Science Fiction Writers Provide More Accurate Forecasts Than Economists

Robert Fogel, quoted below, is a Nobel-Prize-winning professor of economics at the University of Chicago:

(p. 13) I think I’ve largely covered how things looked after World War II, highlighting both what now seems to have been an unjustified pessimism and also the difficulties in forecasting the future. I close with an anecdote from Simon Kuznets. He used to give a one-year course in growth economics, both at Johns Hopkins and Harvard. One of the points he made was that if you wanted to find accurate forecasts of what happened in the past, don’t look at what the economists said. The economists in 1850 wrote that the progress of the last decade had been so great that it could not possibly continue. And economists at the end of the nineteenth century wrote that the progress of the last half century had been so great that it could not possibly continue during the twentieth century. Kuznets said you would come closest to an accurate forecast if you read the writers of science fiction. But even the writers of science fiction were too pessimistic. Jules Verne recognized that we might eventually get to the moon, but he couldn’t conceive of the technology that actually made the journey possible.

I was at a 2003 conference at Rockefeller University that brought together about 30 people from different disciplines (economics, biology, chemistry, and physics, as well as some industrial leaders) who put forward their views of what was likely to happen in the new millennium. And I must say that the noneconomists were far more bullish than most of the economists I know. So I suspect if we have another MussaFest in 2024, we’ll all look back at how pessimistic we were in 2004.

Source:
Fogel, Robert W. “Reconsidering Expectations of Economic Growth after World War Ii from the Perspective of 2004.” IMF Staff Papers 52 (Special Issue 2005): 6-14.

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