Economics everywhere
On Monday the economics editor Evan Davis turned in a neat little piece for the Ten O'Clock News about the heatwave. It started out as quite a serious concept - "let's say something new about the impact on the economy" - but turned a bit more fluffy.
The question "does the thermometer have an agent?" probably gives a flavour (you can watch the piece by clicking here).
In a roundabout way this illustrates that economists aren't limited to things like J curves and monetary policy. Evan, for example, sometimes does essays for the Today programme about obscurely fascinating pieces of research. And from time to time economists gather somewhere in the world to exchange papers on apparently trivial subjects; a well known one, I hear - and some years ago - is an examination of why people don't sit in the front row at public meetings (that's not just a shyness thing).
But more importantly, the truth is there's pretty much nothing an economist won't take a look at, and often find something new to say about it. The reason being that economics is not just the study of big economy things: look no further than the popularity of the book Freakonomics. And, coming soon on ³ÉÈËÂÛ̳ Two, a series called "Trust me, I'm an Economist" - one programme is about love.
Consider too a few recent pieces on radio and TV displaying what you might call the economist's take - why finishing the 2012 Olympic stadium too early would be a costly mistake; more controversially, why closing hospitals or wards can be a sign that NHS reforms are working. Interesting stuff. If you want to hear more about how economics relates to the small things in life as well as the big, maybe we can wheel out Mr Davis here to enthuse...
Comments
Would be fascinated to find out more about why finishing the Olympic stadium too early would be a costly mistake - can you provide a link to more info? Thanks.
A chemist, a physisist and an economist are on a boat. It's the middle of nowhere and they have only one can of food to share, but nothing to open it with. So the chemist says, "give it to me, i'll throw it in the water and let the chemical compunds corrode the metal.""The physisist objects, however, and suggests that they use sunbeams to somehow open it. But that is just as feeble. So then the economist goes, "No, no, no, no...What we have to do...is assume we have a can opener.
Economists therefore have an answer to pretty much everything.
It is all fascinating stuff, but where exactly is there any actual economics, as a supposed science, in it?
I'm all in favour of such good stories and insights, but isn't it a shame that that only ones that can be wrapped around the flagpole that has "Business and Economics" get to air through yourself? Don't you find yourself having to tun away one's that don't fit that?
I, too, be interested to know the details of why finishing the Olympic stadium too early would be a costly mistake. I suspect it's because you'd be spending the money -- and thus incurring the opportunity cost of so doing -- before you needed to, since you probably wouldn't be able to use the stadium for other, money-making purposes until after the games. You'd also start incurring maintenance costs.
It's the same sort of reason you wouldn't want to complete a house purchase, if you could avoid it, until you were ready to move in.
Econimists exist to make astrologers/weather forecasters/(insert favourite prognosticator profession here) look good.
The sad part is, they do a bang up job of it too!
"...the truth is there's pretty much nothing an economist won't take a look at, and often find something new to say about it. The reason being that economics is not just the study of big economy things..."
If only this truth were more widespread! But while we're at it, let's also not neglect the fact that you don't have to do empirical studies to learn about human behavior. The general study of human action, praxeology, lends light on many facets of life. Economics is but one aspect of this approach. But it is welcome to see economics get some positive attention and a return to everyday relevance.
The Olympics piece was an audio essay on the Today programme by Evan Davis back in July - you can click here to listen to it
Fascinated to find that out about the Olympics, and would be interested in hearing about the NHS reforms too...
With that in mind, and touching on the point that someone made about a weather forecast, could there not be a regular ³ÉÈËÂÛ̳ economics forecast broadcast around the news, which dealt with interesting pieces of information like this?
Would an idea like that not lend itself to an economics blog... ?