By William K. Black
(Cross posted at Benzinga.com)
Portes as the poster child for the failure of econometrics and neoclassical dogma
Richard Portes is the economist that the U.K.’s neoclassical economists chose to be their representative. They consider him to represent the greatest strengths of neoclassical economists in general and econometricians in particular. “Econometricians” is a fancy term for economists whose specialty is statistics. Economics is unique in that one can receive exceptional honors from fellow-neoclassical economists for proving catastrophically wrong – repeatedly and causing immense human suffering. Wesley Marshall and I are doing a book that illustrates this point by focusing on Nobel Laureates in economics, and explains the underlying pathology that has so twisted the field. Portes has not been made a Laureate, but he is a global leader among neoclassical economists. Portes’ pronouncements on Iceland have proven so wrong, so often, that they serve a similar purpose in illustrating these crippling pathologies.