The Usefulness of Truth : An Enquiry Concerning Economic Modelling

Abstract

This thesis attempts to justify a normative role for methodology by sketching a pragmatic way out of the dichotomy between two major strands in economic methodology: empiricism and postmodernism. I discuss several methodological approaches and assess their aptness for theory appraisal in economics. I begin with the most common views on methodology (i.e. empiricism and postmodernism) and argue why they are each ill-suited for giving methodological prescriptions to economics. Then, I consider positions that avoid the errors of empiricism and postmodernism. I specifically examine why the two major strands of methodological criticism fail to give helpful methodological advice to economists and sketch out a pragmatic approach that can do this.