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3.1.1 Goethe, the methodological paradigm of economists

Economists are trained to write discussion papers. That means in general that they say as less as possible with their own words and to gather the maximum of quotes. Graph and statistic data very often are used for purely "esthetic" reasons, giving the whole thing a more "cientific" appearence. Hundred of thousands of discussion pappers are produced this way each day that nobody reads, although their production costs a lot of money to the tax payer.

The problem is not only typical for economics, it is characteristic for the whole academic world and described already in Goethes (1749 - 1832) Faust.

Such Er den redlichen Gewinn!
Sei Er kein schellenlauter Tor!
Es trägt Verstand und rechter Sinn
Mit wenig Kunst sich selber vor!
Und wenn's euch Ernst ist, was zu sagen,
Ist's nötig, Worten nachzujagen?
Ja, eure Reden, die so blinkend sind,
In denen ihr der Menschheit Schnitzel kräuselt,
Sind unerquicklich wie der Nebelwind,
Der herbstlich durch die dürren Blätter säuselt!

Seek to profit honestly!
Don’t be an empty tinkling fool!
Understanding, and true clarity,
Express themselves without art’s rule!
And if you mean what you say,
Why hunt for words, anyway?
Yes, your speech, that glitters so,
Where you gather scraps for Man,
Is dead as the mist-filled winds that blow
Through the dried-up leaves of autumn!

The meaning is very clear and easy to understand.

  1. The first four verses describes a strategy often used in the academic world. "If you can't convince them, try to confuse them". This is not a helpful strategy. In order to play a relevant role in society, economists must learn to explain complicated things the easiest way possible. Don't use for instance a mathematical equation a function or a graph, if this contributes nothing new and is just another way to say what has been already said in the text.

    Seek to profit honestly!
    Don’t be an empty tinkling fool!
    Understanding, and true clarity,
    Express themselves without art’s rule!

    There is no doubt that consulting companies like Price Waterhouse, Arthur de Little, KPMG are able to let appear banalities as profound truth by using these techniques, but if somenone wants to make a living out of that on the free market, in other words if he doesn't get paid for that by the gouvernment, the trick doesn't work.

  2. Texts are easy to understand if someone just say what he wants to say.

    And if you mean what you say,
    Why hunt for words, anyway?
    Yes, your speech, that glitters so,
    Where you gather scraps for Man,
    Is dead as the mist-filled winds that blow
    Through the dried-up leaves of autumn!

    Quotes originally should be used for academic honesty. In other words, if an idea is not the result of ones own effort, it should be made clear that the concept is the result of someone else effort. The use of quotes nowadays very often is used for another purpose. It is used to stress the relevance of banalities or to "proof" the truth of a statement. If someone had already said it, it must be true. Quotes are rarely helpfull and still less, if they are not actually quoted, but only referenced. The authors of this kind of texts know, that the reader has no chance to verify if the referenced authors actually said what the text claims. If the statement is logical, there are in general no need for quotes. If it is not logical, it doesn't become more logical because one hundred people have already said it.

  3. You should not ruminate.

    Yes, your speech, that glitters so,
    Where you gather scraps for Man,
    Is dead as the mist-filled winds that blow
    Through the dried-up leaves of autumn!

    In general one should not ruminate and still less wrong concepts. At the other side it is sometimes usefull to check what the original author had actually said. We will see throughout this manual that the terms classical theory and neoclassical theory don't make sense. The authors subsumed under this terms are to different. In this case quoting and going back to the sources would be really usefull, especially because the terms are used with a different meaning. We will see throughout this manual that it would be a good idea to clarify what people mean if they speak about capital, money, interest rate and saving.

  4. To intervene in the public debate and improve the level of the public debate is not considered as a task of economists by the economists. What they learn at the university is to write for a single person. The person who assess their papers. The grade depend on their ability to write what this person want to read and to stick to a certain language, a certain style and to respect some formalities. Irrelevant abilities when it comes to find a job beyond public financed institutions. The academic teaching staff got his tenure through publications in "scientific" papers and not for innovative ideas, didactical skills, relevance of his publications and so on. We have a clear false incentive. We don't get the best academic teaching staff, but the one with most neve discussed discussion papers.Due to the lack of professional experience outside the narrow academic world, the academic teaching staff believes that discussion papers are relevant. They are not.

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Economists should follow the advise of Larry Wall, the programmar behind the famous programming language PERL.

Make easy things easy and difficult things possible.

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