A profile of Avinash Dixit and a book review

The December issue of Finance & Development has a very nice profile of Avinash Dixit, not only a great economist but the best teacher I ever had (and I had some very good ones). Here is a snippet of what he has to say, this one on the financial crisis:

“But the real fault was not so much in economic theory as, if you like, in the political and business world, where people actually swallowed some of the simplistic views about the wonder of markets too much without recognizing the hundreds of qualifications that Adam Smith and a number of others have told us about, and we should all have known about.” 

The same issue also has a very generous review of my Globalization Paradox (not yet out!) by Robert Rowthorn.

Comments

[www.david-welker.com]

This quote sounds great as a way for economic theorists to get off the hook: The problem isn't theorists; the problem is policy makers in business and politics who forget the many qualifications mentioned by economic theorists from Adam Smith onward. Except I think Dixit lets economic theorists off way too easily. If politicians and business leaders are simplifying the lessons that can be learned from economic theory in a problematic way, it should be the duty of economic theorists like Dixit to set them straight. Economic theorists have a duty to see that their work is not misused by those who misunderstand their findings. After all, if they allow policymakers in business to misuse their theories, then they are part of the problem. Policymakers who convince the constituencies that their policies are backed by economic theory but who are forgetting the important qualifications nonetheless gain false credibility. I just don't see how it is acceptable for economic theorists who are in an ideal position to set such policymakers straight to sit back in an ivory tower while Rome burns.

So contrary to Avinash Dixit, even if his assertions that "economic theory came out of [the economic crisis] rather better than policy practice" is correct, I would suggest that economic theorists still have some serious soul-searching to do. Even if the problem isn't with economic theories per se, but rather with the way those theories have been misapplied, doesn't that suggest that something must change in the way that economic theorists interact (or choose not to interact) with policymakers and those who make use of their work??

[Zach]

Regarding the book review...what are your thoughts on his last paragraph, where he asks whether (in this new, multipolar world) rising economic powers such as BRIC would be receptive to your ideas?

It would seem to me that China and Brazil have consistently sent signals along these lines...I'm not sure about India (Russia isn't really a factor).

Would you agree with that? Have you had any interaction with governments there that you could share?

[Account Deleted]

I just love reading your article. In fact I have never come across such a wonderful piece of work. Of late I have been reading article related to this, but this has been until now the best ever article I may have come across.

http://www.samrx.com/buy-kamagra.aspx

[Account Deleted]

I came to your article from another article and am really interested in this learning about this. , I feel strongly about information and love learning more on this. If possible, as you gain expertise, It is extremely helpful for me. would you mind updating your blog with more information?
http://www.jerseysonline.co

[Account Deleted]

I just love reading your article.
http://www.daunenjacke-moncler.com/

[Account Deleted]

raf

Thanks a lot.

[Account Deleted]

http://www.rafasraf.com

Thanks for sharing.

[Account Deleted]

http://www.mbtfootwearusa.com/

[Account Deleted]

sumomaxObesity is a health problem that is obesity. An important problem in both developed and developing countries in particular. Attenuation of the methods and products for the more popular, while the minority part of the problem concerning the weakness of not showing enough effort.

Fried foods, pastries, sweet foods such as calorie consumption can not lose weight in a healthy manner. Essential nutrients our bodies need to take as needed.

[Account Deleted]

use of a really tiny Visvim Serra Shoesfabric and supports

[Account Deleted]

Sometimes when I write, I just let the flow of the words and information come out so much that p pandora bracelets I loose the purpose.

[Account Deleted]

Many places and centers offer business and trade promotions to both buyers and supplier.What about the differences in skill intensities across industries? The job losses in the relatively unskilled-labor intensive battery industry should have little effect on the relatively skilled-labor intensive machinery
sexshop
sexyshop
sexshop online
alongador peniano

[Account Deleted]

There is an article that gives great insight to foundational elements when it comes to being able to successfully make money on the internet.
Round Rock Homes

[Account Deleted]

Thanks to a brilliant effort in publishing your article. One can be more informative as this. There are many things I can know only after reading your wonderful article.

the best seo company

[Account Deleted]

You made some good points .I did a little research on the topic and found that most people agree with your blog. Thanks and appreciate to you for your Brilliant effort. UGG

[Lifenzhu]

Rosetta Stone
In September 2011, Board Members and investors Fred Wilson and Binjan Sabet resigned from Twitter's Board of Directors.

[Account Deleted]

What GUE offers (among other things) is consistancy. You are far more likely to get a better Mebeverine hydrochloride
from any GUE instructor that you pick than picking from any other agency at random. All GUE instructors are at the ambien
of their game.

[Lily Yago]

Your writing skills are really emaculate, I wish I was half as good as you.

Nike free run sale http://nikefreerunsaler.net, Nike free run 2.

[Account Deleted]

powerpoint file corrupted

Thanks for the interesting article!

[SellHouseNash]

Nice post!

SELL YOUR HOUSE NASHVILLE

[Account Deleted]

Friend Link: http://www.clearanceshoesonline.com

[Account Deleted]

Your writing skills are really emasculate, I wish I was half as good as you.

Book Shop in Karachi

[Asadseo]

Want to sell gold jewelry for cash? We founded Cash4karats to establish a safe and honest way to give our clients top dollar for their gold no matter the condition it comes in. We specialize in appraising and buying all metals including gold, platinum, silver, diamonds and watches.

Buy Gold in New Jersey

[Claudio Timbers]

p dollar for their gold no matter the condition it comes in. We specialize in appraising and buying all metals including gold, platinum, silver, diamonds and watches. njtaxpreparation.net

[Rastia Rigie]

Bank Mandiri Bank Terbaik di Indonesia
Bank Mandiri Bank Terbaik di Indonesia
Promo Bonus 100% Sbobet, Ibcbet dan Casino Online Dalam Rangka HUT BAVETLINE Yang Kedua
Masterbet88 Grand Opening Promo Bonus 50% Sportsbook dan Casino Online

[Account Deleted]

I agree with most of the people over here. The review of the book was very helpful as well as interesting to read.
http://www.genericviagra123.com/

[Tom Watson]

business. Mercantilism, by contrast, offers a corporatist vision in which the state and private business are allies and cooperate in pursuit of common objectives, such as domestic economic growth or national power. 1st Web Directory

[M Asad]

I really like the way in which writer has encouraged us to share our point of views on this article and happy to see the active participation of readers on this.

Read Quran Online
Quran Study Online

[Okadapter]

Apple Macbook A1189 battery Apple Macbook A1189 battery Apple Macbook A1189 battery
Compaq Presario CQ40 battery Compaq Presario CQ40 battery Compaq Presario CQ40 batteryadapter

[AyurvedaYatan]

Early treatment of allergic sinusitis may prevent secondary bacterial sinus infections.

Sinusitis Treatment

[AyurvedaYatan]

Early treatment of allergic sinusitis may prevent secondary bacterial sinus infections. Sinus Infection Treatment http://yatan-ayur.com.au/ayurvedic-treatment/diseases-and-treatments/sinusitis/