Occasional X: The foul spirit of political economics (CCCXLXIX)

“The great achievements of civilization have not come from government bureaus.” (Milton Friedman, quoted by Steve Hanke)

Milton Friedman never understood profit and, as a logical consequence, how the economic system works. That's self-disqualifying and a shame for academia.

As… pic.twitter.com/XoRl5BkhFl

— AXEC (@EgmontHandtke) August 31, 2026

Occasional X: The futile attempt to recycle Austrianism (CXXVII)

“Possibly the greatest book ever written. Man, Economy and State ran to over 900 pages, and it remains the most rigorous deductive treatise in the history of economic science. Humans act. You want to understand price theory? Rothbard derives it from individual preference scales,… pic.twitter.com/7UzJs6QdzG

— AXEC (@EgmontHandtke) August 31, 2026

Occasional X: The futile attempt to recycle Austrianism (CXXVI)

“The relationship runs one direction. Economic theory, built from the axiom that humans act purposefully to achieve ends, tells you what causal structure to look for when you study the 1920s credit boom, or Nixon's 1971 gold window closure, or Argentina's convertibility collapse… pic.twitter.com/MFiW8RPR7W

— AXEC (@EgmontHandtke) August 31, 2026

Occasional X: Paradigm Shift (CXIX)

“I just received CambUP_Econ for the Macroeconomics 3 course in the economics program at the Colombian School of Engineering, where an introduction to DSGE models is given at the undergraduate level!!!!” (Alvaro Chaves)

Each paper/book that has the word equilibrium/GE in the… pic.twitter.com/hDYl6NLEkf

— AXEC (@EgmontHandtke) August 31, 2026

Occasional X: The foul spirit of political economics (CCCXLXVIII)

“Here is a link to the film “Finding the Money”. It will make you want to throw your shoe at the TV/Radio every time a politician rants about the national debt or running out of money to pay for essentials.” (Paul Scholes)

Forget shoe-throwing. Forget emotional arguments. Forget… pic.twitter.com/nTtUBuNV7Z

— AXEC (@EgmontHandtke) August 31, 2026

Occasional X: Clueless economists / Science (CCCLXXXI)

“Theoretically, we characterize firms' optimal supply function choices in general equilibrium and study the resulting implications for aggregate supply.” (Abstract of Flynn, Nikolakoudis, Sastry)

Each paper that has the word equilibrium in the Abstract can be thrown into the… pic.twitter.com/80FtYd3KmX

— AXEC (@EgmontHandtke) August 31, 2026

Occasional X: The foul spirit of political economics (CCCXLXVII)

“There are legitimate criticisms of John Maynard Keynes, but you don't need to invent them.” (Mr.Keynes)

The criterion of science is whether a theory is true/false, not whether someone was a good person or not. Mr.Keynes's and Handre's exchange completely missed the crucial… pic.twitter.com/3imIZkDTwk

— AXEC (@EgmontHandtke) August 30, 2026

Occasional X: Clueless economists / Profit (CLXIV)

“Stability or tranquility in a world with a cyclical past and capitalist financial institutions is destabilizing.” (Hyman Minsky)

Economics is the mindless repetition of stuff that has already been false with the first sentence.

Economists ignore scientific standards: “In… pic.twitter.com/baLAB4lAWl

— AXEC (@EgmontHandtke) August 30, 2026

Occasional X: Clueless economists / Tax (XI)

“When you subsidize something, you get more of it. When you penalize something, you get less. The welfare state subsidizes non-participation and penalizes earned income.” (Handre)

Not true.

The simplified national accounts below (AXEC213 ⇓) show two economies, one (0) without… pic.twitter.com/L9KAlBsw3Z

— AXEC (@EgmontHandtke) August 29, 2026

Occasional X: The foul spirit of political economics (CCCXLXVI)

Ivan Werning never got above the applause mode (great economists have great discussions) and still thinks that legacy economics is great. Actually, it is provably false, but economists have no clue what proof means.

The major approaches (Walrasianism, Keynesianism, Marxianism,…

— AXEC (@EgmontHandtke) August 29, 2026

Occasional X: Clueless economists / Profit (CLXIII)

“One of the best books I've read recently on rent (rent). It historically debunks the dichotomy created by techno-feudal and rentier theorists.” (Ali Alemdar, referring to Matthew Costa)

Yes, David Ricardo asked the right question: “To determine the laws which regulate this… pic.twitter.com/LbFCY9zITI

— AXEC (@EgmontHandtke) August 29, 2026

Occasional X: The futile attempt to recycle behavioral economics (XVII)

“Economist Sam Bowles says it’s time to cultivate and empower the better side of human nature instead of letting the few who behave like selfish maximizers ruin our economy.” (Sam Bowles, quoted by evonomics)

There are greedy persons, but the economic system does not run on…

— AXEC (@EgmontHandtke) August 29, 2026

Occasional X: How it works (DXV)

