The global economic situation has been facing uncertainty over the past years. As a result, people are losing trust in economists. They are wondering why economic conditions are not getting better. Questions have been raised about the accuracy of the published economic indicators.

People are questioning if inflation rates are really declining, if the economy is growing as economists claim, and if the reported unemployment rates are correct. Why are gold prices declining after the extraordinary boost? These are some of the questions being asked.

In fact, economists might not be deliberately lying. They are either not telling the full information or missing on delivering the message due to the use of complicated terminologies.

People do not want to know about tight or loose monetary policy. They want to know when prices stabilize. However, it is the economists’ full responsibility to explain inflation trends and monetary policy shifts in simplified terms. Both academic and policy economists should stop speaking to each other assuming everybody else understands what they say.

In another context, many people confuse economists with financial analysts or investors. People often ask economists for investment recommendations, while others wonder why economists who claim to understand economic solutions are not even rich themselves. In reality, most economists are not rich and likely never will be.

In 2022, Peter Coy published an opinion column in The New York Times titled “If Economists Are So Smart, Why Ain’t They Rich?” Coy explained the reasons in five main points.

First, economists are not trying to be rich. Second, economists are too good at economics only, which does not generate money. Third, some economists are not actually smart. “They know their subspecialties well but are weak on others, such as economic history. These economists have technical expertise but not wisdom.” Fourth, economists are hamstrung by the “efficient market hypothesis.” Finally, economists do think they can beat the market, but they are wrong.

Policy economists see academic economists stuck in the library. Academic economists underestimate the rationality of decisions taken by policy economists. People do not trust all types of economists. It is what it is, and economists should find a solution.