Contemporary Neoclassicism and its Methodology

doi: https://doi.org/10.35536/lje.2001.v6.i2.a2

Jawwad Noor



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Abstract

The last 10 to 20 years have seen a rapid rise of a new school in Macroeconomics. One of the most interesting characteristics of this school is its use of non-econometric methods for predicting and calculating various variables of the economy. If traditional econometrics has lost some of the force it has had for decades, it is of interest to analyse the merits of the new system replacing it. Most importantly, it is of interest to study the methodological justification of this new system and the paradigm it rests on. The latter is the main purpose of this paper.

Keywords

Macroeconomics, neoclassicism, dynamic programming