Economists need to act with urgency

Comments on Christopher Joye “Twisting in the mind”, 22/05/2009, http://www.businessspectator.com.au/bs.nsf/Article/Twisting-in-the-wind-pd20090522-SA4FQ?OpenDocument&src=sph

My view is that economists as a profession that have a responsibility must do their best to contribute to this debate. And they need to do that with an ultimate urgency.

No matter which schools of thought is or will be eventually proven to correct, there is a clear need for a serious and open debate on the issue. It is so important and affects almost everyone’s life. It is an inevitable debate. If it had not been clear in the past, it should surely abundantly clear by now given that the recent financial crisis almost brought down the world financial system and has resulted in the current great recession not seen since the great depression in the early 1930s.

A debate on this issue will need new and more rigorous theoretical supports. Unfortunately, we have got such luxury of well founded economic theories to support the debate. The economist profession needs to stand up to the challenges and shouldn’t still dwell in their comfort zone of research to study the real, urgent and important economic issues, crisis if you like.

Keynes created the main thrust of Keynesian theories in response to or in the aftermath of the great depression. It shouldn’t be too much to expect economists to come up with similar work in the wake of this great recession. After all, there are many times of economists now than the case during the heyday of Keynes time, so they should produce something useful to the society. Otherwise, they will have difficulties in justifying their pays taken from the society.

PS: I myself am also trained as an economist, but my economic skill is very rusty due to nature of work. So I can only call myself an amateur economist. Inspect of that, I should be among all the economists to share this responsibility.