Philosophy and Methodology

The attempt by the mainstream economics profession to create economic literacy has turned into a movement to promote economic illiteracy.

Mainstream economists believe that economic theory is valid when it “predicts” economic actions or trends. Austrian economists, however, say that the purpose of economic theory is to explain economic events.

While Austrian and feminist critiques of neoclassical economics have some similarities, they also differ strongly on important points. Feminist critiques are based upon what Mises called polylogism, while Austrian critiques are based upon praxeology.

While conservatives and followers of Austrian economics often have much in common, many conservatives are against free trade and free exchange. Austrians need to carefully explain why those beliefs are harmful.

The attempt by the mainstream economics profession to create economic literacy has turned into a movement to promote economic illiteracy.

Mainstream economists believe that economic theory is valid when it “predicts” economic actions or trends. Austrian economists, however, say that the purpose of economic theory is to explain economic events.

As Murray Rothbard noted, reason is a powerful tool to help us discern how to thrive in our world. Government, through propaganda and interference with education, seeks to stifle reason and replace it with obedience to the state.

While conservatives and followers of Austrian economics often have much in common, many conservatives are against free trade and free exchange. Austrians need to carefully explain why those beliefs are harmful.

As Murray Rothbard noted, reason is a powerful tool to help us discern how to thrive in our world. Government, through propaganda and interference with education, seeks to stifle reason and replace it with obedience to the state.

Henry Hazlitt's The Failure of the New Economics remains the best criticism of J.M. Keynes's General Theory.