"Though with its reliance on apparently measurable magnitudes it appears at first more scientific than the older microtheory, it seems to me that it has achieved this pseudo-exactness at the price of disregarding the relationships which really govern the economic system. Even though the schemata of micro-economics do not claim to achieve those quantitative predictions at which the ambitions of macro-economics aim, I believe by learning to content ourselves with the more modest aims of the former, we shall gain more insight into at least the principle on which the complex order of economic life operates, than by the artificial simplification necessary for macro-theory which tends to conceal nearly all that really matters. I venture to predict that once this problem of method is settled, the 'Keynesian Revolution' will appear as an episode during which erroneous conceptions of the appropriate scientific method led to the temporary obliteration of many important insights which we had already achieved and which we shall then have painfully to regain."
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Original Language: English
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Friedrich A. von Hayek, "Personal Recollections of Keynes," §18 of "Main Themes Restated," ch. VI of A Tiger by the Tail: The Keynesian Legacy of Inflation, compiled by Sudha R. Shenoy, 3rd. ed. (published jointly by The Institute of Economic Affairs and the Ludwig von Mises Institute, 2009), pp. 118–119; essay originally published as "Personal Recollections of Keynes & the 'Keynesian Revolution'" in The Oriental Economist (1966).
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