Coda: “Please Count My Time in Hours not in Millimeters”
Coda: “Please Count My Time in Hours not in Millimeters” Macroeconomics suffers from dimension aberration , or misaligning the dimensions of terms in the equation. This rudimentary negligence often leads to reverse causation , an unforgivable sin if in a science. Naturally or providentially, macroeconomics is more like a parable, far from “empirical.” In classical economics , “the market” is not anything other than a metaphor to discover a conceptual price that might have “cleared the market” over a certain accounting period. In the diagram, “the equilibrium price ,” as often called, on the ordinate ( p for price) is ex post and “equilibrium” is in terms of quantity on the abscissa ( q for “quantity traded”). Actual prices are all different, but nevertheless the subjunctive price works as “the baton of the invisible hand ” in the medium to long run. ...