Luis Cabral, Paganelli-Bull Professor of Economics and International Business at NYU Stern School of Business and world-leading industrial economist, visited NIPE on 9 March and gave a seminar on “Teaching Economics in the 21st Century”, based on his new textbook, “Introduction to Microeconomics”.
In the build-up to a fruitful debate, Luis Cabral advanced provocative thoughts on the long-standing approach in microeconomics textbooks, both challenging and supporting some of its hallmarks: : (a) perfect competition as the reference point for market dynamics; (b) market efficiency (total surplus) as the dominant value metric; and (c) homo economicus as the behavioral reference point.
He placed his critique within the broader context of the tectonic changes the world economy underwent in the past half-century, a period when economists were given remarkable power and were subject to equivalent scrutiny. From climate change to income inequality, unscored by calls to break with capitalism heard across the public spectrum, the current risks economies worldwide face, command reassessment and reform of teaching Economics, Luis Cabral argued.
The NYU professor pointed out that educators should address the challenge of reforming the way economics is taught and discussed how this challenge motivated him to write a new book on introduction to microeconomics.
Helia Marreiros, NIPE researcher and session chair, opened the floor to debate, and Luís Sá, NIPE researcher, discussed the use of models in teaching Economics. Faculty and students joined the discussion.
Free download of Prof. Luis Cabral new book “Introduction to Microeconomics”