BUSINESS GOVERNMENT RELATIONS
RHETORIC OF ECONOMICS

CD18 Syllabus Course Structure Index
Professor Andrew Procassini

Course Description

Economists like to assert that they are engaged in a scientific activity, meaning that what they do is "science." This module examines what that means and goes on to analyze the words economists use to describe how they work and how they try to persuade economists and non-economists to their views. This is examined against a different philosophical treatment of science. It is important both for fully and correctly understanding what economists claim and for framing responses in those cases where the reader comes to different conclusions.

Perhaps the most important corollary is that there is scientific knowledge that does not require that it predict or that its results be subject to the tests of positivism. This allows economic discourse to develop along quite different lines that are ultimately fruitful in understanding the real world and in reaching sound policy conclusions.

This kind of discussion has especial significance for the public policy argument over trade issues. It is therefore particularly relevant for those expecting to be arguing or advocating trade policy choices in the public arena.

Ultimately, we wish to be able to analyze what others are asserting and to be able to respond effectively.

Session 1	Introduction to the course. Review of the syllabus Framework for analysis Basic ideas underlying the rhetoric about trade Summary of the module Reading: "The Methodology of Positive Economics" in Milton Friedman Essays in Positive Economics FSC Northrop The Logic of the Sciences and the Humanities Ch 1, 3, 13 Donald N. McCloskey: The Rhetoric of Economics Ch 1-3
Session 2	What does we mean when we say economics is a science. Reading: Donald N. McCloskey: The Rhetoric of Economics Ch 4-7 L. A. Boland A Critique of Friedman’s Critics Journal of Economic Literature, 17:503-522
Session 3	Theory and evidence Reading: Donald N. McCloskey: The Rhetoric of Economics Ch 8-10 Edward Leamer, Let’s Take the Con out of Econometrics, American Economic Review, Mar 1983
Session 4	Econometric evidence Reading : Paul R. Krugman The Narrow and Broad Arguments for Free Trade, American Economic Review, Papers and Proceedings, (1993) 83(2):362-366 Michael Mussa. Making the Practical Case for Free Trade, American Economic Review, Papers and Proceedings, (1993) 83(2):372-376 Rachel McCulloch. The Optimality of Free Trade: Science or Religion?, American Economic Review, Papers and Proceedings, (1993) 83(2):367-376
Session 5	Applications to international trade: costs of protection, jobs, wages, security, technology, the role of exchange rates Reading: Gary Burtless. International Trade and the Rise in Earnings Inequality, Journal of Economic Literature, (1993) 33(2):800-816 Robert Z. Lawrence and Matthew Slaughter. International Trade and American Wages in the 1980s: Giant Sucking Sound or Small Hiccup?, Brookings Papers: Microeconomics 2, 1993, pp. 161-226 Handouts
Session 6	Applications to related economic policy issues: growth, counter-cyclical monetary and fiscal policy, etc.
Session 7	Presentations
Session 8	Presentation Summary of module

Basis for Grades

1. Class participation (30%)
2. The submission of an analysis of a piece of economic advocacy and presentation to the class due for Session 7 (30%)
3. The submission of a piece of economic advocacy of your own due for Session 8 (40%)

OUTLINE

Course Structure Index