Archive for July 8th, 2008

Should Development Economics become more empirical or theoretical?

July 8, 2008

I came across this fantastic series of papers published by EPW which discusses whether development economics should go more empirical or turn theoretical.

The first paper by Mookherjee leads to comments by several economists and this has been put up as a series of papers. Mookherjee points to a fantastic exchange of thoughts between Keynes and Tinbergen and it sets the tone.

Highly recommended for those interested in development economics.

PS. I am all for empirics but it is actually turning into a nightmare lately. People use empirics for everything and simple ideas get lost. There are some papers which are very good but wioth more focus on empirics looses its essence.  A balance is needed and as of now it has tilted bigtime towards empirics. I also covered Thaler’s paper who also hoped we move towards a more realistic economics. Unfortunately, we haven’t.

Assorted Links

July 8, 2008

1. TTR on rating agencies

2. Indian Economy on Economic Illiteracy. I just don’t understand the fancy for addressing various kinds of illeteracies. First you had simple illiteracy, then came financial illiteracy and now economic illiteracy. However, the fact that even professors in MBA schools don’t understand economics is worrisome.

3. MR on fiscal stimulus

4. WSJ Blog points to Fedspeak- Janet Yellen. Hamilton also mentions of the same

5. NB has a fantastic post on Buy one get one free 

6. Mankiw points to few articles on oil speculation

7. FCB points why stock prices fare poorly during inflationary times

8. EAP Blog on what should Asia do to its financial architecture