[ExI] Inflation graph

[BillK]

On Sat, Nov 30, 2013 at 11:51 AM, Anders Sandberg wrote:
<snip>
> (I was thinking of mentioning Giffen goods and similar complications in my
> quick post, but felt that it would detract from the point. "Prediction" is a
> loaded word in the philosophy of science, and comes in many kinds and
> qualities.
>
> But supply-demand is a rather solid prediction approach.)
>

Only if you exclude externalities.

i.e. in theory the prediction works, in practice it mostly doesn't.
(And when it does appear to work, it is only for a short time).

Economics desperately wants to be called a 'science'. But their
theories only work in their ivory towers. Look at the economic mess
the real world is in now and all the arguing economists. Pick any
economic theory you like, and I guarantee there is an opposing
economic theory. Economics is a contradictory shambles.

BillK