“We are witnessing a shock redistribution from the many to the rich: The profit share is at its highest level since WWII. The first bump was sellers’ inflation which ushered in Trump. The second bump is Trump’s chaos casino designed to push up profits.” (Isabella Weber, referring… pic.twitter.com/5zFy73X5Ps

— AXEC (@EgmontHandtke) August 28, 2026

Occasional X: The foul spirit of political economics (CCCXLXV)

“The man who has learned a little science lacks the humility the real scientist gladly acquires. The typical intellectual believes everything must be explainable, but a scientist knows that a great many things are not. A good scientist is essentially a humble person.” (Friedrich…

— AXEC (@EgmontHandtke) August 28, 2026

Occasional X: How it works (DXIV)

“Pre-tax earnings in the US have hit the highest level since the aftermath of the second world war, while workers’ slice of the pie has sunk to historic lows, fuelling discontent and a widening political backlash.” (FT)

The monetary economy in general, and the US economy, in… pic.twitter.com/x7orWfq0Af

— AXEC (@EgmontHandtke) August 28, 2026

Occasional X: Clueless economists / Science (CCCLXXX)

“How Neoclassical Economics Corrupted Business Schools, Corporations, and the Economy. …Those of us who study society, coach soccer, help our neighbors, raise children, and look within ourselves, all know such a view of human behavior is not true, and more important, if such a… pic.twitter.com/snsonedvT5

— AXEC (@EgmontHandtke) August 28, 2026

Occasional X: How it works (DXIII)

“Flows drive stock returns at the macro level. When the government spends it adds profits to the private sector, driving growth and supporting the overall price level.” (Douglas Padgett)

The monetary economy in general, and the US economy, in particular, thrives on growing… pic.twitter.com/TZB0etvu6c

— AXEC (@EgmontHandtke) August 27, 2026

Occasional X: The foul spirit of political economics (CCCXLXIV)

Marx's opponents hallucinate in the religious sphere and still have not realized that all religions have lost their spiritual authority with the Enlightenment. This has some psychological drawbacks, because religion always has had convincing-looking explanations for the…

— AXEC (@EgmontHandtke) August 26, 2026

Occasional X: The futile attempt to recycle Austrianism (CXXV)

“The charge that Austrians are 'anti-empirical, anti-math ideologues'? it's backwards. Mises and Rothbard mastered statistics and history—and Mises founded a business-cycle research center in Vienna that's still running today.” (Mises Media)

That's a straw man. The Austrians…

— AXEC (@EgmontHandtke) August 26, 2026

Occasional X: Clueless economists / Equilibrium (V)

“The Achilles heel of economic theory is that in these so-called purely competitive markets we have never been able to show that equilibrium will ever be attained. In this imaginary world, the economy sails on a steady path until some outside shock knocks it temporarily off…

— AXEC (@EgmontHandtke) August 26, 2026

Occasional X: How it works (DXII)

“U.S. Wages have plunged to just 43% of national income, the lowest level since the Great Depression.” (Barchard)

Economists in general, and Barchard in particular, do not know how macroeconomic profit is causally/ formally determined. This is self-disqualifying.

The Palgrave… pic.twitter.com/bGKr8SE6r4

— AXEC (@EgmontHandtke) August 26, 2026

Occasional X: Clueless economists / Inflation / Deflation / Stagflation (XLXXIII)

“Britain restored the gold standard in 1821, pegging sterling at £3 17s 10½d per troy ounce, and the following decades gave you one of the most instructive experiments in monetary history: falling prices coexisting with explosive real growth.” (Handre)

This follows from the… pic.twitter.com/0I3hTtj0Wx

— AXEC (@EgmontHandtke) August 26, 2026

Occasional X: Clueless economists / Science (CCCLXXIX)

“Consolidating comments, there are 14 Economics Nobel prize winners without an economics PhD. Pretty crazy!” (Sid Gundapaneni)

The overarching criterion in science is true/false. The scientist's personal specifics are irrelevant. However, a human's most important subject is… pic.twitter.com/3ZkFz8ghtS

— AXEC (@EgmontHandtke) August 25, 2026

Occasional X: How it works (DXI)

“BREAKING: Bessent is saying the quiet part out loud. The USA is now preparing to detonate the USD fiat currency created in 1971 as money mainly because we cannot afford to pay back $40 kajillion debt to the Decepticons.” (Jay Gann)

First, that the public debt is ever paid back…

— AXEC (@EgmontHandtke) August 25, 2026

Occasional X: The futile attempt to recycle MMT (CCVI)

“If you're an every day person complaining about how the United State's manages money, kindly read these books and get back to me.” (Stephanie Kelton)

I come back to tell you that you are way behind the curve. Scientifically, MMT has long been refuted; see

Cross-references: MMT… pic.twitter.com/wa28z9US7s

— AXEC (@EgmontHandtke) August 25, 2026

Occasional X: Clueless economists / Science (CCCLXXVIII)

“Those slides live in the mind of every modern austrian.” (H-Punk)

Those slides prove that Austrianism is failed/fake science. Austrians never understood profit and, by logical consequence, how the economic system works.

