by Asim Jalis
Economic theorists like Hayek and the Austrians really have no
experience in running real economies. And yet they are able to
theorize. In fact their lack of real experience might make it
easier for them to ignore the details. It might make it easier
for them to theorize with abandon and to construct theories that
are much more elegant than they would have been if they were
constrained by the messy details of reality.
At the same time a connection can be retained with the ground
reality by ensuring that the ideas and interpretations are
consistent with the facts as they are being reported by people
who are experiencing the reality directly.
What I am trying to say here is that perhaps this focus on action
is misguided, and in fact it's the speculative theorizing that we
really need more of.
Even though I realize the shortcomings of speculative theorizing,
I must play this game, as it seems to be the game I am the