General

Re: Is Austrian Economics "right"?

Maurizio Colucci — Tue, 08 Feb 2011 10:14:31 GMT

Do you guys, as Austrian thinkers, think AusEcon's are "right" in a sort of absolute sense,

I think the word you are looking for is "true". You are asking whether Austrians believe that Austrian economics is true.

Re: Is Austrian Economics "right"?

Esuric — Mon, 07 Feb 2011 22:10:39 GMT

Do you guys, as Austrian thinkers, think AusEcon's are "right" in a sort of absolute sense, or just a valid, well constructed group of theories?

What's the difference?

do you see sense in or understand others' acceptance of other views, such as Keynesians or Chicago thinkers?

Yes.

Re: Is Austrian Economics "right"?

ThreeTrees — Mon, 07 Feb 2011 21:50:54 GMT

In asserting the a priori character of praxeology we are not drafting a plan for a future new science different from the traditional sciences of human action. We do not maintain that the theoretical science of human action should be aprioristic, but that it is and always has been so.

History cannot teach us any general rule, principle, or law. There is no means to abstract from a historical experience a posteriori any theories or theorems concerning human conduct and policies. The data of history would be nothing but a clumsy accumulation of disconnected occurrences, a heap of confusion, if they could not be clarified, arranged, and interpreted by systematic praxeological knowledge.

http://mises.org/humanaction/chap2sec3.asp

Re: Is Austrian Economics "right"?

cporter — Mon, 07 Feb 2011 18:45:08 GMT

C Le Master:
Even if they are right on some things, their reasoning for being right about those things is probably wrong, correct? And isn't that what causes the other aspects of Keynesian theory to be wrong?

I believe this is important. It's like the "even a broken clock is right twice a day" saying. Understanding is important for predictive power. It is entirely possible for an incorrect theory to stumble upon a correct answer. But taking those findings, translating them through incorrect theory, and then trying to predict other events isn't going to work reliably.

Re: Is Austrian Economics "right"?

mahall — Mon, 07 Feb 2011 18:21:43 GMT

MaikU:
It is very easy to check the correctness of AE. Remove force of the state.

Easier said than done!

Is your avatar Josey Wales?

Re: Is Austrian Economics "right"?

Lyle — Mon, 07 Feb 2011 04:59:23 GMT

If one's goal is to preserve the agency of man, then Austrian economics is, absolutely, "right." Others might say that it is a valid, well constructed theory, but I am of the opinion that it is absolute.

Re: Is Austrian Economics "right"?

MaikU — Sun, 06 Feb 2011 15:09:56 GMT

It is very easy to check the correctness of AE. Remove force of the state. As long as state imposes its "values" through physical force, no theory can be called "sound", because all we got now is "might makes right". Without the state, some free society could try if AE "works" for them.

I mean, I am ok with keynesians, let them believe in their magic, I am not just ok with their violence against me.

Suppose someone finds out better scientific method and can't use it to create, find things because, well, the state monopolized everything and regulates. How is it even possible to such ideas arise in this condition?

I hope that makes some sense.

Re: Is Austrian Economics "right"?

Ricky James Moore II — Sun, 06 Feb 2011 13:53:41 GMT

'Austrian' Economics, along with some of the Supply-Side, Public Choice and Neo-Institutionalist works, is economics simplicter. The 'mainstream' schools are not economics but a combination of numerology, statolatry and technocratic planning.

Re: Is Austrian Economics "right"?

John James — Sun, 06 Feb 2011 00:20:53 GMT

fakename:
If I may, I do think that AE is right but I do think that this doesn't eliminate the need for empirical research -just as long as one remembers that such research can't falsify AE. But as far as other pure theories are concerned, actually AE gives me a better appreciation of them and I do think that they are all correct as far as they go but they only describe snapshots and points of reality which are totally elucidated only by AE.

"Elucidated"? I would say more or less "invalidated".

Re: Is Austrian Economics "right"?

Smiling Dave — Sat, 05 Feb 2011 22:02:59 GMT

I like Peter Schiff's epigram. Someday it won't be called Austrian Economics, but Economics.

Re: Is Austrian Economics "right"?

Wibee — Sat, 05 Feb 2011 19:57:47 GMT

ABCT is Theory. it does not even hide it.. :)

Taxation is not theft is going to take some explaining.

Re: Is Austrian Economics "right"?

C Le Master — Sat, 05 Feb 2011 19:25:01 GMT

You say you think other theories are right, just dont cover the big picture if I understand you correctly. For example, what accuracy would you credit to Keynesian economics? Even if they are right on some things, their reasoning for being right about those things is probably wrong, correct? And isn't that what causes the other aspects of Keynesian theory to be wrong? I think it comes down to the reasoning being right to be considered correct, because anyone can guess something right. Do you agree?

Re: Is Austrian Economics "right"?

JohnnyFive — Sat, 05 Feb 2011 15:54:26 GMT

The flaws in other economic theories are often so obvious it almost beggars belief that any sane person would believe them. I suppose what AE has, uniquely, is a sound methodoloy. Other theories are no more than empiricism followed by wild guesswork, which absent a basic understanding of economic reality leads to all kinds of errors. More often than not it seems to be attributing the wrong cause to the wrong effect, reversing cause and effect, and so forth. Whereas AE involves sound reasoning about the universal features of economic reality, which when applied to the world allows us to preceive these complex relationships and to deduce cause and effect.

Re: Is Austrian Economics "right"?

AdrianHealey — Sat, 05 Feb 2011 15:23:51 GMT

Austrian Economics is curved.

Re: Is Austrian Economics "right"?

Bogart — Sat, 05 Feb 2011 03:59:43 GMT

At least you did not use the term good vs bad as Economics is supposed to be a value free science although you would not know this by observing economists associated with government or who just use economics to justify social control through violence.

On to right vs wrong, No science concerning human beings can be completely correct in predicting human action. AE is no different. But in my humble opinion, AE theory is by far the most acceptable theory to explain human action. I believe AE also provides superior information on the effects of using force to manipulate people in both the long and short runs.