Not all of these questions can be answered with hard, causal evidence. But learning how the economy is functioning, and understanding the mechanisms and incentives through which policy instruments affect the way people and firms behave is crucial. The best strategy to counter distrust in public authorities and the spread of “fake news” is a structured policy process.
We need transparency about what policy institutions are doing and how they operate, not least through good communication. Notwithstanding the erosion of trust in governments and political institutions since the crisis, there is indeed great demand for reliable evidence and expert knowledge.