Computational Economics and Economic Theory: Substitutes or ...

Computational Economics and Economic Theory: Substitutes or ...


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Computational Economics and Economic Theory: Substitutes or Complements? Kenneth L. Judd January 11, 1996∗ Abstract. This essay examines the idea and potential of a “compu- tational approach to theory,” discusses methodological issues raised by such computational methods, and outlines the problems associated with the dissem- ination of computational methods and the exposition of computational results. We argue that the study of a theory need not be conÞned to proving theo- rems, that current and future computer technologies create new possibilities for theoretical analysis, and that by resolving these issues we will create an intellectual atmosphere in which computational methods can make substantial contributions to economic analysis.
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