CONTEMPORARY CHALLENGE TO NEO CLASSICAL ECONOMICS: POST AUTISTIC ECONOMICS

Abstract

Neoclassical economic theorem heavily criticized by French academia due to the postulate of inhuman econometric modelling in continental Europe and later in the United States. The interdisciplinary nature of economics was highlighted, and models heavily based on mathematics were questioned. It was argued that these studies, heavily based on econometrics, had overlooked the sociological, human-based foundation of economics. So that uniform economic policy solutions to macro-economic instability may not be compatible with the cultural codes of each country. There must be tailor made economic policy prescriptions suitable to the countries necessities.   Post-autistic economists argue that, unlike other sciences, the relatively limited philosophical and methodological discussions in economics have led to this field being closed to critical assessments and developments. In particular, the increasing inequality in wealth between societies and countries in the new global system, the rise in environmental problems, and the turmoil in the global financial system increase the need for new solutions that involve a more open mindset in economics. This school, which emerged as a critique of neoclassical economic theory, offers a different perspective by addressing the difficulty of treating the economic crisis cycle independently within the system. Originating in France and developing a European focus, this school gained many adherents in the United States in different universities. This new movement and its contributions, which have become an institutional new economic school and which contributes to the theoretical framework and shares its criticisms and proposed solutions on the Real World Economics website, will be discussed in this article.