Critical realism and economics

This chapter explores the contributions of critical realism to the development of heterodox economics. These contributions include a critique of the methodology of modern mainstream economics, identification of the main characteristics of various heterodox traditions, and an analysis of their complementarity within an ontologically grounded conception of heterodox economics. Possibilities of further interaction of critical realism and heterodox economics are also explored, taking into account the Cambridge Social Ontology project as it emerged from critical realism, including its more recent developments, such as social positioning theory and critical ethical naturalism. The chapter also explores how those developments can be combined with Frederic S. Lee’s contribution to the study of the social provisioning process, so as to further advance an integrated and coherent framework for heterodox economics.