The saving of the household sector is absolutely… pic.twitter.com/1FdCyuLhe8

— AXEC (@EgmontHandtke) August 24, 2026

Occasional X: How it works (DX)

“THE U.S. BOND MARKET COULD BREAK AT ANY MOMENT. RAY DALIO SAYS AMERICA HAS ALREADY PASSED THE POINT OF NO RETURN. A DEBT CRISIS IS NOW INEVITABLE” (Leshka)

The monetary economy in general, and the US economy, in particular, thrives on growing private/ public debt. If this…

— AXEC (@EgmontHandtke) August 23, 2026

Occasional X: The futile attempt to recycle MMT (CCV)

“China only seriously heard about MMT in 2020. By 2025, MMT seems to be prevailing in decision-making circles.” (fiat money)

MMT is refuted on all counts. The proofs have already been given elsewhere; see

Cross-references MMThttps://t.co/eXlgPKrinA

It's very improbable that… pic.twitter.com/fZrLRZWtwQ

— AXEC (@EgmontHandtke) August 23, 2026

Occasional X: How it works (DIX)

“Nobody knows exactly where the breaking point is in treasury bonds, but we are getting closer to finding out.” (Quoth the Raven, quoted by David Sommers)

The monetary economy in general, and the US economy, in particular, thrives on growing private/public debt. If this growth…

— AXEC (@EgmontHandtke) August 23, 2026

Occasional X: How it works (DVIII)

“If private investors are supposedly lending dollars to the US government, then where exactly did those dollars come from in the first place? Are we seriously going to pretend that private investors somehow create US dollars out of thin air?” (Ashish)

Actually, what we have here…

— AXEC (@EgmontHandtke) August 22, 2026

Occasional X: The futile attempt to recycle Austrianism (CXXIV)

“He [Böhm-Bawerk] may be more popularly known for discrediting Marx, but most of his time as a serious theorist was actually spent dismantling the entire theoretical edifice of what we now know and have today as actually existing 'capitalism'. … The greatest capital theorist of…

— AXEC (@EgmontHandtke) August 21, 2026

Occasional X: How it works (DVII)

“How will the US pay off its $40 trillion debt? The answer lies in 1946. The US debt surpassed $40 trillion this week. Bessent was asked the same day how this debt would be paid off, and his answer was two sentences. There's no magic; we'll grow our way out of it.” (Penguin X)…

— AXEC (@EgmontHandtke) August 21, 2026

Occasional X: The futile attempt to recycle Marx (LXI)

“21 August is the birthday of Krishna Bharadwaj. She inspired generations of students in Delhi. A brilliant economist, who did research on Sraffa & Marx, Krishna was a powerful voice on the left.” (Kaushik Basu)

The question is why Krishna Bharadwaj or her inspired students…

— AXEC (@EgmontHandtke) August 21, 2026

Occasional X: The foul spirit of political economics (CCCXLXIII)

“The Socratic maxim that the recognition of our ignorance is the beginning of wisdom has profound significance for our understanding of society.” (Friedrich Hayek)

Friedrich Hayek never understood profit and, by logical consequence, how the economic system works. ⇓ This is… pic.twitter.com/oOuK8Iyj7y

— AXEC (@EgmontHandtke) August 21, 2026

Occasional X: The futile attempt to recycle Austrianism (CXXIII)

 

“Time preference is the foundation upon which every interest rate, every business decision, and every act of saving rests. Eugen von Böhm-Bawerk formalized this insight in 1884 in Capital and Interest, and free market economists have built on it ever since. The core idea is…

— AXEC (@EgmontHandtke) August 20, 2026

Occasional X: Clueless economists / Distribution, Inequality (XXII)

“No, Productivity Does Not Explain Income. The marginal productivity theory of income distribution was born a little over a century ago. Its principle creator, John Bates Clark, was explicit that his theory was about ideology and not science.” (Blair Fix)

The foundational…

— AXEC (@EgmontHandtke) August 20, 2026

Occasional X: Clueless economists / Money (CXLXII)

 

“If prices are rising, look at supply and demand, and ask what’s disrupting them.” (Foundations for Economic Education)

Economic education is in dire straits because economics is failed/fake science.

The main economic slogan says that price depends on supply and demand. It is…

— AXEC (@EgmontHandtke) August 20, 2026

Related 'The monstrous utility-supply-demand-equilibrium failure'. 

