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Economic Science and Political Influence

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  • Saint-Paul, Gilles

Abstract

When policymakers and private agents use models, the economists who de- sign the model have an incentive to alter it in order infuence 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 mea- surement infrastructures such as national statisticall institutes, the extent to which intellectual competition between di¤erent 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 Toulouse School of Economics (TSE) in its series TSE Working Papers with number 12-365.

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Date of creation: 27 Nov 2012
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Handle: RePEc:tse:wpaper:26617

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Keywords: Ideology; Macroeconomics modelling; Self-confirming equilibria; Polarization; Autocoherent Models; Intellectual Competition; Degenerative Research programs; Identification.;

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