The models we use for decision making determine the outcomes we experience. So, if our models are faulty or flawed, we make bad decisions and suffer bad outcomes.
Professor, author and deflationist Steve Keen discusses the broken models central planners are using to chart the future of the world economy.
How broken are they? Well for starters, the models major central banks like the Federal Reserve use don't take into account outstanding debt, or absolute levels of money supply. It's why they were completely blindsided by the 2008 crash, and will be similarly gob-smacked when the next financial crisis manifests.