Occasional X: The foul spirit of political economics (CCCXLXII)

“If you’re studying economics and they’re not teaching Thomas Sowell, you’re not getting an education. You’re getting an indoctrination.” (Charlie Kirk)

Economics has been failed/fake science since the founding fathers. It has defined itself as a social science and accordingly…

— AXEC (@EgmontHandtke) August 19, 2026

Occasional X: The futile attempt to recycle Austrianism (CXXII)

“The entire edifice of modern economic policy rests on a lie: that a group of planners can manage an economy better than the people living in it.” (Handre)

Modern economics rests on the premise that if all individuals do constrained optimization, this will result in the optimum…

— AXEC (@EgmontHandtke) August 19, 2026

Occasional X: The foul spirit of political economics (CCCXLXI)

“It looks paradoxical. But that’s how it should be, as Adam Smith knew, John Stuart Mill knew, Karl Polanyi knew.” (Kaushik Basu)

No. That's not how it should be. Kaushik Basu does not understand what science is all about. He has totally overlooked that as a scientist, the… pic.twitter.com/hz6oZaiO3L

— AXEC (@EgmontHandtke) August 19, 2026

Occasional X: Clueless economists / Profit (CLXII)

“Every economic phenomenon in the long run diffuses its effects among the consumers, i.e., all mankind.” (Frédéric Bastiat)

Not true. There are two types of consumers: WeThePeople and WeTheOligarchy. “All mankind” is a fiction that benefits WeTheOligarchy.

Frédéric Bastiat… pic.twitter.com/QaCu2XKeyE

— AXEC (@EgmontHandtke) August 19, 2026

Occasional X: Clueless economists / Science (CCCLXXVII)

“My conclusion is therefore that economics is just a discipline with major problems, the same as the rest of the humanities and social sciences.” (Joseph Francis)

The History of Economic Thought is the history of scientific failure.

Economics has been failed/fake science since…

— AXEC (@EgmontHandtke) August 19, 2026

Occasional X: How it works (DVI)

“Jane Street pays a 23 year old $900,000 a year for one skill: take a stream of future payments and price it today. that is all an asset is, and it is why owners compound while savers stand still. … an asset is not a thing. it is a claim on money that has not arrived yet.”…

— AXEC (@EgmontHandtke) August 18, 2026

Occasional X: How it works (DV)

“When you understand what the national debt actually is, you realize the real danger isn't what happens when it gets too big, but what happens when it begins to shrink. You'd think after being wrong for 238 years mainstream macro would try a new theory.” (Douglas Padgett)

Here…

— AXEC (@EgmontHandtke) August 18, 2026

Occasional X: Clueless economists / Profit (CLXI)

“It is not Marx who came up with the theory of the rate of profit, though his theory is much different than Smith’s, who was different than Ricardo’s. Smith argued that an increase in 'stock' would cause a rise in capital intensity, which would further the division of labour,…

— AXEC (@EgmontHandtke) August 18, 2026

Occasional X: The foul spirit of political economics (CCCXLX)

“Friedman’s methodology essay is one of those rare papers which is simply referred to by its year of publication: F-53. It is notorious for its supposed anti-realism and the claim that the realism of one’s assumptions does not matter. As long as the model predicts well, anything… pic.twitter.com/e3M5FdlP1l

— AXEC (@EgmontHandtke) August 17, 2026

Occasional X: How it works (DIV)

“There are only four ways to make money. Labor. Capital. Arbitrage. Insurance.” (Rendex)

Rendex forgot the most important way: deception/ fraud.

There are two kinds of profit: (i) profit from the production/consumption cycle Qm, and (ii) profit from value changes Qn. The point… pic.twitter.com/gywUTinYwG

— AXEC (@EgmontHandtke) August 17, 2026

Related 'Gold-making, wine from water, M―C―M', perpetuum mobile, free lunch, beating the stock market, and the perennial human dream'

 

Occasional X: How it works (DIII)

“Marx explained the basic contradiction over 150 years ago. Competition compels each capitalist to raise productivity and cheapen commodities because doing so increases relative surplus-value and gives them an advantage over competitors.” (Dohaciel Ygzgzot)

This is the problem… pic.twitter.com/pRePIrVMRd

— AXEC (@EgmontHandtke) August 17, 2026

Occasional X: The futile attempt to recycle Austrianism (CXXI)

“Ludwig von Mises rebuilt economics from the foundation up, and a comparison to Einstein is not flattery: …” (Handre)

Every comparison of economics with physics is an unforgivable insult to physics. Physics is science; economics is cargo cult science. ⇓

Austrians in general,… pic.twitter.com/idNYAHThKG

— AXEC (@EgmontHandtke) August 16, 2026

Occasional X: The foul spirit of political economics (CCCXLIX)

“'workers produce all the value, capitalists just own' is the labor theory of value. it's wrong. marx knew it was wrong. the entire economics profession knew it was wrong by 1871. value isn't determined by how much labor went into something. it's determined by how much someone…

