Why Economic Science Fails to Address Global Crises: A Descent into Sectarianism

A Critique of Modern Economic Science

According to ХВИЛЯ: During a broadcast with political scientist Yuriy Romanenko, economist Viktor Korenivsky offered a sharp critique of contemporary economic science, arguing it has lost its capacity to tackle global issues. Korenivsky contends that economics has become a purely theoretical pursuit, disconnected from the realities of the world economy, and that public debates on economic strategy in Ukraine and globally often devolve into fruitless conflict with no practical outcome.

Korenivsky further likened modern economic schools to religious sects, noting that no contemporary economist working solely within the confines of their own school is capable of solving large-scale crises. In his view, most modern economists are primarily engaged in self-promotion.

“If you look at the debates among all economists, in terms of substance and constructive dialogue, it's essentially on the same level as our linguistic squabbles. It's just a lot of butting heads and mutual accusations.” - Viktor Korenivsky

Viktor Korenivsky emphasized that economics as a science is a narrative that has fragmented into various schools. “As they even say today, they are trading on their personal brand. That's why they can't solve anything; it's truly necessary to move beyond these narrowly defined economic schools,” he added. These comments underscore significant problems within modern economic science and point to a need for fresh approaches to global economic challenges. This critique emerges as many nations grapple with persistent inflation, supply chain disruptions, and energy instability.

The Need for New Approaches

The remarks by Viktor Korenivsky reflect a concern shared by some experts about the state of modern economic theory, which they believe fails to meet the demands of the real world. This disconnect could have serious consequences for shaping economic policy, especially during global crises when traditional approaches prove ineffective.

There is a growing need for interdisciplinary solutions capable of synthesizing insights from different economic schools with practical knowledge to achieve tangible results.