What is Fantasy Free Economics?

What is fantasy free economics? Fantasy free economics is standard economic dogma with all fantasy removed. After that natural law is added in. All of the erroneous assumptions are removed from standard dogma and corrected assumptions are added back in. How much of economics dogma is fantasy? Very little of it is not rooted in fantasy.

What is an example of a standard economics fantasy? The biggest one is John Maynard Keynes’s fantasy of a straw man. A straw man is an imaginary non biased government employee charged with implementing a government economic policy. Nature does not provide an entity in the form of a straw man. Even if it is not mentioned in the text of the economic models, the straw man is assumed present. Just mention that one item and it is enough to debunk any stimulus program.

What is an example of an erroneous assumption? In traditional dogma an individual is seen as an autonomous freedom seeking entity who makes independent decisions. The discipline of evolutionary psychology is great source of insight in this area. People are actually not natural freedom seekers. From birth forward, humans use freedom like an asset. Freedom is bargained away for comfort.

Fantasy free economics also honors transactions where money is not exchanged. Trading freedom for comfort is a transaction where value is exchanged. It is also the first economic decision a person makes. It is also a transaction that is repeated many times over a lifetime.

These are just a few important differences. There are quite a few more.

This is all with respect to aggregate economics. Micro economics is just fine.

The truth is a hard sell. Fantasy Free Economics gains readers one at a time. Major search engines simply do not list blogs which disagree with their political agenda. As long as folks share the link to this blog and others speaking out against the grain, the truth will at least trickle into the public consciousness.

Fantasy Free Economics recommends the following blogs.

Of Two Minds Liberty Blitzkrieg Mises Institute Straight Line Logic Paul Craig Roberts