Defining Feature of Real Econometrics: {bit.ly/RSIA10C} We can define “Real Econometrics” as being the search for causal relationships within a collection of variables. There exists an enormous amount of confusion about what exactly is a causal relationship. We will take a simple and practical approach, developed by Woodward in his book on “Making Things Happen”.… Read More Causal versus Positivist Econometrics

The term “science” represents a claim to universality, but modern social science is based on lessons from European historical experience. Why, then, does it claim to have universal application? In this paper, I suggest that Weber’s dictum that social science should be value free led to the concealment of Eurocentric values within an apparently objective… Read More The Puzzle of Western Social Science

This is a continuation of the previous post on Econometrics Versus Reality, which provided the philosophical background for the nominalist methodology of science underlying regression models. In this post, we will discuss a specific data set and illustrate the differences between a regression model and a real model (short for a model based on realist… Read More Regression vs Reality

This is the second in a sequence of lectures about regression models and methodology (for first lecture, on underlying philosophy of science, see: Flawed Foundations of Social Sciences). These regression models are central in econometrics. Current methodology underlying these models makes them completely useless for learning about the real world. To learn how and why, we… Read More Econometrics Versus Reality

The central goal of this Lecture 10A on “Real Statistics: An Islamic Approach”, is to establish that standard methodologies currently in use in statistics/econometrics, particularly regression, are built on the wrong foundations, and incapable of generating knowledge. To understand WHY this is so, it is necessary to study the flawed philosophy of science used to… Read More Flawed Foundations of Social Sciences

qua., 24 de fev. às 13:53 THE GREAT LOCKDOWNAn Interpretative AttemptA conference from the WORLD ECONOMICS ASSOCIATION AND CENTER FOR MARKET EDUCATION 15th April to 15th May, 2021 Organizers  Dr. Carmelo Ferlito and  Dr. Maria Alejandra Madi  This ON LINE Conference aims to discuss recent contributions to the understanding of the Covid-19 economic crisis and its… Read More WEA and CME on line conference: THE GREAT LOCKDOWN

I reproduce below an excerpt from my paper on “Methodological Mistakes and Econometric Consequence“, which discusses how “specification searches” allow us to fit models conforming to any theory to any data set. Thus conventional econometric methodology can be used to prove anything at all. References in the excerpt can be obtained from the bibliography in… Read More Econometrics to Prove Everything!

The previous post (Realizing your career is a sham!) provides an intro and a link to the first hour of my interview/podcast with Jeff Epstein for his Activist MMT blog. This first hour was mostly biographical. The second hour of the podcast was concerned with conventional economics, MMT, and Islamic economics. Jeff provides a brief abstract… Read More MMT: East & West

I am posting a link to my interview with Jeff Epstein for his podcast on his website: Activist MMT. This is a link to the first hour of the interview, which is mostly personal biographical details about the development of my thought. Welcome to episode 56 of Activist #MMT. Today I talk with Pakistani PhD… Read More Realizing your career is a sham!

This is an elementary expositional piece explaining how the N choose K formula is derived and used to calculate Binomial probabilities. For the complete lecture on the Binomial Distribution, and how it is used in time-branching probability models, see http://bit.ly/rsia08d Given a sequence of time periods from 1,2,…, N, we can fill them up with… Read More The N Choose K formula