scholarly journals Testing Economic Theory

2018 ◽  
pp. 303-313
Author(s):  
Christopher P. Guzelian
Keyword(s):  
A Priori ◽  
Number System ◽  
Physical Reality ◽  
Economic Research ◽  
Economic Knowledge ◽  
Fractional Reserve Banking ◽  
Physical Universe ◽  
And Mathematics ◽  
Reserve Banking ◽  
The One

Two years ago, Bob Mulligan and I empirically tested whether the Bank of Amsterdam, a prototypical central bank, had caused a boom-bust cycle in the Amsterdam commodities markets in the 1780s owing to the bank’s sudden initiation of low-fractional-re-serve banking (Guzelian & Mulligan 2015).1 Widespread criticism came quickly after we presented our data findings at that year’s Austrian Economic Research Conference. Walter Block representa-tively responded: «as an Austrian, I maintain you cannot «test» apodictic theories, you can only illustrate them».2 Non-Austrian, so-called «empirical» economists typically have no problem with data-driven, inductive research. But Austrians have always objected strenuously on ontological and epistemolog-ical grounds that such studies do not produce real knowledge (Mises 1998, 113-115; Mises 2007). Camps of economists are talking past each other in respective uses of the words «testing» and «eco-nomic theory». There is a vital distinction between «testing» (1) an economic proposition, praxeologically derived, and (2) the rele-vance of an economic proposition, praxeologically derived. The former is nonsensical; the latter may be necessary to acquire eco-nomic theory and knowledge. Clearing up this confusion is this note’s goal. Rothbard (1951) represents praxeology as the indispensible method for gaining economic knowledge. Starting with a Aristote-lian/Misesian axiom «humans act» or a Hayekian axiom of «humans think», a voluminous collection of logico-deductive eco-nomic propositions («theorems») follows, including theorems as sophisticated and perhaps unintuitive as the one Mulligan and I examined: low-fractional-reserve banking causes economic cycles. There is an ontological and epistemological analog between Austrian praxeology and mathematics. Much like praxeology, we «know» mathematics to be «true» because it is axiomatic and deductive. By starting with Peano Axioms, mathematicians are able by a long process of creative deduction, to establish the real number system, or that for the equation an + bn = cn, there are no integers a, b, c that satisfy the equation for any integer value of n greater than 2 (Fermat’s Last Theorem). But what do mathematicians mean when they then say they have mathematical knowledge, or that they have proven some-thing «true»? Is there an infinite set of rational numbers floating somewhere in the physical universe? Naturally no. Mathemati-cians mean that they have discovered an apodictic truth — some-thing unchangeably true without reference to physical reality because that truth is a priori.

scholarly journals PROSPETTIVE E LIMITI DELL'ECONOMIA QUANTITATIVA

2013 ◽  
pp. 43-55
Author(s):  
Luigi Pasinetti
Keyword(s):  
Political Economy ◽  
Quantitative Methods ◽  
Applied Mathematics ◽  
Natural Sciences ◽  
Economic Research ◽  
Value Judgements ◽  
And Mathematics ◽  
The One ◽  
Object Of Study ◽  
High Degree

Riassunto. –L’economia politica è, tra le scienze umane, quella che maggiormente sperimenta l’attrazione verso i metodi quantitativi e in particolare verso la matematica e la statistica. Recentemente questa attrazione si è fatta ancor più forte che in passato, al punto che non è raro trovare, tra gli economisti, dei teorici che amerebbero vedere l’economia considerata come un ramo della matematica applicata. Ma sarebbe davvero utile convogliare l’economia tra le scienze naturali o addirittura spingerla al ruolo di un ramo della matematica applicata? Una attenta riflessione porta ben presto alla constatazione che il rapporto tra economia e matematica è molto più complesso di quanto possa sembrare a prima vista. L’autore sottolinea che ci sono almeno quattro caratteristiche che differenziano l’economia politica dalle scienze naturali: l’oggetto di studio; la finalità della ricerca economica tesa ad influenzare l’oggetto di studio; la sua caratteristica di disciplina per certi aspetti positiva e per altri aspetti normativa; il coinvolgimento dei giudizi di valore. Per illustrare queste differenze e inquadrare la dimensione autonoma dell’economia politica, l’autore ricorre ad una rassegna critica delle opinioni di alcuni economisti di rilievo, che hanno dedicato contributi all’argomento qui in discussione. Specifici riferimenti vengono fatti a Marshall, Keynes, Hicks, Morishima e – tra gli economisti maggiormente presenti nelle nostre discussioni – a Sraffa e Sen, ai quali ultimi l’autore si sente più vicino.***Abstract. – Among the human sciences, economics is the one experimenting a high degree of attraction towards quantitative methods and, in particular, towards mathematics and statistics. In our times, this attraction is even stronger than in the past, so that it is customary to find, among economists, theoreticians aiming at presenting economics as a branch of applied mathematics. Is it really useful to include economics among the natural sciences, or even to consider it as a branch of applied mathematics? A careful reflection leads quickly to the awareness that the relations between economics and mathematics are much more complex than one can see at first sight. The Author underlines that there are at least four characteristics which differentiate political economy from natural sciences: the object of study; the purpose of economic research (which has an influence on the object of study); its characteristic of being a discipline which is both positive and normative; the dependence on value judgements. To illustrate such differences, and to focus on the autonomous dimension of political economy, the Author critically reviews the opinions of some famous economists, who contributed to the subject under discussion. Specific references are made to Marshall, Keynes, Hicks, Morishima and – among the economists more relevant to the present discussion – Sraffa and Sen, to whom the Author feels closer than to the others.

