A critical look at the failure of mainstream economics

Joseph M. Dipoli, Salem State UniversityFollow

Abstract

Book Review

Foundations of real-world economics: What every economics student needs to know (2nd ed.), by John Komlos, New York, Routledge, 2019, 306 pp., $42.95 (Paperback), ISBN 9781138296541.

Many people in the United States of America are dissatisfied with the outcomes of the economy and some are suggesting measures that seem socialistic. The time has come to recognize that mainstream economics as taught in our schools is not serving students at all. The research sharing platform of the Latin American and Caribbean Economic Association (LACEA) states that John Komlos’s textbook Foundations of Real-World Economics: What Every Economics Student Needs to Know demonstrates how misleading it can be to oversimplify models of perfect competition relative to the real world (Vox LACEA, 2019). The math works well on college blackboards, but not so well on the main streets of America. This edition of Komlos’s text explores the realities of oligopolies, the real impact of minimum wage, the double-edged sword of free trade, and other ways that powerful institutions cause distortions in main stream models. Norbert Haring wrote “there is no doubt that a student who would otherwise be left with just the textbook wisdom will benefit greatly from reading this book and seeing that” (Haring, 2014, p. 4).

Keywords

Komlos, book review, economics, students

Chinese Abstract

对主流经济学失败的批判性反思

许多美国人对经济的状况感到不满，一些人提出了貌似社会主义性质的措施。现在是时候认识到，在我们学校所教授的主流经济学并未为学带来裨益。拉丁美洲和加勒比经济学协会（LACEA）的研究共享平台指出，John Komlos的教科书《实际经济基础：每个经济学学生需要知道什么》展示了过度简化完全竞争模型相对于现实世界能做成严重的误导（Vox LACEA，2019年）。这种数学模型在大学课堂上很有效，但在美国社会操作中则不尽如人意。Komlos的这本教材探讨了寡头垄断的现实、最低工资的实际影响、自由贸易的双刃剑、以及其他强大机构在主流模型中引起扭曲的方式。Nobert Haring写道，“毫无疑问，一个只有教科书智慧的学生将因阅读这本书受益匪浅”（Haring，2014，第4页）。

关键词：Komlos、书评、经济学、学生

ORCID Identifiers

Joseph M. Dipoli: https://orcid.org/0000-0002-6832-0241

DOI

10.5038/2640-6489.6.1.1073

Recommended Citation

Dipoli, J. M. (2021). A critical look at the failure of mainstream economics. Journal of Global Business Insights, 6(1), 22-26. https://www.doi.org/10.5038/2640-6489.6.1.1073