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Economic Science and Political Influence

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  • Saint-Paul, Gilles

    ()
    (University of Toulouse I)

Abstract

When policymakers and private agents use models, the economists who design the model have an incentive to alter it in order to influence outcomes in a fashion consistent with their own preferences. I discuss some consequences of the existence of such ideological bias. In particular, I analyze the role of measurement infrastructures such as national statistical institutes, the extent to which intellectual competition between different schools of thought may lead to polarization of views over some parameters and at the same time to consensus over other parameters, and finally how the attempt to preserve influence can lead to degenerative research programs.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 7120.

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Length: 44 pages
Date of creation: Dec 2012
Date of revision:
Handle: RePEc:iza:izadps:dp7120

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Related research

Keywords: ideology; macroeconomic modelling; self-confirming equilibria; polarization; autocoherent models; intellectual competition; degenerative research programs; identification;

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  1. Bos, Frits, 2011. "Three centuries of macro-economic statistics," MPRA Paper 35391, University Library of Munich, Germany.
  2. Olivier J. Blanchard, 2008. "The State of Macro," NBER Working Papers 14259, National Bureau of Economic Research, Inc.
  3. Fudenberg, Drew & Levine, David K., 2009. "Self-confirming Equilibrium and the Lucas Critique," Scholarly Articles 4686412, Harvard University Department of Economics.
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