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On the basis of the lack of good info about credible economic theories outside the mainstream, a thread of some of the ones I like. (1/N)
The priority heuristic. Psychologists put this together as a model of how individuals behave in experimental 'gambles' typical in microeconomics. It explains a number of key findings in the literature and predicts 89% of decisions. (2/N)
https://library.mpib-berlin.mpg.de/ft/eb/EB_Priority_2006.pdf
https://library.mpib-berlin.mpg.de/ft/eb/EB_Priority_2006.pdf
Stock-flow consistent models understand the economy through accounting. Worth noting the originator of them, Wynne Godley, made several prescient empirical observations in 1999 based on his framework. (3/N)
http://www.levyinstitute.org/pubs/sr/sevenproc.pdf
http://www.levyinstitute.org/pubs/sr/sevenproc.pdf
Agent-based models are another approach which holds promise for macroeconomics. Stock-flow consistent models were combined by @stephenkinsella and coauthors, showing they exhibit behaviour mimicking real business cycles. (4/N)
https://www2.econ.iastate.edu/tesfatsi/ABMSFCMacroModelBenchmark.CainiEtAl2016.pdf
https://www2.econ.iastate.edu/tesfatsi/ABMSFCMacroModelBenchmark.CainiEtAl2016.pdf
Minsky's financial instability hypothesis. Another prescient idea, mainstream economists have been trying to incorporate it ever since they missed the financial crash of 2008 (which they wouldn't have, had they known about Minsky). Review article. (5/N) https://onlinelibrary.wiley.com/doi/10.1111/joes.12222
Demand-led growth. What if high demand increases productive capacity? Opening up as a possibility in some mainstream papers now, but post-Keynesians have been banging this drum for decades. This 2000 paper just one example. (6/N)
https://ojs.uniroma1.it/index.php/PSLQuarterlyReview/article/view/9925
https://ojs.uniroma1.it/index.php/PSLQuarterlyReview/article/view/9925
Qualitative research is a big one, really undervalued. A nice thread on the few examples from @D_Kuehn here. (7/N) https://twitter.com/D_Kuehn/status/1270354766720352261
Check out the work of @infotranecon, who has a model of information transfer that actually makes solid out of sample predictions, something v. rare in econ. (8/N)
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2894072
…https://informationtransfereconomics.blogspot.com/
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2894072
…https://informationtransfereconomics.blogspot.com/
Mark Granovetter's Strength of Weak Ties, one of the most cited social science papers of all time which most economists just won't know about. Networks have a lot of explanatory power and are a solid alternative basis for analysing markets. (9/N)
https://www.cs.cmu.edu/~jure/pub/papers/granovetter73ties.pdf
https://www.cs.cmu.edu/~jure/pub/papers/granovetter73ties.pdf
Anwar Shaikh has produced a sizeable tome 'Capitalism: Competition, Conflict, Crises' detailing a highly empirical alternative to the mainstream. I've only dipped into it, but here he is giving an interview on the book. (N/N)
Happy to continue this thread if people want more. If you're looking for non-mainstream ideas in a particular subfield or topic, ask me!
Not sure what happened here, this post was supposed to continue the thread but for me at least it hasn't https://twitter.com/UnlearnEcon/status/1334912304719278084
Can't believe I didn't mention my friend @DrCameronMurray's theory of return-seeking firms! Really worth checking out as an alternative to profit-maximisation. https://twitter.com/DrCameronMurray/status/1337266976448638977
