Sentences with phrase «standard economic theory»

Last but by no means least, standard economic theory predicts that increased trade will grow the economy but hurt some specific social classes.

Our book shows, I believe, that there is no reason for people of good will to accept the basic assumptions that are quite explicit and clear in standard economic theory.

With more demand in the debt market, standard economic theory suggests that mortgage rates would increase faster than they would have absent a higher deficit, raising the cost of financing a home.

First, there is one challenge that does not lie outside standard economic theory although its seriousness is rarely acknowledged by economists.

Why it matters: Standard economic theory holds that borrowers should repay high - interest debts first in order to minimize interest payments.

Standard economic theory predicts that workers will exert more effort when monetary rewards are tied to the amount of the product they produce.

But we have not found in standard economic theory and practice a recipe for making people in general happier.

Argentina's paper economy has collapsed as a result of the government's following the teaching of standard economic theory too faithfully.

To yield to pressures for present profit, knowing that this must rapidly diminish, leaving impoverished land behind, is typical of the sort of thinking has been too much encouraged by standard economic theory.

Persons responsible for the environment have found that standard economic theories do not help them.

This helps explain why our debt burden has not yet triggered what standard economic theory would dictate: a steep decline in the value of the U.S. dollar followed by a severe contraction of the American economy when we found we could no longer afford the foreign goods we like so much.

It's true, standard economic theory allows a role for government intervention to correct «market failures» arising from the negative externalities of greenhouse gas emissions.

Supply and demand, money and prices, would still go on working if people had identities more complex than the windup toys of standard economic theory.

In terms of decision - making, the description of System 2 bears a close resemblance to the rational, general - purpose processor presupposed by standard economic theory.

Standard economic theory predicts that firms will not invest in general training and will underinvest in specific training.

A still more important factor ignored by Buchanan has been the victory of the standard economic theory that 5 to 7 percent unemployment is needed to prevent inflation.

Here we encounter a theoretical difference between challengers and standard economic theory.

Since the seventies I have been quite sure that standard economic theory is profoundly mistaken in its basic premises.

«If the standard economic theory is right,» he says, «most individuals will save almost all of a payment.»

Standard economic theories of «economic substitution» and «creative destruction» apply.