The problem of human action has been reduced to a formula.  Human action is always a variable.  Trying to place it in a formula reduces humans to a number.  Humans aren’t soulless automatons.  These formulas must be wrong.  This is simple logic.  The pseudo-economists will use various terms like “armchair” economists.  They’re reduced to name calling rather than using logic to refute what they said because they can’t.

The so-called economists use formulas for a specific reason.  They want you to think economics should be left to some esoteric group.  The masses won’t look into what they’re doing if they think that.  This way, they can get away with anything.  From massive printing to pushing digital currency.  Economics is not difficult.  Just don’t get confused by details.  Stick to the basics and you’ll see everything they do is absurd.

The pseudo-economist’s result would be good if the model was good.  If the result is accurate, it just happened to be that way.  It in no way means the model is accurate in predicting human action.  It doesn’t magically discover economic laws.  He might even become famous in the profession.  Just because he’s famous, it doesn’t mean he’s good.  The model just received a lot of pats on the back from the field.

Economics can never be turned into a quantitative science.  It doesn’t matter how popular these mathematical equations become.  Economics is always qualitative and that won’t change.  Statistics are a history of past human action.  The past numbers can’t be used to predict human behavior.  It’s very likely the pseudo-economists know this.  They don’t care if anything that put forward is correct.  They only care about what they put forward.

It’s logically impossible to predict human action with past numbers.  On top of that, it’s even more absurd that they are trying to predict behavior of a giant blob.  The pseudo-economists will try to explain what they do in fanciful and complicated terms.  That doesn’t change the facts of what they’re actually doing.  What they’re engaged in won’t benefit the masses in any way.  On the contrary, it will harm them.

Reference

Ludwig von Mises; Human Action