Comment On modern academic economic "theology" (Score 1) 213
A mainstream academic economics department is in some ways essentially a modern theocracy.
The book "Disciplined Minds" helps explain the social dynamic behind that (which applies to some extent in most graduate programs, but may be most extreme in some like economics these days):
http://disciplinedminds.com/
"Who are you going to be? That is the question.
In this riveting book about the world of professional work, Jeff Schmidt demonstrates that the workplace is a battleground for the very identity of the individual, as is graduate school, where professionals are trained. He shows that professional work is inherently political, and that professionals are hired to subordinate their own vision and maintain strict "ideological discipline."
The hidden root of much career dissatisfaction, argues Schmidt, is the professional's lack of control over the political component of his or her creative work. Many professionals set out to make a contribution to society and add meaning to their lives. Yet our system of professional education and employment abusively inculcates an acceptance of politically subordinate roles in which professionals typically do not make a significant difference, undermining the creative potential of individuals, organizations and even democracy.
Schmidt details the battle one must fight to be an independent thinker and to pursue one's own social vision in today's corporate society. He shows how an honest reassessment of what it really means to be a professional employee can be remarkably liberating. After reading this brutally frank book, no one who works for a living will ever think the same way about his or her job."
Supporting examples include "The Market as God": http://www.theatlantic.com/mag...
"A few years ago a friend advised me that if I wanted to know what was going on in the real world, I should read the business pages. Although my lifelong interest has been in the study of religion, I am always willing to expand my horizons; so I took the advice, vaguely fearful that I would have to cope with a new and baffling vocabulary. Instead I was surprised to discover that most of the concepts I ran across were quite familiar.
Expecting a terra incognita, I found myself instead in the land of deja vu. The lexicon of The Wall Street Journal and the business sections of Time and Newsweek turned out to bear a striking resemblance to Genesis, the Epistle to the Romans, and Saint Augustine's City of God. Behind descriptions of market reforms, monetary policy, and the convolutions of the Dow, I gradually made out the pieces of a grand narrative about the inner meaning of human history, why things had gone wrong, and how to put them right. Theologians call these myths of origin, legends of the fall, and doctrines of sin and redemption. But here they were again, and in only thin disguise: chronicles about the creation of wealth, the seductive temptations of statism, captivity to faceless economic cycles, and, ultimately, salvation through the advent of free markets, with a small dose of ascetic belt tightening along the way, especially for the East Asian economies.
And "The Mythology of Wealth": http://conceptualguerilla.com/...
"Justifications for elites and social hierarchy goes all the way back to the pharaohs. For 6000 years, society has organized itself into social classes. The people who do the work are always in the lower classes. The harder and nastier the work, the lower down in the social order you sink. The people who don't do this work must justify their position. They do it by establishing their "worthiness", and a variety of cultural devices have been concocted over the millennia to accomplish this. The pharaohs, you may recall, weren't people at all. They were gods. Roman emperors likewise had themselves deified, and before that Roman Senators justified their position as "patricians". Basically, "my great great granddaddy was a big shot, therefore I should be too."
The middle ages gave us the notion of the "great chain of being". Outside the earthly realm - in the realm of myth , that is - there is Jesus and the "heavenly host". Just below the angels and saints is the king, followed by his entourage of muscle men otherwise known as the "nobility". Since kings were chosen "by the grace of God", they didn't answer to ordinary mortals. At least they didn't before Runnymeade, when the English nobility straightened out King John about where his power really came from.
This is the historical background for those famous words of Thomas Jefferson. "Governments are instituted among men, and derive their just powers from the consent of the governed". Everyone has heard those words. School children recite them. Few people appreciate that those words repudiated 6000 years of mumbo-jumbo to justify the existence of social classes and fixed elites. Elites don't get their power from the gods, or from Jesus or from any other mythological source. Elites get their power from the people they rule. Power flows from the bottom up, not from the top down.
Old habits die hard. In fact, we still have a "leisure class". As capitalism has grown so has the wealth and privilege of our leisure class. The old mythologies - gods, the "great chain of being" etc. - are no longer available to justify the existence and perpetuation of our leisure class, something our elites are definitely interested in perpetuating. What was needed was a new "rational" world-view that justified the existence of privileged elites.
That rationalization came in the form of a brand new science known as economics, which included a brand new mythology.
And a plea by some academics struggling against this economic theocracy:
http://www.responsiblefinance....
