“Classical economists study the world as they believe it should be. They see a world of seven billion rational beings who have access to all required information, know what they want and make perfect choices. Since the 1980s, but especially since the credit crisis of 2008, more and more cracks have appeared in the image of this homo economicus.”
“In Nijmegen, we have been looking for much longer at the question of which choices people actually make, instead of which choices they should make rationally. We study real-world issues and use less mathematical knowledge, but more knowledge from fields such as sociology, psychology and anthropology. We call this Economics+, to indicate that we study current issues and opt for a multidisciplinary approach.”
“For many years, the Nijmegen approach was considered ‘soft’. But nowadays organisations are pleased with the broad and critical perspective of our alumni. You also see other universities adopting the Nijmegen model. They previously saw economics as a system of gears that all mesh together. Now they realise that there aren’t hundreds, but millions of gears and that the system is so complex that a purely numerical approach is inadequate. It is essential that we take the human dimension into account.”
Happiness Economics
“That human dimension is also reflected in the Happiness Economics course, which I developed together with Professor Esther-Mirjam Sent. Classical economics determines a country's wealth based on its gross domestic product (GDP). Economic growth is the ultimate measure of prosperity. The idea is that more money means more freedom and more happiness. In this course we check whether that is correct, and we study alternatives.”
“I often see students starting the course optimistically and finishing it with a more realistic attitude. In practice, GDP turns out to be quite a useful measure. Moreover, it has proven difficult to devise alternatives for measuring broad prosperity, especially if policy makers have to be able to use them. But it is important for students to see that money is not a cure-all, and that it can be at odds with human rights, a healthy living environment and a liveable climate.”
“That realistic attitude is important. As scientists, we should not be too prescriptive. I recently read a beautiful statement: science brings light, but no warmth. Scientists are there to tell the honest story, which can sometimes be harsh, but not to offer comfort or make people feel better. Ultimately, people have to decide for themselves whether to take action based on that story, and if so, what these actions are.”
Tip: “Focus on the similarities between people. In the media, differences in aspects such as culture, gender and origin are magnified and used as an explanation for problems. But that’s too easy. Human behaviour is 98 per cent the same. Focusing on differences also creates distance. By emphasising the similarities, you acquire more understanding for each other, and you can actually bridge distances.”
Robbert Rademakers (Oosterhout, 1994) is a development economist. He studied International Economics and Business Economics in Nijmegen. Since 2015, he has worked as a junior lecturer/junior researcher at the Nijmegen School of Management. In 2022, he plans to defend his PhD thesis on the economics of ethnicity and ethnic change.