We started The Minskys as graduate students of the Levy Economics Institute to make out-of-the-box economics approachable to everyone.
We believe that in order to build a more just and sustainable world, we need a thorough understanding of the economic systems in which we operate. For centuries, economists have constructed models that attempt to provide that understanding. However, many of these models are misspecified, oversimplified, and out-of-touch with the real world. They do, however, have the powerful ability to make capitalism look fair and functional, and the mathematical complexity needed to stop anyone from trying to argue with the logic. So they’ve stuck around, despite being pretty useless. When the great recession hit in 2008, it became clear just how useless. Having relied on mainstream models, which exclude the banking sector altogether, most economists missed it entirely.
That’s most, but not all. Economists who used alternative (or heterodox) approaches to economic analysis issued their warnings long ago. Amongst them was Hyman Minsky (1919–1996), a professor at Washington University and a scholar at the Levy Economics Institute. By showing that “stability is destabilizing,” Minsky’s work reveals the systemic roots of financial crises. Inspired to build on Minsky’s work and that of other heterodox thinkers, we came to the Levy Economics Institute as graduate students. The Minskys is a tribute to Hyman Minsky, and a platform for accessible, timely, and fair analysis of economic issues.
Recognizing the economic instability caused by our financial sector is just one of the many areas in which mainstream economic theory falls short. Failure to remedy increasing inequality is another. Recommending destructive austerity measures is a third. There are many pressing issues that are in dire need of a new, out-of-the-box approach. We bring those new approaches to light, in a clear and accessible way, for economists, and non-economists alike. We share the resources that we consult, in the hopes that they are helpful to you, too. We hope you’ll join us in pursuing the truthful economic understanding we require to work towards a more equitable, stable, and prosperous future.
– The Minskys
Views displayed on this blog are only those of its writers.
The blog has no official affiliation to the Levy Economics Institute.