1. The path of economics research production: Insights into the seesaw between theory and empirics
- Author:
- João Ricardo Faria, Rajeev K. Goel, and Neela D. Manage
- Publication Date:
- 01-2023
- Content Type:
- Working Paper
- Institution:
- Kiel Institute for the World Economy (IfW)
- Abstract:
- This paper provides insights into the apparent seesaw between the generation of theoretical versus empirical economics research over time. A dynamic model considers the incentives of researchers to focus on empirical versus theoretical papers. It yields the main characteristics of the path-changing of economics research, from theoretical-intensive to empirical-focused. The model has two equilibria, one with a higher proportion of theoretical papers and another with a higher proportion of empirical papers. Curiously, the equilibrium with greater theoretical papers is stable, while the one with more empirical papers is a saddle point. This suggests that the current trend of increasing empirical research is unlikely to last.
- Topic:
- Economics, Research, and Innovation
- Political Geography:
- Europe, North America, and United States of America