Is it appropriate to have a thread about Macro economics and discuss the mathemathical equations?
I suggest we try to get out of the liquidity trap.
If left to their own vices, this relationship is true. Obviously there's more at work in the actual economy than unemployment and inflation. All this model says is that increasing unemployment reduces inflation. It's not meant to say "high inflation and unemployment is impossible." That would be ridiculous and everyone knows that.
Economics isn't really a science. It's mostly guessing and torturing data so that rich white men can suck each other off during a seminar and then receive applauds from other people craving for the econ cock. Still not science though.
>It's mostly guessing and torturing data so that rich white men can suck each other off during a seminar and then receive applauds from other people craving for the econ cock
Butthurt mexican socialist detected. 95% chance it came from reddit...or is just some dude from /biz/ trying to act funny, but that's unlikely.
Nope, I'm not Mexican nor am I a socialist but I bet it felt good posting that? I mean this was it, right? Your only confident attempt at something useful of the day? When you get a little bit older, you'll see that it's not only the world that's fucking retarded, it's also you, anon.
Could you explain how my statement, extracted of the joke, was absurd? Or did you not like the joke? I don't know if you're an econ student or not but if your professor was honest he/she should have told you that economics is not a hard science. Any theory within it is based on something which cannot be proven by experiment, which is an important aspect of any real science.
Mathematics definitely has its place in some applications of economics, but he is not entirely wrong is saying that it is a pseudo-science. Many economic/financial models with the end of predicting future behavior are not empirically supported, and deep down are closer to guessing than actual science.
Consider that no mathematical model predicted the 1982 stock market fall or the 2007 Lehman Brother fuck up. We can use functions and equations when it comes to deterministic behavior (not only in economics but all fields), however when we have consider to seemingly improbable events, mathematical tools start failing.
Great reads on this topic are The Black Swan by Nassim Nicholas Taleb (thank you based NNT), or pretty much any Benoit Mandelbrot paper on economic models.
Ofcourse economics is not a hard science it's based on empirical evidence more often than not are the results subject to change which makes it an interesting field.
I'm referring to the statement that 'rich white men can suck eachother off during a seminar and then recieve applauds.."
I guess i'm not used to the lingo/jokes around here.
My knowledge of economics is popsci tier, but I am currently in a lecture about mechanism design. It is actually pretty cool.
A few weeks ago we showed mathematically that a dictatorship is the best form of government (Arrow's theorem) and stuff like vickrey auctions.
Science is science dummy.
the intellectual and practical activity encompassing the systematic study of the structure and behaviour of the physical and natural world through observation and experiment.