Sunday, June 28, 2009

Kevin Murphy's Example

Here is an interview with one of my favorite economists, Kevin Murphy.

In my opinion, that interview gives you ideas on how economists, ideally, see and think about things. First, find interesting research questions and set it right. Second, stick to positive analysis.

See, for example, the discussion on smoking and drug addiction, and contrast it with the recent discussion amongst FEUI faculties on cigarette; you will find that Murphy never mentions normative statements on the issue --e.g whether smoking is morally a bad thing.

That is the economics as we in cafe salemba know it.

HT: Marginal Revolution

1 comment:

  1. I agree with Kevin Murphy. Never mix normative issues and the economy analysis. Indonesian economic will never be able to grow if there are still some people in government mix the normative issue with the economic analysis. I'm sorry, just my opinion.