Where did economics go wrong? Modern economics as a flight from reality

Critical Review 11 (1):11-64 (1997)
Abstract F. A. Hayek's realistic economic theory has been replaced by the formalistic use of equlibrium models that bear little resemblance to reality. These models are as serviceable to the right as to the left: they allow the economist either to condemn capitalism for failing to measure up to the model of perfect competition, or to praise capitalism as a utopia of perfect knowledge and rational expectations. Hayek, by contrast, used equilibrium to show that while capitalism is not perfect, it contains error?correcting institutions that bring it closer to perfection than is intuitively apparent.
Keywords No keywords specified (fix it)
Categories (categorize this paper)
DOI 10.1080/08913819708443443
 Save to my reading list
Follow the author(s)
Edit this record
My bibliography
Export citation
Find it on Scholar
Mark as duplicate
Request removal from index
Revision history
Download options
Our Archive

Upload a copy of this paper     Check publisher's policy     Papers currently archived: 29,567
External links

Setup an account with your affiliations in order to access resources via your University's proxy server
Configure custom proxy (use this if your affiliation does not provide a proxy)
Through your library
References found in this work BETA
Essays in Positive Economics.Milton Friedman - 1953 - University of Chicago Press.
On Ethics and Economics.Amartya Sen - 1989 - Tijdschrift Voor Filosofie 51 (4):722-723.

View all 20 references / Add more references

Citations of this work BETA

View all 16 citations / Add more citations

Similar books and articles
Hayek Revisited.Mark Blaug - 1993 - Critical Review 7 (1):51-60.
Individuals and Institutions.Peter J. Boettke - 1990 - Critical Review 4 (1-2):10-26.
The Self‐Deception of Economics.Robert Heilbroner - 1998 - Critical Review 12 (1-2):139-150.
Added to PP index

Total downloads
29 ( #180,024 of 2,180,798 )

Recent downloads (6 months)
2 ( #153,752 of 2,180,798 )

How can I increase my downloads?

Monthly downloads
My notes
Sign in to use this feature

There  are no threads in this forum
Nothing in this forum yet.

Other forums