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unblock

(51,974 posts)
1. interesting read!
Mon Feb 24, 2014, 08:39 AM
Feb 2014

of course, part of the problem is that many "mainstream economists" aren't strictly economists at all, they're *political* economists. they come with a political angle or agenda.

the classical mathematical model is a convenient way to rationalize a panglossian view of the world, which dovetails nicely with a laissez-faire/anarchic political view. if they want businesses to get away with whatever they can get away with, then a model that lets them say that "the market" leads to all sorts of positive outcomes is politically perfect.

nevermind that the classical model ignores many complexities, such as externalities, power dynamics, information discrepancies, and so on. moreover, even then, those supporting the status quo invariably ignore that the classical model relies heavily on vigorous competition, even as they use the model to justify a decrease in competition (mergers, e.g.).

interesting read! unblock Feb 2014 #1
+1 xchrom Feb 2014 #2
I may have seen pieces of this in college... JHB Feb 2014 #3
I agree. laundry_queen Feb 2014 #6
They ignore Keynes, simply. Benton D Struckcheon Feb 2014 #4
More than ignore, it seems. JHB Feb 2014 #5
Our "market economy" is a religion; it's just that simple. hunter Feb 2014 #7
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