I have tried to make clear in this brief sketch of the nature of deductively formulated theories, at least as they occur in economics, that, although their origin lies in common observation and introspection, nevertheless they are capable of a purely mathematical development through the exact statement of a of a set of postulates which, however, since they must inevitably contain assumptions about human behaviour, require to be tested by reference to actual events.
Richard StoneRelated topics
actual brief clear common development economics human introspection least nature observation origin reference set sketch statement try behaviour liesRelated quotes
O God, enlarge within us the sense of fellowship with all living things, even our brothers, the animals, to whom Thou gavest the earth as their home in common with us. We must remember with shame that in the past we have exercised the high dominion of man with ruthless cruelty so that the voice of the earth, which should have gone up to thee in song, has been a groan of pain. May we realize that they live, not for us alone, but for themselves and for Thee and that they love the sweetness of life.
Basil of Caesarea
Wallis did not become interested in mathematics till the age of thirty-one, but devoted himself to the subject for the rest of his life. One of the earliest and most important books on algebra ever written in English was his treatise published in 1685. It contains a brief historical sketch of the subject which is unfortunately not entirely accurate, but his treatment of the theory and practice of arithmetic and algebra has made the book a standard work for reference ever since.
John Wallis
What makes a piece of mathematical economics not only mathematics but also economics is, I believe, this: When we set up a system of theoretical relationships and use economic names for the otherwise purely theoretical variables involved, we have in mind some actual experiment, or some design of an experiment, which we could at least imagine arranging, in order to measure those quantities in real economic life that we think might obey the laws imposed on their theoretical namesakes.
Trygve Haavelmo
Multiple discoveries are in fact very common in science and for much the same reason. Developments in related fields with different motivation help one to understand a difficult problem better. Since these developments are public knowledge, many scholars can take advantage of them. It is pleasant to the ego to be first or among the first with a new discovery. However, in this case at least, the evidence is clear that the development of general equilibrium theory would have gone on quite as it did without me.
Kenneth Arrow
Heisenberg now approached the problem from a new philosophical angle. He discarded all models, pictures and parables, and made a clear distinction between sure knowledge we gain from observation of nature and the conjectural knowledge we introduce when we use models, pictures and parables. Sure knowledge... can only be numerical, so that Heisenberg's results were inevitably mathematical in form, and could not disclose anything about the true nature of physical properties or entities.
James Jeans
