Grounded Theory and Heterodox Economics

Abstract

The dominant theory in the discipline of economics, known as neoclassical economics, is being challenged by an upstart, known as heterodox economics. The challengers face many obstacles, the most significant of which is the actual creation of an alternative economic theory. However heterodox economists have not settled on what the methodology of theory creation should be. The aim of this paper is to advocate that the method of grounded theory is thebest set of guidelines for theory creation. In addition, I shall argue that the grounded theory method results in the creation of heterodox economic theories that are historical in structure, content and explanation.

Keywords

• heterodox economics
• grounded theory