What does neoclassical economics mean?

Neoclassical economics, also known as the first generation of neoclassical economics and neoclassical economics, rose in the economic trend of thought at the beginning of the twentieth century. They are a loose group and have inherited the position of classical economics. They advocate supporting free market economy, individual rational choice, and opposing excessive government intervention and Keynesian economics. The central argument of neoclassical economic development theory can be summarized as the result of economic underdevelopment, which comes from the wrong price policy and the improper allocation of resources caused by excessive state intervention caused by the excessive activities of the third world government. Therefore, we should re-evaluate the role of government and market in economic development and use market forces to solve development problems. This ideological turn in the field of development economics is called "neoclassical revival".

From the end of 1960s, neoclassicism rose in the wave of criticizing traditional development economics. Economics experienced three revolutionary changes: Chamberlain Revolution, Keynesian Revolution and Expectation Revolution, and formed a basic theoretical framework including microeconomics and macroeconomics, which is called neoclassical economics to distinguish it from the previous classical economics. Neoclassical economics reflects the research achievements and development characteristics of economics since 100. It pays more attention to the universality of falsificationism, the diversification of assumptions, the mathematicization of analytical tools, the non-economization of research fields, the classicalization of case use and the marginalization of interdisciplinary research.