Definition
Mainstream economics may be used to describe the body of knowledge, theories, and models of economics, as taught across universities, that are generally accepted by economists as a basis for discussion. It can be contrasted to heterodox economics, which encompasses various schools or approaches that are accepted by their proponents. The economics profession has generally been associated with neoclassical economics and with the neoclassical synthesis, and over time the profession has included Keynesian approach to macroeconomics.
Mainstream Economics
What is ‘Mainstream Economics’
A term used to describe schools of economic thought considered orthodox. It is not a branch of economics as of itself, but is used to describe theories often considered part of the neoclassical economics tradition. Mainstream economics follows rational choice theory, which assumes that individuals make decisions that will maximize their own utility, and uses statistics and mathematical models to demonstrate theories and evaluate various economic developments.
Explaining ‘Mainstream Economics’
Schools of economic thought outside of mainstream economics – called heterodox economics – are more skeptical of the role of the government and the rationality of actors. Mainstream economics does not focus on economic concerns gaining momentum, such as sustainability and pollution.
Further Reading
- Some institutions (social norms and conventions) of contemporary mainstream economics, macroeconomics and financial economics – academic.oup.com [PDF]
- Peer review, the research assessment exercise and the demise of non-mainstream economics – journals.sagepub.com [PDF]
- Mainstream economics and the case for prohibiting inside trading – heinonline.org [PDF]
- Post Keynesianism, heterodoxy and mainstream economics – www.tandfonline.com [PDF]
- The CEA: An inside voice for mainstream economics – www.aeaweb.org [PDF]
- The theory of global imbalances: mainstream economics vs structural Keynesianism – www.elgaronline.com [PDF]
- Economics for (and by) humans – www.tandfonline.com [PDF]
- Is mainstream economics a science bubble? – www.tandfonline.com [PDF]
- Institutions in the economy and some institutions of mainstream economics: From the late 1970s to the 2008 financial and economic crisis – www.tandfonline.com [PDF]
- Understanding financial crisis through accounting models – www.sciencedirect.com [PDF]
