Resource title

Evidence-based economics: issues and some preliminary answers

Resource image

image for OpenScout resource :: Evidence-based economics: issues and some preliminary answers

Resource description

This paper presents an outline of a methodology of ‘evidence-based economics’. The question whether an economic statement is evidence-based must be answered on three different levels. The first level concerns measurement: it asks whether claims made about economic quantities such as inflation, unemployment, growth or poverty are justified by the data and measurement procedures. The second level concerns induction: it asks whether claims made about the relations between economic quantities (such as ‘number of babies born predicts growth’, ‘change in money causes change in monetary income’, ‘non-borrowed reserves can be used to control the interest rate’), are justified by the inference procedures. The third level concerns idealisation: it asks whether the quantities and relations selected are justified by the stated aim of the inquiry. The paper provides a discussion of these three types of investigation and of some solutions that have been offered.

Resource author

Resource publisher

Resource publish date

Resource language

en

Resource content type

Resource resource URL

http://eprints.lse.ac.uk/36470/

Resource license