Confronting Objections to the Economic Approach

Critical Thinking Questions

What assumptions about the economy must be true for the invisible hand to work? To what extent are those assumptions valid in the real world?

Do economists have any particular expertise at making normative arguments? In other words, they have expertise at making positive statements (i.e., what will happen) about some economic policy, for example, but do they have special expertise to judge whether or not the policy should be undertaken?