— AXEC (@EgmontHandtke) August 16, 2026

Occasional X: The foul spirit of political economics (CCCXLVIII)

“It is often in these dispersed observations made in his letters that we can better appreciate Ricardo, the man and the fundamental decency and gentleness of his character, and Ricardo, not only as one of the founders of political economy, but a deep thinker about the limits of…

— AXEC (@EgmontHandtke) August 16, 2026

Occasional X: There is an absolute limit to the growth of public debt (VI)

“Almost there ... $40 trillion. 42% of all income taxes collected goes to paying interest on the US National Debt. US govt debt growing at $2.1 trillion per year. Most and more of the US govt budget is being swallowed by interest payments.” (Wall Street Mav)

The debt debate…

— AXEC (@EgmontHandtke) August 16, 2026

Occasional X: The history of economic thought is the history of scientific failure (XLVI)

 

“This SEP entry on Capitalism is garbage. I would recommend a full, clean reboot.” (Otto Letho)

The History of Economic Thought is the history of scientific failure.

Friedrich Hayek never understood profit and, by logical consequence, how the economic system works. This is… pic.twitter.com/lBv5n6DXWw

— AXEC (@EgmontHandtke) August 15, 2026

Occasional X: Clueless economists / Science (CCCLXXVI)

“The answer to the water-diamond paradox falsified Marx’s assumption that value is derived from labor. Adam Smith in 1776 couldn’t answer why diamonds cost a bundle whereas water costs almost nothing in comparison although it’s necessary for survival. Carl Menger figured out that… pic.twitter.com/Febjk7TCYX

— AXEC (@EgmontHandtke) August 15, 2026

Occasional X: The futile attempt to recycle Marx (LX)

“People are blowing this out of proportion because some economists got upset bc Marx, who is legitimately one of the greatest thinkers on capitalism, gets his proper place in the history of economics.” (Joshua)

The crucial point with Marx/ Socialism/ Communism/ Capitalism is…

— AXEC (@EgmontHandtke) August 14, 2026

Occasional X: Clueless economists / Science (CCCLXXV)

“A lot of negative comments by fellow economists on this interesting and engaging discussion of the topic of capitalism, …” (Matias Vernengo)

The History of Economic Thought is the history of scientific failure.

Economics has been failed/fake science since the founding…

— AXEC (@EgmontHandtke) August 14, 2026

Occasional X: Clueless economists / Science (CCCLXXIV)

“According to this account, the two necessary conditions for capitalism are the free market and private property. Arguably, Milton Friedman's (1962) and Friedrich Hayek's (1944) distinctive variants of this approach have been the most influential. For capitalism to exist, there…

— AXEC (@EgmontHandtke) August 13, 2026

Occasional X: The history of economic thought is the history of scientific failure (XLV)

The History of Economic Thought is the history of scientific failure.

Economics has been failed/fake science since the founding fathers. It has defined itself as a social science and accordingly has been based on subjective/behavioral assumptions/axioms. This is the… pic.twitter.com/siio7WsVM6

— AXEC (@EgmontHandtke) August 13, 2026

Occasional X: Clueless economists / Breakdown (XXVIII)

“Interest on the national debt will surpass $1.3 trillion this fiscal year; if Congress doesn't get its act together and cut spending, the bond vigilantes will eventually force that change; w/ $40 trillion in debt, it may come sooner than you think... Interest on the debt was a…

— AXEC (@EgmontHandtke) August 13, 2026

Occasional X: Clueless economists / Distribution, Inequality (XXI)

“NEW: income inequality in US & UK is so wide that while the richest are very well off, the poorest have a worse standard of living than the poorest in countries like Slovenia. Essentially, US & UK are poor societies with some very rich people.” (John Burn-Murdoch)

The…

— AXEC (@EgmontHandtke) August 13, 2026

Occasional X: The foul spirit of political economics (CCCXLVII)

 

“My new Conversation with Daron Acemoglu, most of all about his new book on liberalism, …” (Tyler Cowen)

Neither Daron Acemoglu nor Tyler Cowen ever understood profit and, consequently, how the economic system works. Their conversation is the usual political disinfotainment.… pic.twitter.com/jEr2cq1WrX

— AXEC (@EgmontHandtke) August 13, 2026

Occasional X: Clueless economists / Profit (CLX)

“The Marxian definition is the most parsimonious: a social-economic structure in which production (& hence human activity) is decided by the expansion of value in monetary form.” (bevelymantle)

The crucial point with Marx/Socialism/Communism/Capitalism is whether Marx understood…

— AXEC (@EgmontHandtke) August 12, 2026

Occasional X: Clueless economists / Profit (CLIX)

“Javier Milei names his favorite economists Murray Rothbard, Ludwig von Mises, Friedrich von Hayek, Henry Hazlitt, Gary Becker, Milton Friedman, etc.” (Hayek Quotes)

Murray Rothbard never understood profit. Consequently, he never understood how the economic system works. The… pic.twitter.com/sCcXwS0MnX

— AXEC (@EgmontHandtke) August 12, 2026

Related 'The futile attempt to recycle Austrianism (CXIX)' 

Occasional X: Clueless economists / Science (CCCLXXIII)

“Three years in the making, and it’s finally out!” (Chiara Cordelli)

The History of Economic Thought is the history of scientific failure.

