My kind of economist

Dani Rodrik concludes a recent Powerpoint presentation with this slide.

There is a backlash against mainstream economics and against economic globalization

But the real problem lies with inappropriate application of mainstream economics

Economics is a tool-kit

Multiple models, based on multiple assumptions about the nature of second-best problems

Economic policy is a craft, not a science, and depends on skillful choice of models that apply

When used well, economics can help us understand the world and clarify the strategies moving forward

As I have tried to illustrate using experience with economic development and financial globalization

The key is to go beyond Econ 101 and the habit of first-best thinking

Will make economists less certain of their prescriptions and more humble (appropriately so)

The presentation generally documents with real-world data the failure of the Washington Consensus and other orthodox economic theories of trade and financial globalization. Among the salient points:  Nations that ranked poorly on the Heritage Foundation index of Economic Freedom, like China, India, and Vietnam, have performed much better economically than many other nations with high ratings.  One reason, Rodrik suggests, is that it is not possible in real emerging nations to create perfect conditions assumed for well-functioning market economies, but great progress can be made by pragmatically removing the most significant barriers that exist in a specific situation.