A Way Of Thinking

My definition of economics is different than my colleagues.

I have been to seven seminars in seven days. I have heard seven different definitions of economics. I have not agreed with any of them.

Economics is a way of thinking. A way to see the world. It is not about numbers or money. It is about people. It is about right and wrong. It is philosophy not science.

Economics only sees individuals. Only indiviudals act. I wake up in the morning. I eat. I sleep. I die. Economics does not deny peer pressure or environmental effects, but indviduals decide to accept peer pressure and environments. Only an individual acts.

Economics sees the grandness of human achievement. Fifty years ago there were no laptops, no internet porn, no highly efficent cars. No matter what some of my colleagues say; there was nothing. Fifty years from now our children will say we had nothing. Economists recognize development depends on indiviudal achievement. They recognize the importance of innovative individuals who refuse to allow constraints to impede them.

Economics is not what economists do. One thing I have learned from economics is academic economists are not required. Good economists are philosophers. They teach well. They are entrepreneurs who understand humanity. They approach life with the economic way of thinking. They use reason to solve problems.

For economics to progress we have to teach the economic way of thinking. We cannot continue to do what other economists do. We have to solve problems not describe them. We have to destroy constraints not define them. We have to practice the economic way of thinking.