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09-07-2009, 01:19 AM #1
How Did Economists Get It So Wrong?
How Did Economists Get It So Wrong?
by Paul Krugman
New York Times - 2009-09-02
I. MISTAKING BEAUTY FOR TRUTH
It’s hard to believe now, but not long ago economists were congratulating themselves over the success of their field. Those successes — or so they believed — were both theoretical and practical, leading to a golden era for the profession. On the theoretical side, they thought that they had resolved their internal disputes. Thus, in a 2008 paper titled “The State of Macroâ€
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