In Bryan Caplans article
“Why I Am Not an Austrian Economist” he addresses a variety of
ideas put forth from the Austrian school of economic thought. My eye
was drawn toward his question of “Is Theory Enough?” Proffessor
Caplan agrees to some point with Mises and Rothbard that economic
theory is a useful tool (if not the only tool) in the economists
arsenal. His attack against the Austrian thought is that they don't
follow through with the mathematics behind their theories. He brings
up the all the theories developed since economic mathematics and
econometrics have evolved in 1949 as a attack against the Austrians.
I don't believe that he has a valid point in this area, I'll give it
to Mr. Caplan that it is very possible that several of the theories
brought forth in that time entirely due to the developed mathematics
but his seeming attack undermining what the Austrians had theorized
without the use of mathematics doesn't seem completely reasonable.
If
their theories are still valid today why does it matter how
quantitatively significant each individual point is? I find issue
with his seeming importance on backing up with numbers what is sound
economic theory. The market is the
numbers he is looking for, all the factors of if a theory works or
not can only be perceived in how a market continues and the numbers
he seems to rely on are based only theories anyway.
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