From Joshua Gans:
But people are wrong on the Internet all of the time. So what really annoyed me was how Cowen ended the post:
“This counterintuitive conclusion is one reason why we have economic models.”
…Now where did all that lead? Frustrated by the blog debate, I decided to write a proper academic paper. That took a little time. In the review process, the reviewers had great suggestions and the work expanded. To follow through on them I had a student, Vivienne Groves, help work on some extensions and she did such a great job she became a co-author on the paper. The paper was accepted and today was published in the Journal of Economics and Management Strategy; almost 5 years after Tyler Cowen’s initial post. And the conclusion: everyone in the blog debate was a little right but also wrong in the blanket conclusions (including myself).