WACKONOMICS
"But maybe a few more economists should dare to be wacky".
from The Economist(28th oct 2000)
What is wackonomics?
"DOES homo economicus appreciate modern American painting? Or study the Talmud? How about playing in a symphony orchestra? Some parts of life-fine arts and religion among them-are usually assumed to be outside the province of economics. Rational thinking, the argument goes, does not necessarily apply when it comes to the emotional and spiritual. If your reaction to that notion is thank goodness, you may be disappointed to learn that economists have been looking for opportunities to prove it wrong.
This week, we take a break from trade balances, oil prices, interest rates and the like to consider three recent studies with surprising social and cultural content. They focus on specific parts of life where rationality is usually not an issue but where, in the shadows, homo economicus may be at work.
Economists constantly redefine their field by breaching the perceived boundaries of the domain of homo economicus. Inevitably, such forays can elicit a sceptical response. Lowell Taylor, an economist at Carnegie Mellon University, calls them "wackonomics"."
From ' The Economist (28th oct 2000)'.
In other words Wackonomics is an extreme form of
'Economic Imperialism'. Economic imperialism means that one applies the tools of economics on subjects or questions that aren't traditionally considered as belonging to economics. To be Wackonomics (for me), the subjects/questions have to be surprising or shocking and at least some (but preferably not all) people should think it's rubbish. And, preferably, they are of interest to a larger audience than just the professional economists.
Below you can find my favorite wackonomics candidates. Of course, my list is far from exhaustive.
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Updated: April, 2001