The new arguments for rules take an entirely different tack. They are based neither on the ignorance nor the knavery of public officials and, in fact, assume that everyone knows how the economy operates-even the government! Moreover, the government's objectives are assumed to coincide with the people's objectives, and everyone has rational expectations. Despite these seemingly ideal circumstances, modern critics argue that a central bank left with discretion will err systematically in the direction of excessive inflation. To remedy this distortion, they advocate a fixed rule.
Alan BlinderRelated topics
bank central coincide different direction discretion distortion everyone government ignorance inflation left nor public remedy rule take circumstances RulesRelated quotes
General impressions are never to be trusted. Unfortunately when they are of long standing they become fixed rules of life and assume a prescriptive right not to be questioned. Consequently those who are not accustomed to original inquiry entertain a hatred and horror of statistics. They cannot endure the idea of submitting sacred impressions to cold-blooded verification. But it is the triumph of scientific men to rise superior to such superstitions, to desire tests by which the value of beliefs may be ascertained, and to feel sufficiently masters of themselves to discard contemptuously whatever may be found untrue.
Francis Galton
Ecological rationality uses reason – rational reconstruction – to examine the behavior of individuals based on their experience and folk knowledge, who are ‘naïve' in their ability to apply constructivist tools to the decisions they make; to understand the emergent order in human cultures; to discover the possible intelligence embodied in the rules, norms and institutions of our cultural and biological heritage that are created from human interactions but not by deliberate human design. People follow rules without being able to articulate them, but they can be discovered.
Vernon L. Smith
We are already justified in the conviction that human life as we know it in history is a wretched makeshift, rooted in ignorance; and that it could be transcended by a state of existence based on the illumination of knowledge and comprehension, just as our modern control of physical nature based on science transcends the tentative fumblings of our ancestors, that were rooted in superstition and professional secrecy.
To do this, we must study the possibilities of creating a more favourable social environment, as we have already done in large measure with our physical environment.
Julian Huxley
We are living in a period in which many people have changed their mind about what the use of music is or could be for them. Something that doesn't speak or talk like a human being, that doesn't know its definition in the dictionary or its theory in the schools, that expresses itself simply by the fact of its vibrations. People paying attention to vibratory activity, not in reaction to a fixed ideal performance, but each time attentively to how it happens to be this time, not necessarily two times the same. A music that transports the listener to the moment where he is.
John Cage
A large percentage of bright young men and women locate the impetus behind their career choice in the belief that they are fundamentally different from the common run of man, unique and in certain crucial ways superior, more as it were central, meaningful-what else could explain the fact that they themselves have been at the exact center of all they've experienced for the whole 20 years of their conscious lives?-and that they can and will make a difference in their chosen field simply by the fact of their unique and central presence to it...
David Foster Wallace