Contrast explanation in economics: its context, meaning, and potential

Abstract

In this article we place Tony Lawson's account of contrast explanation in context. Lawson's development of it is given meaning both by the roots of the approach in his work on social ontology and the state of economics that provides the grounds for the critique contained in that social ontology. This is important because such an approach to explanation is not new. Most notably van Fraassen and Garfinkel have developed it in particular ways and for particular purposes within the philosophy of science and social theory. Setting out the different ways in which the contrastive approach has been developed is useful for identifying what is different about Lawson's approach, its potential and limits. Lawson's proposal is more modest and focusses on causal investigation in a manner that flows from his approach to social ontology. Contrast explanation provides a substitute for controlled experiments and facilitates identifying social mechanisms. It also enables exploration of the manifold presuppositions of our explanatory questions. We argue that this is a useful and important contribution to overcoming some of the many problems economics faces.

A critique of the Laffer theorem’s macro-narrative consequences for corporate tax avoidance from a Global Wealth Chain perspective

“…In general, there is quite a wide latitude in terms of how the contingency and openness of social reality is theorised in economics, IPE and in social theory and philosophy (e.g. Patomäki, 2009;Lawson, 2012;Morgan & Sheehan, 2015;Morgan & Patomäki, 2017b). 4 The figure has no doubt increased: https://scholar.google.co.uk/scholar?hl=en&as_sdt=0%2C5&q=laffer+curve&oq=Laff 5 Note, this intuition is not original to Arthur Laffer -versions of it have been attributed to David Hume, Adam Smith and many others.…”

“…This is deeply unrealistic, but mainstream economics remains committed to tractability since much of its scientific status is derived from its claim to be the most mathematical of the social sciences. In terms of realist 'ontological' critique it is scientistic rather than scientific, and yet remains powerful and socially significant (for critique and alternatives see Lawson, 2019Lawson, , 2015Morgan, 2016b;Morgan & Patomäki, 2017b). 21 The Laffer theorem and its applications share the basic problems of lack of realism.…”

Membership of Chinese Farmer Specialized Cooperatives and Direct Subsidies for Farmer Households: A Multi-Province Data Study

“…Clearly, more thought needs to be given to this issue. It too involves multiple factors and considerations (suggesting both institutional reassessment and scope for follow up research, perhaps cross referenced based on different methods, see Morgan and Patomäki 2017). Machinery may only be appropriate if land and land use allow and if scale makes it cost effective given the relative timing of use of machines.…”

A Realist Alternative to Randomised Control Trials: A Bridge Not a Barrier?

“…That is, suitably conceived, we can explore what "causes" events to happen as they have, whilst realizing that this idea of cause is not some simple stimulusresponse or repetitive input-output situation analogous to the geometric collision of billiard balls, rather it involves conscious reflexive beings who can flourish or suffer. To flourish or suffer as a human being is something we can reflect upon with reference to the conditions in which we live (so there is a contrastive possibility based on why things have happened as they have and subject to what is deemed possible under the values we hold about what we desire; see Morgan and Patomäki, 2017); furthermore, our involvement in the terms of our own existence is part of what it means to flourish as a fully realized human.…”