The Problematic Dominance of Economics in Public Policy

The discipline of economics has long dominated the role of the social sciences in public policy. While this can partly be explained by the superior sophistication of economic theory, this is in itself partly the result of the tendency of economists to ignore complex variables that stand outside its own sphere. A number of policy examples are discussed, which demonstrate some of the negative consequences that have flowed from this: enduring economic geographical inequalities among cities and regions; the impact of unregulated globalization; the initial construction of the single European currency; recent labour market reforms; and the use of market analogues in public services. It will be concluded that the quality of much public policy-making in many countries would have been improved if the knowledge and insights of other social sciences had had access to policy-makers alongside economists. This would however demand a greater willingness among decision-makers to accept ambiguity and uncertainty in the advice that they receive from social scientists.