Economic methodology

Economic methodology is the study of methods, usually scientific method, in relation to economics, including principles underlying economic reasoning.^[1][2] The term 'methodology' is also commonly, though incorrectly, used as an impressive synonym for method(s). Rather, methodology is the study of method(s).

Many of the general issues that arise in the methodology of the natural sciences also apply to economics. Related or other issues have included:

• the definition of economics^[3][4]
• the scope of economics as defined by its methods^[5]
• the scientific status of economics^[6][7][8][9]
• fundamental principles and operational significance of economic theory^{[10][11][12][13][14]}
• allegedly fruitful and predictive vs. realistic aspects of simplifying assumptions, such as rational choice and profit maximizing.^{[15][16][17][18]}[^[19][20]
• methodological individualism versus holism in economic theory^[21][22]
• the balance of empirical and a priori approaches^[23][24][25]
• analysis of formalization and exiomatic methods in economics^{[26][27][28][29]}
• limitations on and uses of experimental methods^[30][31]
• analysis of theory and practice in contemporary economics.^[32]

Economic methodology has gone from periodic reflections of economists on method to a distinct research field in economics since the 1970s. In one direction, it has expanded to the boundaries of philosophy, including the relation of economics to the philosophy of science and to the theory of knowledge.^[33][34] In the context of philosophy and economics, additional subjects are treated as well, including decision theory and moral philosophy/ethics.^[35][36][37]

Commonly-accepted methods and subjects in economics are described as mainstream economics. Heterodox economics includes other approaches that are in various ways presented as alternatives to or criticisms of mainstream economics.