Economics has been failed/fake science since the founding fathers. It has defined itself as a social science and accordingly has been based…

— AXEC (@EgmontHandtke) August 12, 2026

Occasional X: Scrap the EconNobel (XLXVIII)

Prizes are often not based on true merit. Like the Oscar, they are mainly a marketing/PR instrument. Honoring the look-alike happens in all walks of life. Most economics prizes are a reward for political disinfotainment.

Although it claims to be a science, economics is not one.… pic.twitter.com/PKzk1CA5ih

— AXEC (@EgmontHandtke) August 12, 2026

Occasional X: How it works (DII)

“The 2008 financial crisis did not appear out of nowhere. It was manufactured, step by step, by the Federal Reserve, Congress, and a constellation of Wall Street banks who all correctly understood that the government would socialize their losses.” (Handre)

Handre never…

— AXEC (@EgmontHandtke) August 12, 2026

Occasional X: Clueless economists / Employment (XXXVII)

“Hayek and Keynes are remembered as fierce intellectual rivals. What’s less known is that the two were actually friends who held each other in high regard.” (Hayek Quotes)

Neither Hayek nor Keynes got employment theory right. Scientific incompetence was what they had in common.… pic.twitter.com/YYG7YLRhKx

— AXEC (@EgmontHandtke) August 11, 2026

Occasional X: Clueless economists / Science (CCCLXXII)

“The Republic, written around 380 BC, describes a city where philosopher-kings govern by virtue of superior wisdom, where private property disappears for the guardian class, where poets get expelled for corrupting the young, and where eugenicists manage reproduction.” (Handre)… pic.twitter.com/ZHGyHTmZHP

— AXEC (@EgmontHandtke) August 10, 2026

Occasional X: The futile attempt to recycle Austrianism (CXX)

“The biggest take away from Austrian economics is that the entire economy is made up of millions of small decisions by millions of humans minute by minute.” (Handre)

And the Austrians discovered that? WOW! That would be awesome if it weren't so trivial!

Of course, systemic… pic.twitter.com/CDbX1VEhnO

— AXEC (@EgmontHandtke) August 10, 2026

Occasional X: The futile attempt to recycle Austrianism (CXIX)

 

“Murray Rothbard sat down and wrote Man, Economy, and State in 1962, and produced what remains the most rigorous reconstruction of economic theory from first principles ever attempted by a single human mind. You should treat this book the way physicists treat Newton's Principia:… pic.twitter.com/ZKOJWJewyN

— AXEC (@EgmontHandtke) August 10, 2026

Occasional X: How it works (DI)

“Eugen von Böhm-Bawerk sat in Vienna in 1884 and published Capital and Interest, and in doing so dismantled every socialist theory of exploitation that Karl Marx spent decades constructing. His weapon was time preference. You value a dollar today more than a dollar next year.… pic.twitter.com/NnXyjdekOS

— AXEC (@EgmontHandtke) August 9, 2026

Occasional X: The foul spirit of political economics (CCCXLVI)

“We must look at the price system as such a mechanism for communicating information if we want to understand its real function.” (Friedrich Hayek, quoted by Foundations for Economic Education)

Don't look at the price system; that's Hayek's misdirection or communicative magic.…

— AXEC (@EgmontHandtke) August 9, 2026

Correction: “This core magic technique is called misdirection ..." is from the Google AI prompt.

 

Occasional X: Clueless economists / Profit (CLVIII)

“IN THIS HOUSE, WE DERIVE: THE INVISIBLE HAND THEOREM FROM THE RATIONAL CHOICE POSTULATE VIA INSTITUTIONAL ANALYSIS THAT'S THE MAINLINE OF ECONOMICS FROM ADAM SMITH TO VERNON SMITH.” (Nathan Goodman, quoted by Peter Boettke)

The mainline has always been false.

The founding… pic.twitter.com/qtfQTU0Ghd

— AXEC (@EgmontHandtke) August 8, 2026

Occasional X: Clueless economists / Money (CXLXI)

 

“The characteristic which has been traditionally supposed to render gold especially suitable for use as the standard of value, namely, its inelasticity of supply, turns out to be precisely the characteristic which is at the bottom of the trouble.” (J. M. Keynes, quoted by… pic.twitter.com/ecaeRq7A3M

— AXEC (@EgmontHandtke) August 8, 2026

Occasional X: Clueless economists / Money (CXLX)

“Mises argued that inflation is the increase in the money supply, not the resulting rise in consumer prices.” (Christina Pushaw)

von Mises's monetary theory is provably false.

