What? Following a trend for predictions? They did that, the graphs went exactly as predicted till suddenly they plummeted, in a matter of hours. A crash. That's where science is so limited in economics.Hagi said:You mistake those irrational elites for scientists. They aren't scientists.Treblaine said:How do you falsify a scientific Theory of Economy without destroying an economy? How do you even verify it, an economy that isn't even a closed system!
You can't make a lab-rat economy, there is no human analogue. Computers can't do it either, they are not advanced enough to emulate human decision making, especially not on a vast scale. Everything is unproven theories till they are actually applied and applied on a scale that affects millions!
And yes, I know science is supposed to be about falsification and verification but irrational elites are VERY good at rationalising reasons to ignore or silence those who cast doubt on their ideas. ESPECIALLY when the ideas are already in practice, that's the problem with trying to run a country with science, the system is just so complex and unpredictable: chaotic that science cannot tell you what to do.
If you actually follow the true scientific standard of proof and falsification you can't actually use science to run countries. Only have it as an aide in certain circumstances.
The best we can do at the moment accountability and vigilance, so many unpredictable individuals wielding so much power (money), the best we can do is patch things as they go along and rebuild it when it crashes. You can't control it, you can't let it run wild.
Science has it's applications, but it is not the be-all and end-all.
How do you falsify an economic theory? Easy.
An economic theory needs to make predictions. You don't have to do anything to the system. You don't have to use any lab-rats. You merely need data.
Your economic theory will predict a pattern. If your data shows the same pattern then your theory holds, for now. If it shows a different pattern then your theory needs work.
You keep collecting data. You keep working on that theory. You keep checking your theory.
That's all the scientific method is. The creation, verification and falsification of scientific theories.
All the experimentation is helpful and speeds up the process when it can be used, but that's not what the scientific method is.
Passive observation is just as scientific as controlled observation. It's just a lot harder to draw conclusions from. But when you don't have a choice there's plenty of statistical research and theories on how to responsibly draw conclusions from passive observation.
The key part about using science in government is that every policy needs to be verifiable and falsifiable. Politicians need to show what actual theory (common sense is not a scientific theory) lies behind their plans. What they predict would happen if their plans were implemented (if they can't make concrete predictions then they need to research it more) and under what circumstances their plans fail (if any exception is an "exception that proves the rule" then it's not scientific).
It's got absolutely nothing to do with getting a giant AI with an IQ of 200000 to run the country. It's got nothing to do with saying that current scientific theory is suddenly absolute truth and going with that. It's got nothing to do with turning the entire country in an experiment to test whatever crazy theory Bob, the lead scientist, came up with today.
It's got everything to do with a responsible working method that leads to actual results, as the progress of the past decades has shown.
That's the problem with a chaotic system, just because it's going fast and steady for months at a time doesn't mean it isn't going too fast and that it will fail and under an unpredictable .
Chaos is throwing a bowling ball down a dark flight of stairs, such a predictable parabolic trajectory till it hits a step then it flies off in an unpredictable direction, unpredictable velocity, with incalculable rotation and air resistance. And if your theory is founded on that parabolic trajectory then all your plans assume the ball will travel right through the stairs without resistance.
And how do you falsify these economic theories?
Say injecting X amount of money into Y with Z restrictions at a certain date, the economy goes as predicted... how do you falsify that?
What happens when they try to do the same thing under quite different circumstance, and bet EVERYTHING that is works and... it doesn't. The "proven theory" could have been just a fluke! Or influenced by factors that were present "in vitro" yet not factored in the theory such as the simple fact that the people who have money in the economy believed it would work. A kind of placebo effect. How do you know which was the fluke?
I don't know if it was you or someone else but they said "just let science run everything" well they are and STILL so very little is known for certain, this latest financial crisis has cast long standing ideas into doubt.
But there is a fundamental problem here: the economy is self-aware.
Each element - the investors - know what is going on, they know the theories that the government scientists are trying, what they predict, and that just makes the system so chaotic as individuals try to exploit this for their own ends. And the system is so complicated, each individual is influenced by the entire system that influences the whole system again.