A note on Lucas and the Ricardian Vice

Vol. 17 No. 4 (1997)

Oct-Dec / 1997
Published October 1, 1997
PDF-Portuguese (Português (Brasil))
PDF-Portuguese (Português (Brasil))

How to Cite

Libânio, Gilberto de Assis. 1997. “A Note on Lucas and the Ricardian Vice”. Brazilian Journal of Political Economy 17 (4):622-29. https://doi.org/10.1590/0101-31571997-0982.

A note on Lucas and the Ricardian Vice

Gilberto de Assis Libânio
Faculdade de Ciências Econômicas da Universidade Federal de Minas Gerais, Belo Horizonte/MG, Brasil – FACE/UFMG e do programa de mestrado do Instituto de Economia da Universidade Federal do Rio de Janeiro, Rio de Janeiro/RJ, Brasil.
Brazilian Journal of Political Economy, Vol. 17 No. 4 (1997), Oct-Dec / 1997, Pages 622-629


Senior indetermination stresses the limitations of “pure” theory to derive normative
conclusions. This paper tries to show that Lucas runs into the so-called Ricardian Vice,
when he goes straight from abstract theoretical models to economic policy formulations. It
is argued that such a procedure is related to Lucas methodological positions. That is, the “as
if” methodology – inherited from Friedman – would lead to disregard of external elements
in policy prescriptions.

JEL Classification: B22; B31.

Keywords: Ricardian Vice indetermination of Senior Lucas New Classical history of economic thought