scholarly journals Confronting the anomaly: directions in (German) economic research after the crisis

2019 ◽  
Vol 32 (4) ◽  
pp. 449-471
Author(s):  
Ulrike Jacob ◽  
Oliver A. Brust
Keyword(s):  
Economic Research ◽  
Economic Crises ◽  
Economic Theories ◽  
Word Analysis ◽  
Alternative Approaches ◽  
The One ◽  
New Strategies

ArgumentRecurring economic crises, like the one of 2007-2008, led to criticism of economic research and a demand to develop new strategies to avoid them. Standard economic theories use conventional approaches to deal with economic challenges, heterodox theories try to develop alternatives with which to face them. It remains unclear whether the 2007-2008 crisis led to a change in economic research as well as to a consideration of alternative approaches. We used co-word analysis to map the structure of economic research in Germany between 2005 and 2014. Core topics within economic research, such as “market” or “production” hardly shift and can be linked to standard economic theories. Peripheral topics such as “inequality” or “unemployment” show greater dynamics. However, only a few of these topics can be linked to heterodox approaches. Certain changes have occurred in reaction to the 2007-2008 crisis. However, the unchanged importance of standard economic topics raises the question whether these changes are sufficient to face coming economic challenges.

scholarly journals Arithmetic Word Problems Revisited: Cognitive Processes and Academic Performance in Secondary School

2021 ◽  
Vol 11 (4) ◽  
pp. 155
Author(s):  
Gonzalo Duque de Blas ◽  
Isabel Gómez-Veiga ◽  
Juan A. García-Madruga
Keyword(s):  
Academic Performance ◽  
Word Problems ◽  
Spatial Reasoning ◽  
Deductive Reasoning ◽  
Executive Processes ◽  
Mathematical Operation ◽  
Visual Spatial ◽  
And Mathematics ◽  
The One ◽  
Memory Resources

Solving arithmetic word problems is a complex task that requires individuals to activate their working memory resources, as well as the correct performance of the underlying executive processes involved in order to inhibit semantic biases or superficial responses caused by the problem’s statement. This paper describes a study carried out with 135 students of Secondary Obligatory Education, each of whom solved 5 verbal arithmetic problems: 2 consistent problems, whose mathematical operation (add/subtract) and the verbal statement of the problem coincide, and 3 inconsistent problems, whose required operation is the inverse of the one suggested by the verbal term(s). Measures of reading comprehension, visual–spatial reasoning and deductive reasoning were also obtained. The results show the relationship between arithmetic problems and cognitive measures, as well as the ability of these problems to predict academic performance. Regression analyses confirmed that arithmetic word problems were the only measure with significant power of association with academic achievement in both History/Geography (β = 0.25) and Mathematics (β = 0.23).

scholarly journals Minkowski box from Yangian bootstrap

2021 ◽  
Vol 2021 (4) ◽  
Author(s):  
Luke Corcoran ◽  
Florian Loebbert ◽  
Julian Miczajka ◽  
Matthias Staudacher
Keyword(s):  
Minkowski Space ◽  
Wigner Function ◽  
Functional Form ◽  
A Priori ◽  
Alternative Methods ◽  
Feynman Integrals ◽  
The One

