Econometrics is an empirical science

Cogito ergo sum. I exist. My protest against the censorship of science by the directorate of the Dutch Central Planning Bureau is a fact. The protest is a statistical datum. 

Econometrics, as founded by Jan Tinbergen and Ragnar Frisch, develops mathematical models of economic theories and confronts these with the statistical data. One economic model uses a social welfare function that depends upon the state of information, SWF[x, i] where x is the vector of standard economic variables and i is the indicator of information, i = 0 when the government does not know how to solve unemployment and i = 1 when the censorship is lifted and the government receives proper knowledge about how to tackle unemployment. See DRGTPE, Book IX on the reduced form, pag 198+.

Interestingly, many scientists who are aware that science is intended to explain empirical reality, manage to neglect some facts. To them, I don’t exist, the protest does not exist, the censorship does not exist. The “reality” they look at consists of rosy “facts” that fit their theories instead of the other way around.

One possibility is that I am mistaken and that there is no censorship of science by the directorate of the Dutch CPB. It shouldn’t be too difficult to determine this. The Dutch judiciary Court for Civil Servants decided that the CPB directorate had the power to decide what it wanted to publish or not. However, the publication series of “Research Memoranda under the name of the author” really states “under the name of the author” so that the directorate had decided earlier that it would not be involved. Hence there is an abuse of power and the Court is biased against the freedom of expression of science. How hard can it be to observe this as a fact ?

Apparently it can be awfully hard for Dutch people and even scientists to acknowledge that some unpleasant facts exist and that an otherwise highly esteemed directorate indeed censors science and abuses its power, and isn’t corrected by the Court.

Perhaps the world can help to flip the information indicator. And note that this problem would be much smaller in any democracy if each democracy adopted the constitutional amendment for an Economic Supreme Court.


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