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faculty: "FEB" and publication year: "2010"
| Author||H. Maas|
|Title||Rekenmeesters, heelmeesters, vogelaars: de vinger aan de pols van de economie|
|Faculty||Faculty of Economics and Business|
|Institute/dept.||FEB: Amsterdam School of Economics Research Institute (ASE-RI)|
|Abstract||The economic crisis of 2008 and beyond raises questions concerning the future of economics; not only of the institutions of the economy, but also of the future of the economic discipline. In this paper we first discuss what neoclassical economics consists of, and how the new research programs have adapted it. We pay special attention to behavioral economics as one of the most prominent new programs. Subsequently, we discuss which fault economists of different theoretical inclinations have observed to have caused the crisis, and which solutions they have advanced to solve it. Finally, we propose what we believe is an example of a promising behavioral economic solution to help prevent future crises, the Default mortgage. The Default mortgage guards individuals against their bounded rationality while at the same time maintaining, if not enhancing, the welfare-producing capacities of the market.|
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