Article 3BBN4 Optimality Is the Mainstream Economist's Holy Grail

Optimality Is the Mainstream Economist's Holy Grail

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By now, probably thousands of articles have been published in economics journals in which the author constructs an economic model, derives from it the optimality conditions, and concludes by making policy recommendations that prescribe how governmental authorities should act-that is, should use their coercive power-to force the real world into conformity with the model's optimality conditions.

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