For the axiomatically correct approach, see the working paper ⇒
The Dark-Matter Theory of Fiat Money…

— AXEC (@EgmontHandtke) August 7, 2026

Occasional X: The foul spirit of political economics (CCCXLV)

 

“Milton Friedman on 4 ways to spend money:

1) Your money on yourself (you’re careful about both cost and quality)
2) Your money on others (you care about cost, less about quality)
3) Someone else’s money on yourself (you care about quality, not cost)
4) Someone else’s money on…

— AXEC (@EgmontHandtke) August 7, 2026

Occasional X: How it works (D)

“Capitalism is very good at producing wealth. What it is not particularly good at is making sure that wealth, productive capacity, and human needs actually line up. That was one of the lessons Keynes took from the Great Depression. …The conventional answer was that markets would… pic.twitter.com/LrAe3wZ6Fv

— AXEC (@EgmontHandtke) August 7, 2026

Occasional X: Clueless economists / Science (CCCLXXI)

“The market is essentially an ordering mechanism, growing up without anybody wholly understanding it, that enables us to utilize widely dispersed information about the significance of circumstances of which we are mostly ignorant.” (quoted by Hayek Quotes)

Friedrich Hayek never… pic.twitter.com/37QznhOuMk

— AXEC (@EgmontHandtke) August 6, 2026

Related 'Capitalism, poverty, exploitation, and cross-over exploitation'

Occasional X: The foul spirit of political economics (CCCXLIV)

“Economics as tool for the curious and compassionate.” (Peter Boettke)

“Economics as tool for the stupid and corrupt.” (AXEC)

The founding fathers defined economics as a social science, and, accordingly, it has been based on subjective/behavioral assumptions/axioms. This has…

— AXEC (@EgmontHandtke) August 6, 2026

Occasional X: The foul spirit of political economics (CCCXLIII)

“In terms of research, he made major contributions in multiple fields of economics. And, outside academia, he has arguably been the most influential economist of the past 60 years — and not just in the United States. Selling policy advice based on economic theory... We could use… pic.twitter.com/W72J5m2KQ6

— AXEC (@EgmontHandtke) August 5, 2026

Occasional X: How it works (CDXCIX)

 

“The first and most important equation in the world of money looks like this:

FV = PV × (1 + r)^n

That is it. Five symbols. Let me translate them into human.

FV = future value. What your money will be worth later.
PV = present value. What you have now.
r = rate of return per… pic.twitter.com/q7EJR3IjUc

— AXEC (@EgmontHandtke) August 5, 2026

Occasional X: Clueless economists / Science (CCCLXX)

“I think one thing Marxists would take good care to note is that Marx’s critique of political economy was primarily targeted towards the classicals, … but the Ecomomic Sciences has long moved on the Classicals.” (Nikolai Rostov)

Actually, this is irrelevant. What Marx wanted…

— AXEC (@EgmontHandtke) August 5, 2026

Occasional X: The foul spirit of political economics (CCCXLII)

“Much of what is said about economics is little better than gaslighting....” (Richard Murphy)

The founding fathers defined economics as a social science, and accordingly, it has been based on subjective/behavioral assumptions/axioms. This has been the methodological ur-mistake.… pic.twitter.com/HrCFYkAEX8

— AXEC (@EgmontHandtke) August 4, 2026

Occasional X: Clueless economists / Science (CCCLXIX)

“Ricardo begins with the simplest case: the commodities are produced by one type of labor alone, working perhaps on free land (I, 12 ff.) In this simplest case the relative values of commodities will clearly equal the relative quantities of labor necessary to produce them, and… pic.twitter.com/UWrvJdMR6x

— AXEC (@EgmontHandtke) August 4, 2026

For more on Ricardo, see the AXECblog. 

Occasional X: Clueless economists / Science (CCCLXVIII)

“The beauty of Austrian economics is that it springs from real human action and does not depend upon the construction of abstract mathematical models meant to parallel reality.” (James Anthony)

Austrianism is a cargo cult science, and Austrians are look-alike scientists. How do…

— AXEC (@EgmontHandtke) August 3, 2026

Occasional X: The futile attempt to recycle Austrianism (CXVIII)

 

“Let me offer a sensible middle ground between rigid empiricism (inductivism) and Praxeology, which is rigid deductivism.” (Nikolai Rostov)

No, there is no middle ground between true and false. Austrianism is provably false. If Austrianism were to disappear overnight, this would… pic.twitter.com/b4REJ72Bze

— AXEC (@EgmontHandtke) August 3, 2026

Occasional X: Clueless economists / Value (II)

