“It would appear that the Keynesian faithful have foisted on free-market capitalists an unfalsifiable theory. Evidence that contradicts it, Keynesian kooks enlist as evidence for the correctness of their theory.”

—  Ilana Mercer

"John Maynard Keynes: Where’s The Genius?! (Part 2) http://www.economicpolicyjournal.com/2013/08/john-maynard-keynes-wheres-genius-part-2.html Economic Policy Journal, August 23, 2013.
2010s, 2013

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South African writer

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“On the unfalsifiable theory of global warming:"Evidence that contradicts the global warming theory, climate kooks enlist as evidence for the correctness of their theory; every permutation in weather patterns—warm or cold—is said to be a consequence of that warming or proof of it.”

Ilana Mercer South African writer

"Reincarnation of the Reds," http://www.ilanamercer.com/phprunner/public_article_list_view.php?editid1=108 WorldNetDaily.com, December 29, 2006, The Colorado Springs Gazette, January 17, 2007, and The Orange County Register, "The Reds Have Become Greens," January 19, 2007.
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“If the evidence says you’re wrong, you don’t have the right theory. You change the theory, not the evidence.”

John Brunner book Stand on Zanzibar

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“First and foremost, Keynesian economics is a theory of aggregate demand and of the effects of aggregate demand on real output and inflation.”

Alan Blinder (1945) economist

"The fall and rise of Keynesian economics", (1988)

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“It seems that neither the Keynesian nor the Marxian prognosis of the future of capitalism is being fulfilled and we are left without any particular theory as to what will happen next.”

Joan Robinson (1903–1983) English economist

Source: Contributions to Modern Economics (1978), Chapter 20, Has Capitalism Changed?, p. 227

“Before you have faith you must believe, and before you believe there must be evidence of some sort to persuade the mind. Faith is remembering that evidence and holding to it against all that seems to challenge or contradict it.”

Samuel Youd (1922–2012) British writer

The Prince in Waiting

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“His clear exposition of the evidence would have terminated the discussion for ever, if the passions of mankind had not been enlisted in the dispute”

Charles Lyell book Principles of Geology

Chpt.3, p. 26
Principles of Geology (1832), Vol. 1
Context: The excavations made in 1517, for repairing the city of Verona, brought to light a multitude of curious petrifactions, and furnished matter for speculation to different authors, and among the rest to Fracastoro, who declared his opinion, that fossil shells had all belonged to living animals, which had formerly lived and multiplied, where their exuviæ are now found. He exposed the absurdity of having recourse to a certain 'plastic force,' which it was said had power to fashion stones into organic forms; and, with no less cogent arguments, demonstrated the futility of attributing the situation of the shells in question to the Mosaic deluge, a theory obstinately defended by some. That inundation, he observed, was too transient, it consisted principally of fluviatile waters; and if it had transported shells to great distances, must have strewed them over the surface, not buried them at vast depths in the interior of mountains. His clear exposition of the evidence would have terminated the discussion for ever, if the passions of mankind had not been enlisted in the dispute; and even though doubts should for a time have remained in some minds, they would speedily have been removed by the fresh information obtained almost immediately afterwards, respecting the structure of fossil remains, and of their living analogues.

Olivier Blanchard photo

“Lucas and Sargent’s main argument was that Keynesian economics had ignored the full implications of the effect of expectations on behavior. The way to proceed, they argued, was to assume that people formed expectations as rationally as they could, based on the information they had. Thinking of people as having rational expectations had three major implications, all highly damaging to Keynesian macroeconomics. …
The first implication was that existing macroeconomic models could not be used to help design policy. … The second implication was that when rational expectations were introduced in Keynesian models, these models actually delivered very un-Keynesian conclusions. … The third implication was that if people and firms had rational expectations, it was wrong to think of policy as the control of a complicated but passive system. Rather, the right way was to think of policy as a game between policy makers and the economy. …
To summarize: When rational expectations were introduced, Keynesian models could not be used to determine policy; Keynesian models could not explain long-lasting deviations of output from the natural level of output; the theory of policy had to be redesigned, using the tools of game theory.”

Olivier Blanchard (1948) French economist

Source: Macroeconomics (7th Edition, 2017), Ch. 24 : Epilogue: The Story of Macroeconomics

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“For a period of roughly 35 years, Keynesian theory provided a central paradigm for macroeconomists, and considerable progress was made on several empirical fronts. It was widely recognized that some of the ingredients of Keynesian economics (e. g. money illusion and/or nominal wage rigidity) rested on slender to non-existent microtheoretic foundations; and there were always dissenters. But, thought of as a collection of empirical regularities that fit together into a coherent whole, the theory worked tolerably well. In the 1970s, however, the Keynesian paradigm was rejected by a great many academic economists, especially in the United States, in favour of what we now call new classical economics. By about 1980, it was hard to find an American academic macroeconomist under the age of 40 who professed to be a Keynesian. That was an astonishing intellectual turnabout in less than a decade, an intellectual revolution for sure.”

Alan Blinder (1945) economist

"The fall and rise of Keynesian economics", (1988)

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“Not only is it possible to devise complete models of the economy on hypotheses other than rationality, but in fact virtually every practical theory of macroeconomics is partly so based. The price- and wage- rigidity elements of Keynesian theory are hard to fit into a rational framework, though some valiant efforts have been made. … But if the Keynesian model is a natural target of criticism by the upholders of universal rationality, it must be added that monetarism is no better. I know of no serious derivation of the demand for money from a rational optimization. … The use of rationality in these arguments is ritualistic, not essential.”

Kenneth Arrow (1921–2017) American economist

1970s-1980s, "Rationality of Self and Others in an Economic System", 1986

“Colander: What’s your view of the New Keynesian approach?
Tobin: I’m not sure what that means. If it means people like Greg Mankiw, I don’t regard them as Keynesians. I don’t think they have involuntary unemployment or absence of market clearing. It is a misnomer to call Mankiw any form of Keynesian.
Colander: How about real-business-cycle theorists?
Tobin: Well, that’s just the enemy.”

David Colander (1947) American economist

David Colander, "Conversations with James Tobin and Robert J. Shiller on the “Yale Tradition” in Macroeconomics", Macroeconomic Dynamics (1999), later published in Inside the economist’s mind: conversations with eminent economists (2007) edited by Paul A. Samuelson and William A. Barnett.
1990s

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