"The authors of this appeal are deeply concerned that more than three years since the outbreak of the financial and macroeconomic crisis that highlighted the pitfalls, limitations, dangers and responsibilities of main-stream thought in economics, finance and management, the quasi-monopolistic position of such thought within the academic world nevertheless remains largely unchallenged. This situation reflects the institutional power that the unconditional proponents of main-stream thought continue to exert on university teaching and research. This domination, propagated by the so-called top universities, dates back at least a quarter of a century and is effectively global. However, the very fact that this paradigm persists despite the current crisis, highlights the extent of its power and the dangerousness of its dogmatic character. Teachers and researchers, the signatories of the appeal, assert that this situation restricts the fecundity of research and teaching in economics, finance and management, diverting them as it does from issues critical to society."
By more economics students:
http://www.isipe.net/open-lett...
http://www.universityworldnews...
"It is not only the world economy that is in crisis. The teaching of economics is in crisis too, and this crisis has consequences far beyond the university walls. What is taught shapes the minds of the next generation of policymakers, and therefore shapes the societies we live in. We, over 65 associations of economics students from over 30 different countries, believe it is time to reconsider the way economics is taught. We are dissatisfied with the dramatic narrowing of the curriculum that has taken place over the last couple of decades. This lack of intellectual diversity does not only restrain education and research. It limits our ability to contend with the multidimensional challenges of the 21st century - from financial stability, to food security and climate change. The real world should be brought back into the classroom, as well as debate and a pluralism of theories and methods. Such change will help renew the discipline and ultimately create a space in which solutions to society's problems can be generated."
And:
"They Did Their Homework (800 Years of It)"
http://www.nytimes.com/2010/07...
" But in the wake of the recent crisis, a few economists -- like Professors Reinhart and Rogoff, and other like-minded colleagues like Barry Eichengreen and Alan Taylor -- have been encouraging others in their field to look beyond hermetically sealed theoretical models and into the historical record. "There is so much inbredness in this profession," says Ms. Reinhart. "They all read the same sources. They all use the same data sets. They all talk to the same people. There is endless extrapolation on extrapolation on extrapolation, and for years that is what has been rewarded." "
"Economics for the Rest of Us: Debunking the Science That Makes Life Dismal"
http://www.amazon.com/Economic...
"At a time when growing numbers of people are deeply anxious about the workings of our economy--and when our very future as a society is up for grabs--economist Moshe Adler offers a lively and accessible debunking of two elements that make economics the "science" of the rich: the definition of what is efficient and the theory of how wages are determined. Filled with lively examples, from food riots in Indonesia to the eminent domain in Connecticut and everyone from Adam Smith to Jeremy Bentham to Larry Summers, here is a bold and important book that offers a foundation for a fundamentally more just economic system."
And also:
"Mainstream economics, heterodoxy and academic exclusion: a review essay"
http://www.sciencedirect.com/s...
"Does the mainstream of economic thinking and analysis tend systematically to exclude ideas and approaches that could enrich the field, and, as a consequence, have important questions and issues been shunted aside for nonobjective reasons? Two recent volumes by heterodox economists that address these questions are Geoffrey Hodgson's How Economics Forgot History: The Problem of Historical Specificity in Social Science, and Steve Keen's Debunking Economics: The Naked Emperor of the Social Sciences. I evaluate their claims of academic exclusion and assess the current state of (selective) pluralism within mainstream economics."
Anyway, these are examples of the ideological power creating and sustaining artificial scarcity at this point as a sort of intellectual neo-feudalism. As Bob Black suggests:
http://www.whywork.org/rethink...
"I don't suggest that most work is salvageable in this way. But then most work isn't worth trying to save. Only a small and diminishing fraction of work serves any useful purpose independent of the defense and reproduction of the work-system and its political and legal appendages. Twenty years ago, Paul and Percival Goodman estimated that just five percent of the work then being done -- presumably the figure, if accurate, is lower now -- would satisfy our minimal needs for food, clothing and shelter. Theirs was only an educated guess but the main point is quite clear: directly or indirectly, most work serves the unproductive purposes of commerce or social control. Right off the bat we can liberate tens of millions of salesmen, soldiers, managers, cops, stockbrokers, clergymen, bankers, lawyers, teachers, landlords, security guards, ad-men and everyone who works for them. There is a snowball effect since every time you idle some bigshot you liberate his flunkies and underlings also. Thus the economy implodes.
A bunch of economic alternatives I've collected:
http://www.pdfernhout.net/beyo...