“In 1871, Menger published his groundbreaking Principles of Economics, arguing that the value of a good is not determined by the labour required to produce it, but by the subjective importance individuals place on it. Value is not objective or embodied in objects. It is marginal… pic.twitter.com/mRXVWf9BjI

— AXEC (@EgmontHandtke) August 3, 2026

Related 'The value of water and diamonds: back to square one' and 'Value — the Bermuda Triangle for economic theories'

Occasional X: Clueless economists / Science (CCCLXVII)

 

“Among the great economists of the Austrian School, Javier Milei is achieving something that seemed reserved for the dreams of a few idealists: uniting theory and practice on an unprecedented scale.” (Diego Angulo)

Austrianism is failed/fake science. Therefore, it's the usual… pic.twitter.com/ulwr8kdQiy

— AXEC (@EgmontHandtke) August 2, 2026

Occasional X: Clueless economists / Science (CCCLXVI)

“Economics is, as Knight, Mises, Hayek and Buchanan taught, is a science, just a unique science dealing with human action and social relations.” (Peter Boettke)

When economists are told that economics does not satisfy the scientific standards of material and formal consistency,… pic.twitter.com/XBzOtXaPV6

— AXEC (@EgmontHandtke) August 2, 2026

For more about J. S. Mill, see AXECquery. 

Occasional X: The futile attempt to recycle Austrianism (CXVII)

“As Ludwig von Mises showed, economics is the study of human behaviour. And the tools of economics can explain far more than markets, prices and production - they can illuminate almost every aspect of human behaviour.” (Creative Deduction)

No, economics is not 'the study of… pic.twitter.com/bExzWDLwM2

— AXEC (@EgmontHandtke) August 2, 2026

Occasional X: AI — boosting scientific competence in economics (XV) / Axiomatization

“AI is solving some of mathematics hardest long-running open problems (impressive indeed). Can it also solve some of the hardest open problems in economics?” (Atif Mian, quoted by Potus Rendahl)

No. This has already been tried, but AI is trained on the old stuff and cannot… pic.twitter.com/W8i6MTXMmi

— AXEC (@EgmontHandtke) August 2, 2026

Occasional X: The foul spirit of political economics (CCCXLI)

“Milton Friedman gets a lot of cheap shots thrown at him, but he is the best communicator of economic ideas I have ever encountered.” (Peter Boettke)

After a lot of cheap shots, Milton Friedman got the refutation bullet right through his head.

Milton Friedman never understood… pic.twitter.com/pWyRa2BA6a

— AXEC (@EgmontHandtke) August 2, 2026

Occasional X: Clueless economists / Equilibrium (IV)

“My last update for my general proof/summary of general equilibrium.” (Nikolai Rostov)

Learn to read and think. Equilibrium is long gone.

For details, see
Forget equilibriumhttps://t.co/EUMjE0oyEM

— AXEC (@EgmontHandtke) August 2, 2026

Occasional X: The foul spirit of political economics (CCCXL)

“Upon rereading the works of Lord Keynes I can see his knack and aspirations for genuine innovation (in the economic sciences) but his language is extremely tortured, and oftentimes he falls to tautology.” (Nikolai Rostov)

Keynes, too, misunderstood the concept of profit because… pic.twitter.com/eHc1eDPxYG

— AXEC (@EgmontHandtke) August 2, 2026

Occasional X: The foul spirit of political economics (CCCXXXIX)

“that moment as a kid when you realize that you're definitely an austrian” (Robert Murphy)

No competent scientist can ever become an Austrian. Robert Murphy never understood profit, and by logical consequence, how the economic system works. This is self-disqualifying and… pic.twitter.com/8jb8V2Q8uz

— AXEC (@EgmontHandtke) August 2, 2026

Occasional X: Economists’ eternal problem with methodology (XV)

 

“I prefer true but imperfect knowledge, even if it leaves much indetermined and unpredictable, to a pretence of exact knowledge that is likely to be false.” (Friedrich Hayek)

This is one of the most revealing propositions in the field of methodology. It immediately proves that…

— AXEC (@EgmontHandtke) August 1, 2026

Occasional X: How it works (CDXCVIII)

“Argentina's Milei Borrows Warren Buffett's Idea To Punish Deficit-Spending Politicians.” (zerohedge)

Javier Milei never understood profit, and by logical consequence, how the economic system works. He bases his policies on Austrian economics. Austrianism has always been…

— AXEC (@EgmontHandtke) August 1, 2026

Occasional X: How it works (CDXCVII)

“Nobody will dare to stop inflation because to discontinue inflation will inevitably cause extensive unemployment. So assuming inflation stops it will quickly be resumed.” (Friedrich Hayek)

That's wrong. Friedrich Hayek never understood profit and, by logical consequence, how… pic.twitter.com/x8MXqOC0EX

— AXEC (@EgmontHandtke) August 1, 2026

Related 'Cross-references: Employment/Phillips Curve'