Open AccessShould the Dynamic Stochastic General Equilibrium (DSGE) Model be taught to Undergraduate Students of Economics?
Author(s) -
Álvaro Moreno Rivas
Publication year - 2019
Publication title -
papeles
Language(s) - English
Resource type - Journals
eISSN - 2346-0911
pISSN - 0123-0670
DOI - 10.54104/papeles.v10n19.627
Subject(s) - dynamic stochastic general equilibrium , general equilibrium theory , economics , process (computing) , mathematical economics , keynesian economics , macroeconomics , computer science , monetary policy , operating system
In this article we present the consequences of introducing the advanced teaching of the DSGE (Dynamic Stochastic General Equilibrium) models to undergraduate economics programs. This monoculture leads to the deepening of the discipline insularity, to the disappearance of the paradigmatic plurality inside the economics departments and to the silencing of critical voices. This process obeys Gresham’s Law of ideas: bad models displace good ideas.