Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
11016148 | European Journal of Political Economy | 2018 | 11 Pages |
Abstract
Econ is the representative academic economist who behaves as predicted by economic theory. The paper considers an important parameter β. It assumes that economic theory predicts the sign on β, and that an empirical literature of M papers exists about β. Two cases are considered: (C1) Econ is in the academic career writing a paper with a new estimate of β. (C2) Econ is advising the Minister who is in charge of a policy using β. Economic theory gives a clear prediction in both cases: The size of β will be exaggerated in (C1) and even more in (C2).
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Martin Paldam,