Abstract We extend the recently developed Yangian bootstrap for Feynman integrals to Minkowski space, focusing on the case of the one-loop box integral. The space of Yangian invariants is spanned by the Bloch-Wigner function and its discontinuities. Using only input from symmetries, we constrain the functional form of the box integral in all 64 kinematic regions up to twelve (out of a priori 256) undetermined constants. These need to be fixed by other means. We do this explicitly, employing two alternative methods. This results in a novel compact formula for the box integral valid in all kinematic regions of Minkowski space.

scholarly journals Supergraph calculation of one-loop divergences in higher-derivative 6D SYM theory

2020 ◽  
Vol 2020 (8) ◽  
Author(s):  
I. L. Buchbinder ◽  
E. A. Ivanov ◽  
B. S. Merzlikin ◽  
K. V. Stepanyantz
Keyword(s):  
Effective Action ◽  
A Priori ◽  
Coupling Constant ◽  
Harmonic Superspace ◽  
Classical Action ◽  
Higher Derivative ◽  
Component Approach ◽  
Dimensionless Coupling ◽  
The One ◽  
Dimensionless Coupling Constant

Abstract We apply the harmonic superspace approach for calculating the divergent part of the one-loop effective action of renormalizable 6D, $$ \mathcal{N} $$ N = (1, 0) supersymmetric higher-derivative gauge theory with a dimensionless coupling constant. Our consideration uses the background superfield method allowing to carry out the analysis of the effective action in a manifestly gauge covariant and $$ \mathcal{N} $$ N = (1, 0) supersymmetric way. We exploit the regularization by dimensional reduction, in which the divergences are absorbed into a renormalization of the coupling constant. Having the expression for the one-loop divergences, we calculate the relevant β-function. Its sign is specified by the overall sign of the classical action which in higher-derivative theories is not fixed a priori. The result agrees with the earlier calculations in the component approach. The superfield calculation is simpler and provides possibilities for various generalizations.

scholarly journals A Digital Currency Architecture for Privacy and Owner-Custodianship

2021 ◽  
Vol 13 (5) ◽  
pp. 130
Author(s):  
Geoffrey Goodell ◽  
Hazem Danny Al-Nakib ◽  
Paolo Tasca
Keyword(s):  
Systemic Risk ◽  
Banking System ◽  
Developed Countries ◽  
Fractional Reserve Banking ◽  
Point Of Sale ◽  
Digital Currency ◽  
Fractional Reserve ◽  
Banking Relationships ◽  
Reserve Banking ◽  
Payment Mechanisms

In recent years, electronic retail payment mechanisms, especially e-commerce and card payments at the point of sale, have increasingly replaced cash in many developed countries. As a result, societies are losing a critical public retail payment option, and retail consumers are losing important rights associated with using cash. To address this concern, we propose an approach to digital currency that would allow people without banking relationships to transact electronically and privately, including both e-commerce purchases and point-of-sale purchases that are required to be cashless. Our proposal introduces a government-backed, privately-operated digital currency infrastructure to ensure that every transaction is registered by a bank or money services business, and it relies upon non-custodial wallets backed by privacy-enhancing technology, such as blind signatures or zero-knowledge proofs, to ensure that transaction counterparties are not revealed. Our approach to digital currency can also facilitate more efficient and transparent clearing, settlement, and management of systemic risk. We argue that our system can restore and preserve the salient features of cash, including privacy, owner-custodianship, fungibility, and accessibility, while also preserving fractional reserve banking and the existing two-tiered banking system. We also show that it is possible to introduce regulation of digital currency transactions involving non-custodial wallets that unconditionally protect the privacy of end-users.

When Mathematics Teacher Educators Come Under Attack

2018 ◽  
Vol 6 (2) ◽  
pp. 68-74
Author(s):  
Rochelle Gutiérrez
Keyword(s):  
Teacher Education ◽  
Mathematics Education ◽  
Mathematics Teacher ◽  
Teacher Educators ◽  
Mathematics Teacher Education ◽  
Professional Organizations ◽  
Mathematics Teacher Educators ◽  
And Mathematics ◽  
The One ◽  
Historical Moment

We are in an interesting historical moment in mathematics teacher education. On the one and, there is greater realization within our field of the connections between systems of power and mathematics (O'Neil, 2016). We are starting to acknowledge how mathematics education can be viewed as dehumanizing for both students and teachers as well as what might constitute rehumanizing practices (Gutiérrez, in press). Our professional organizations are calling for teachers to move beyond simplistic notions of equity to understand these power dimensions and challenge the system on behalf of (and in community with) Black,1 Indigenous,2 and Latinx3 students in particular

