Why don’t economists ever learn from their mistakes?

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Cross-posted from Independent Australia:

Despite the GFC and ongoing ominous signs of financial doom, economists are eager to return to “business as usual”, writes Dr Steven Hail.

IT WAS THURSDAY, 15 October 1987, I lived in London and I had the flu. The weather outside was getting a bit windy.

I watched the weather forecast on BBC1.

Someone had rung the BBC and said she “had heard that there was a hurricane on the way”. The senior forecaster, Michael Fish, told us all not to worry.

And after all, he was the expert. You’ve got to trust the experts, haven’t you?

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.