Reading Keynes will have you believing that business cycles are inexplicable,
This must be some other Keynes. The Keynes I am familiar with is John Maynard Keynes, who provided a brilliant explanation of the business cycle.
saving money is detrimental to society even if it’s good for you,
You mean, just like the Japanese did in the 90s? It’s called a “paradox” for a very good reason. I bet you’re still stuck trying to figure out how those tiny little dimes can be worth more than those big shiny pennies!
and that building pyramids is a legitimate way to “stimulate” a people out of a recession.
Keynes (the one I’m thinking of, that is) said it would be a success, not that it was legitimate. He explicitly preferred building things people would also be able to use.
By the way, what, exactly, was the point of your little tweet? Economics is a humongous field, including areas like neuroeconomics that are far removed from unimportant issues like whether the Austrians are worthless morons who like to show off their stupidity by posting irrelevant rants or whether Austrians are pitiful jerks who like to show off their mastery of Twitter everywhere.
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I will continue to read your blog, It was interesting to read, thanks a lot! Although it is not the information I needed.
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