Open AccessOur Economy
Author(s) -
Christian Müller
Publication year - 2011
Publication title -
modern economy
Language(s) - English
Resource type - Journals
eISSN - 2152-7245
pISSN - 2152-7261
DOI - 10.4236/me.2011.24063
Subject(s) - strengths and weaknesses , economics , perspective (graphical) , asset (computer security) , action (physics) , point (geometry) , computer science , epistemology , philosophy , physics , geometry , computer security , mathematics , quantum mechanics , artificial intelligence
I discuss the strengths and weaknesses of the current predominant approach to macroeconomic modelling of asset prices and suggest an alternative perspective. This alternative rests on the insight that the economy is the result of individual decisions. The industry standard has it, however, that individual action is ruled by objective, general laws instead. Changing the point of view allows to reconcile numerous puzzles and paves the way for a promising new research agenda