The Idea of Economic Laws. Some Considerations on Rationality, Historicity, and Objectivity in Economics

Abstract

The debate on the existence of laws in individual and social behaviour dates back to the very beginnings of economics as a modern science. In adopting the concept of natural laws from classical mechanics, economics originally evolved as ‘social physics.’ But is it really appropriate to transfer the idea of precise and accurate laws to social life and social science? We attempt to answer this question by scrutinizing the methodological foundations of the discipline. In particular, this paper addresses the concepts of rationality, historicity, and objectivity – all located at the very heart of economics and all essential in developing a viable, empirically corroborated theory to face and embrace economic complexity.