A short thread on critical thinking. To be critical is not to be contrarian, opposed, or anti--it's to be open for the possibility that you might have gotten it wrong. So, the more time/effort you've spend thinking critically about something, the more errors you'd have discarded.
That's where an 'expert' should be: they have, ideally, spent a lot of time studying some phenomenon and know a lot about it. So they would have already discarded plenty of false explanations. Unfortunately, getting an advanced degree doesn't automatically provide such expertise.
In other words: you should not accept someone's authority on a subject because of their titles/degrees. So, when I say something about the economy (my expertise), you should, if you disagree, push back, ask penetrating questions. It's likely that one of us got something wrong.
This happens to economists all the time, and it is great that people disagree and have opinions. Unfortunately, it doesn't happen nearly as much to physicists and other experts. They too should get critical questions and the opportunity to provide their rationale and reasoning.
But that is as far as critical thinking goes: the discussion on why certain beliefs or positions are chosen. You may choose to not believe the rationale. You can question the validity and continue to ask questions and debate the issue. That's fine and good if done productively.
What is not good is to then stick to your guns and dismiss the explanation as dogmatic because you disagree with the conclusion. That's not them being dogmatic--it is you. It's not critical thinking to dismiss all explanations and present none yourself. It's quite the opposite.
This happens all the time when discussing markets, which are simply voluntary exchanges in the abstract. You may not like or trust markets, but your inability to find a flaw in the argument for markets gives you a right to dismiss neither the argument nor the persons making it.
Core to critical thinking is to reconsider one's position in the face of better argument. It doesn't mean that argument is flawless, but it means you need to consider it on the same terms as your own. Which is the stronger one? Then form a new opinion. Anything else is dogmatic.
(If you don't like the new thread format, blame @saifedean--it's his fault. 😜)

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More from @PerBylund

25 Jan
The problem with #politics is that it exaggerates and makes (empty) slogans out of what we know. This applies to the #minimumwage too, where proponents of increasing it claim it will raise people's wages and opponents claim it will kill jobs. Neither is very accurate or finds
support in economic theory. Let's look at what a minimum wage law does, and then at what we can expect from it. Because the former is rarely admitted and the latter goes both ways. So, first, a minimum wage law is not an increase in anybody's wage, it is only a prohibition of
paying employees less than a stated amount. Raising the minimum wage law does not mean whoever is making less gets an automatic raise. What it does mean, especially after a transition period, is that there will be no jobs that create less value than is necessary for employers to
Read 21 tweets
10 Jan
The problem with (and for) #SiliconValley is their lack of #entrepreneurship. Yes, really: they're bad at being entrepreneurs, at providing the entrepreneurial function in the economy. To put it differently, they are technology driven in their profit-seeking but not consumer
driven. The difference is monumental both for the economy and the companies, and this is why they're failing. No, failing doesn't mean they are necessarily losing money, but that their profits are short-term and that they are undermining their own market positions. The business
they are in is not sustainable. This goes way beyond the selling of eyeballs, which is the focus of Facebook, Twitter, Google, and others. As it's often said, if you are not the paying for the product you *are* the product. Facebook is selling you, and your future purchases, to
Read 20 tweets
9 Jan
Twitter is obviously purging again...
-100 followers since last night. Keeps dropping.
Read 6 tweets
30 Dec 20
Sadly, the @AOMConnect #AMR editors continue the all-too-common mistake of conflating Coase and Williamson and even cite Coase as source of TCE. But they're not the same, or even commensurable, as I show in my forthcoming SMR paper (linked in next tweet). journals.aom.org/doi/10.5465/am…
Bylund (2021). "The firm vs. the market: Dehomogenizing the transaction cost theories of Coase and Williamson." Strategic Management Review Vol. 2, No. 1. leeds-faculty.colorado.edu/jere1232/smr.h…
Here's the error. The #AMR editors even note opportunism alongside the citation of Coase (1937), a concept Coase vehemently opposed. 🤦‍♂️ Image
Read 5 tweets
20 Dec 20
Many anti-market folks assert that property must have arisen from someone claiming for himself that which was jointly used. That's their bias, not an explanation or theory. Private property can emerge from joint or communal use without conflict. When it does, it is by definition
legitimate property. Locke showed how it could be done through mixing one's labor with unowned/unclaimed land. I have previously drafted an alternative theory. Neither claims that all existing property, or even the existing property *system*, is therefore libertarianpapers.org/5-man-matter-f…
legitimate, only that there can be legitimate private property. This is enough to carefully consider the concept, which must be accepted as a potential alternative solution for social production and economy. The arguments for property-based production are very strong, which is,
Read 13 tweets
6 Dec 20
This is the type of nonsense we get without basic understanding of economy: Government is recommended to lure businesses to close by offering them money. There are many problems with this, including where that money comes from, but the greatest is the upending of what
economy means. By establishing a payment system based on paying off *producers*, government effectively does away with consumer sovereignty. Businesses remain in business and earn profits because consumers value what they have to offer. When consumers don't, then the business
fails. Like so many other schemes, this pretend-smart nonsense by @CEPS_thinktank and @WEF mistake the market economy for production management. Suggesting to pay off producers to not produce effectively shift the determination of the production structure away from consumer wants
Read 4 tweets

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