Economics imperialism and its discontents

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Flyer for George Stigler’s 1984 lecture, ‘Economics – the Imperial Science’. Reproduced in: E. Nik-Khan and R. Van Horn (2012) ‘Inland empire: economics imperialism as an imperative of Chicago neoliberalism.’ Journal of Economic Methodology 19(3): 259-282.

In his widely-read blog, Noah Smith has a post today entitled, rather bluntly, “A new age of econ imperialism is coming.”

While not quite as triumphal as the title makes out, the thrust of his post is plain enough: economics will continue to try and invade and occupy the other social sciences.

Much of the discussion about econ methods these days revolves around the “credibility revolution”, and the broader rise of empirics in general. Despite scattered protests¬†from various quarters of the discipline, there looks to be no stopping the transformation of econ into an empirical, evidence-based field.

But the shift isn’t just healthy – it’s also a golden opportunity for economists to do what social scientists love best, which is to go on a giant raid and conquer the other social sciences! The new empiricism is the amphibious assault ship that will carry hordes of Econquerors (heh) to the vulnerable shores of sociology.

 

Leaving aside Smith’s colourful and amusing language, there seems little doubt that he is expressing a pretty common trope in the attitudes of many economists towards the other social sciences. This is the view that economics, equipped with superior tools of mathematical and empirical analysis, is simply better than the social sciences it might supplant. Continue reading

Austerity and the social construction of economic knowledge

In a rich and wonderfully detailed 2011 article for the American Journal of Sociology, Donald Mackenzie lays out a case for “The Credit Crisis as a Problem in the Sociology of Knowledge.”

The global financial crisis, Mackenzie argues, was partly the result of particular and contingent “knowledge-generating arrangements”, which allowed the wildly mis-allocated risks of the US mortgage securities industry to accumulate and eventually implode. Research for the paper included detailed interviews with 87 financial market participants. Continue reading