Czy ceteris paribus da się pogodzić z nauką ekonomii?
Can Ceteris Paribus Laws Be Reconciled with Economics?
Author(s): Mateusz MachajSubject(s): Economy
Published by: Instytut Nauk Ekonomicznych Polskiej Akademii Nauk
Keywords: ceteris paribus; equilibrium; economic method; counterfactuals; science
Summary/Abstract: Ceteris paribus is a useful analytic tool used in illustrations of economic laws. Despite its broad use, it did not receive scrupulous explanation. In many cases, the notion of ceteris paribus led economists to the use of general equilibrium models, which are inconsistent with the most basic notions of the world. We attempt to explain the concept of ceteris paribus and relate it to counterfactuals in economics. Our aim leads us to distinguish between two types of ceteris paribus. One is related to mutatis mutandis, or ceteris paribus in a softer version. The other is more related to ceteris absentibus, which could be phrased as ceteris paribus in a stronger version. We demonstrate connections between ceteris paribus and general equilibrium concept, and show that it is against the basic assumption in economics about scarcity of resources. For these reasons we believe that ceteris paribus can be reconciled with economics, provided it would not be economics of general equilibrium.
Journal: Studia Ekonomiczne
- Issue Year: 2013
- Issue No: 1
- Page Range: 119-132
- Page Count: 14
- Language: Polish