The Samuelsonian synthesis is intellectually unstable because micro and macro rest on inconsistent assumptions

Evidence

It’s a deeply reasonable approach—but it’s also intellectually unstable. For it requires some strategic inconsistency in how you think about the economy. When you’re doing micro, you assume rational individuals and rapidly clearing markets; when you’re doing macro, frictions and ad hoc behavioral assumptions are essential. — Philip Mirowski, Never Let a Serious Crisis Go to Waste, 61

Categorization

  • XREF: This describes the micro-macro contradiction that the author elsewhere places at the root of economics’ fragility and later reworkings. — connects to: The Samuelsonian synthesis subordinates free markets to prior government full-employment policy — Philip Mirowski, Never Let a Serious Crisis Go to Waste, 60; Samuelsonian synthesis depends on strategic micro-macro inconsistency — Philip Mirowski, Never Let a Serious Crisis Go to Waste, 60; Formal neoclassical theorems undermine the very principles the theory claims to establish — Philip Mirowski, Never Let a Serious Crisis Go to Waste, 70
  • corroborated: 3 independent passages support this claim — Philip Mirowski, Never Let a Serious Crisis Go to Waste, 61

Broader Connections