Saturday, March 9, 2019

El-Erian: Economists keep getting the economy wrong, and here’s how to fix that - MarketWatch

El-Erian: Economists keep getting the economy wrong, and here’s how to fix that - MarketWatch



...Mainstream economics has placed far too much analytical emphasis on the equilibrium condition, while largely ignoring the importance of transitions and tipping points, not to mention multiple-equilibria scenarios. And the profession has routinely failed to account adequately for financial links, behavioral-science insights, and rapidly evolving secular and structural forces such as technological innovation, climate change, and the rise of China.

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