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825d
There’s no such thing as macroeconomics
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"There's no such thing as tables. Only quarks and electrons."
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If you want a physics equivalent, it's more like: "there's no such thing as astrology, only astronomy".
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I can get on board with that.
I have not studied econ. But my outsider's view is that Micro seems to be a well-understood, quantitative science.
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While Macro, OTOH, necessarily involves much more psychology, sociology, and other things disciplines that still lack predictive quantitative models (eg, equations that Actually Work)
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Bingo
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Explain
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Microeconomics is real economics. Macroeconomics is made up to imply there's some magical line you cross where it switches from real economics to fantasy economics.
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Forces of supply and demand apply no matter how big of an economy you're dealing with. "Macroeconomics" was invented by socialists/Keynesians.
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While I share your contempt for Keynesian economics, and while "macroeconomics" in particular could be just keynesian nonsense (I don't know), I would still think that there should
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be room for a macroscopic view of things. The science analog I would use to suggest this is Quantum Mechanics vs General Relativity. QM is super accurate for small things.
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QM is also demonstrated to scale beyond the "micro" realm:
https://spectrum.ieee.org/a-quantum-drum-brings-quantum-mechanics-to-the-macroscale
https://archive.fo/VSLWc
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I didn't check the links, but generally your sentiment is true, QM effects can be see on large scale, GR effects can be seen on small scale. But my point is their "roots" are different
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Oversimplified: GR was developed by observing macroscopic phenomena (gravity mainly), QM was developed observing microscopic phenomena (elementary particles mainly).
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That is, at least the "mainly" parts I wrote there are "oversimplifications at best". GR was maybe mainly developed by thought experiments with regards to light speed.
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Truth, yes.
QM is an enigma:
1. QM looks like something a menstruating witch on shrooms dreamt up.
2. So randomly often QM seems to correlate things we never imagined correlated.
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GR is super accurate for big things. They do not combine well, but until we have a theory of everything (if ever), both approaches bring important insights for the complete picture.
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👍
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I agree GR works better for big things and QM better for small. But in the case of economics micro works better for both big and small
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Macro Is the Government intervention on the free market
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Macro is the excuse for intervention. But no matter how much they intervene, "free" market forces still apply.
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"Experts" on macroeconomics are consistently wrong in their predictions. Microeconomics explains everything, even at a global scale.
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See Rothbard's The Mystery of Banking to get a clear view of the global economy in microeconomic terms: https://mises.org/library/mystery-banking
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Gonna Read It, thanks
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A Picture of it


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