Three Kantian Routes to the Synthetic A Priori

2021 ◽  
pp. 1-28
Author(s):  
Robert Audi
Keyword(s):  
A Priori ◽  
Pure Reason ◽  
Critique Of Pure Reason ◽  
Insufficient Attention ◽  
Synthetic A Priori ◽  
The One ◽  
Philosophical Importance

Abstract Kant influentially distinguished analytic from synthetic a priori propositions, and he took certain propositions in the latter category to be of immense philosophical importance. His distinction between the analytic and the synthetic has been accepted by many and attacked by others; but despite its importance, a number of discussions of it since at least W. V. Quine’s have paid insufficient attention to some of the passages in which Kant draws the distinction. This paper seeks to clarify what appear to be three distinct conceptions of the analytic (and implicitly of the synthetic) that are presented in Kant’s Critique of Pure Reason and in some other Kantian texts. The conceptions are important in themselves, and their differences are significant even if they are extensionally equivalent. The paper is also aimed at showing how the proposed understanding of these conceptions—and especially the one that has received insufficient attention from philosophers—may bear on how we should conceive the synthetic a priori, in and beyond Kant’s own writings.

Agent-based modeling for benchmarking banking regulation regimes: Application for the CBDC

2021 ◽  
Vol 16 (4) ◽  
pp. 261-272
Author(s):  
Vladimir Nechitailo ◽  
Henry Penikas
Keyword(s):  
Banking Regulation ◽  
Agent Based Modeling ◽  
Capital Adequacy ◽  
Fractional Reserve Banking ◽  
Reserve Requirement ◽  
Agent Based ◽  
The Great Depression ◽  
Reserve Banking ◽  
Von Mises ◽  
Capital Adequacy Regulation

COVID-19 pandemic challenges the sustainability of the modern financial system. International central bankers claim that banks are solid. They have accumulated significant capital buffers. Those buffers should be further more augmented by 2027 in line with Basel III reforms. However, disregarding such a consecutive rise in the banking capital adequacy requirements, the US financial authorities undertook an unprecedented step. First time in the country history they lowered the reserve requirement to zero at the end of March 2020. Friedrich von Hayek demonstrated the fragility of the modern fractional reserve banking systems. Together with Ludwig von Mises (von Mises, 1978) he was thus able to predict the Great Depression of 1929 and explain its mechanics much in advance. Thus, we wish to utilize the agent-based modeling technique to extend von Hayek’s rationale to the previously unstudied interaction of capital adequacy and reserve requirement regulation. We find that the full reserve requirement regime even without capital adequacy regulation provides more stable financial environment than the existing one. Rise in capital adequacy adds to modern banking sustainability, but it still preserves the system remarkably fragile compared to the full reserve requirement. We also prove that capital adequacy regulation is redundant when the latter environment is in place. We discuss our findings application to the potential Central Bank Digital Currencies regulation.

WTLS-Bayes Filter-based Relative Pose Estimation for Space Non-cooperative Unknown Target Without a Priori Knowledge

2021 ◽  
Author(s):  
CHENGGUANG ZHU ◽  
zhongpai Gao ◽  
Jiankang Zhao ◽  
Haihui Long ◽  
Chuanqi Liu
Keyword(s):  
Pose Estimation ◽  
A Priori ◽  
Convergence Time ◽  
Estimation Accuracy ◽  
A Priori Knowledge ◽  
One Step ◽  
Relative Pose ◽  
The One ◽  
Negative Factors ◽  
Priori Knowledge

Abstract The relative pose estimation of a space noncooperative target is an attractive yet challenging task due to the complexity of the target background and illumination, and the lack of a priori knowledge. Unfortunately, these negative factors have a grave impact on the estimation accuracy and the robustness of filter algorithms. In response, this paper proposes a novel filter algorithm to estimate the relative pose to improve the robustness based on a stereovision system. First, to obtain a coarse relative pose, the weighted total least squares (WTLS) algorithm is adopted to estimate the relative pose based on several feature points. The resulting relative pose is fed into the subsequent filter scheme as observation quantities. Second, the classic Bayes filter is exploited to estimate the relative state except for moment-of-inertia ratios. Additionally, the one-step prediction results are used as feedback for WTLS initialization. The proposed algorithm successfully eliminates the dependency on continuous tracking of several fixed points. Finally, comparison experiments demonstrate that the proposed algorithm presents a better performance in terms of robustness and convergence time.

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