Policy insights

Policy Insights

Policy Insight 53: Nature of an economy

The financial crisis and the ensuing recession have prompted reappraisals of the state of macroeconomic theory. This policy insight argues that we have to think of an economy as an 'open system' in the ontological sense and adapt out methods to the nature of an economy, ultimately changing the way in which we do economics.

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Citation

Leijonhufvud, A (2011), Policy Insight 53: Nature of an economy, CEPR Policy Insight No 53, CEPR Press, Paris & London. https://cepr.org/publications/policy-insight-53-nature-economy