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The Austrian School in Bulgaria: a History✩ Nikolay Nenovsky A,*, Pencho Penchev B
Russian Journal of Economics 4 (2018) 44–64 DOI 10.3897/j.ruje.4.26005 Publication date: 23 April 2018 www.rujec.org The Austrian school in Bulgaria: A history✩ Nikolay Nenovsky a,*, Pencho Penchev b a University of Picardie Jules Verne, Amiens, France b University of National and World Economy, Sofia, Bulgaria Abstract The main goal of this study is to highlight the acceptance, dissemination, interpretation, criticism and make some attempts at contributing to Austrian economics made in Bulgaria during the last 120 years. We consider some of the main characteristics of the Austrian school, such as subjectivism and marginalism, as basic components of the economic thought in Bulgaria and as incentives for the development of some original theoreti- cal contributions. Even during the first few years of Communist regime (1944–1989), with its Marxist monopoly over intellectual life, the Austrian school had some impact on the economic thought in the country. Subsequent to the collapse of Communism, there was a sort of a Renaissance and rediscovery of this school. Another contribution of our study is that it illustrates the adaptability and spontaneous evolution of ideas in a different and sometimes hostile environment. Keywords: history of economic thought, dissemination of economic ideas, Austrian school, Bulgaria. JEL classification: B00, B13, B30, B41. 1. Introduction The emergence and development of specialized economic thought amongst the Bulgarian intellectuals was a process that occurred significantly slowly in comparison to Western and Central Europe. It also had its specific fea- tures. The first of these was that almost until the outset of the 20th century, the economic theories and different concepts related to them were not well known. -
How Far Is Vienna from Chicago? an Essay on the Methodology of Two Schools of Dogmatic Liberalism
A Service of Leibniz-Informationszentrum econstor Wirtschaft Leibniz Information Centre Make Your Publications Visible. zbw for Economics Paqué, Karl-Heinz Working Paper — Digitized Version How far is Vienna from Chicago? An essay on the methodology of two schools of dogmatic liberalism Kiel Working Paper, No. 209 Provided in Cooperation with: Kiel Institute for the World Economy (IfW) Suggested Citation: Paqué, Karl-Heinz (1984) : How far is Vienna from Chicago? An essay on the methodology of two schools of dogmatic liberalism, Kiel Working Paper, No. 209, Kiel Institute of World Economics (IfW), Kiel This Version is available at: http://hdl.handle.net/10419/46781 Standard-Nutzungsbedingungen: Terms of use: Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Documents in EconStor may be saved and copied for your Zwecken und zum Privatgebrauch gespeichert und kopiert werden. personal and scholarly purposes. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle You are not to copy documents for public or commercial Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich purposes, to exhibit the documents publicly, to make them machen, vertreiben oder anderweitig nutzen. publicly available on the internet, or to distribute or otherwise use the documents in public. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, If the documents have been made available under an Open gelten abweichend von diesen Nutzungsbedingungen die in der dort Content Licence (especially Creative Commons Licences), you genannten Lizenz gewährten Nutzungsrechte. may exercise further usage rights as specified in the indicated licence. www.econstor.eu Kieler Arbeitspapiere Kiel Working Papers Working Paper No. -
Cryptocurrencies As an Alternative to Fiat Monetary Systems David A
View metadata, citation and similar papers at core.ac.uk brought to you by CORE provided by Digital Commons at Buffalo State State University of New York College at Buffalo - Buffalo State College Digital Commons at Buffalo State Applied Economics Theses Economics and Finance 5-2018 Cryptocurrencies as an Alternative to Fiat Monetary Systems David A. Georgeson State University of New York College at Buffalo - Buffalo State College, [email protected] Advisor Tae-Hee Jo, Ph.D., Associate Professor of Economics & Finance First Reader Tae-Hee Jo, Ph.D., Associate Professor of Economics & Finance Second Reader Victor Kasper Jr., Ph.D., Associate Professor of Economics & Finance Third Reader Ted P. Schmidt, Ph.D., Professor of Economics & Finance Department Chair Frederick G. Floss, Ph.D., Chair and Professor of Economics & Finance To learn more about the Economics and Finance Department and its educational programs, research, and resources, go to http://economics.buffalostate.edu. Recommended Citation Georgeson, David A., "Cryptocurrencies as an Alternative to Fiat Monetary Systems" (2018). Applied Economics Theses. 35. http://digitalcommons.buffalostate.edu/economics_theses/35 Follow this and additional works at: http://digitalcommons.buffalostate.edu/economics_theses Part of the Economic Theory Commons, Finance Commons, and the Other Economics Commons Cryptocurrencies as an Alternative to Fiat Monetary Systems By David A. Georgeson An Abstract of a Thesis In Applied Economics Submitted in Partial Fulfillment Of the Requirements For the Degree of Master of Arts May 2018 State University of New York Buffalo State Department of Economics and Finance ABSTRACT OF THESIS Cryptocurrencies as an Alternative to Fiat Monetary Systems The recent popularity of cryptocurrencies is largely associated with a particular application referred to as Bitcoin. -
The Austrian Theory of Money by Murray N
The Austrian Theory of Money By Murray N. Rothbard [Reprinted from The Foundations of Modern Austrian Economics, Edwin Dolan, ed. (Kansas City: Sheed Andrews and McMeel, 1976), pp. 160-84.; The Logic of Action One: Method, Money, and the Austrian School (Cheltenham, UK: Edward Elgar, 1997), pp. 297-320. The pagination on this edition corresponds to the Logic edition.] The Austrian theory of money virtually begins and ends with Ludwig von Mises's monumental Theory of Money and Credit, published in 1912.1 Mises's fundamental accomplishment was to take the theory of marginal utility, built up by Austrian economists and other marginalists as the explanation for consumer demand and market price, and apply it to the demand for and the value, or the price, of money. No longer did the theory of money need to be separated from the general economic theory of individual action and utility, of supply, demand, and price; no longer did monetary theory have to suffer isolation in a context of "velocities of circulation," "price levels," and "equations of exchange." In applying the analysis of supply and demand to money, Mises used the Wicksteedian concept: supply is the total stock of a commodity at any given time; and demand is the total market demand to gain and hold cash balances, built up out of the marginal-utility rankings of units of money on the value scales of individuals on the market. The Wicksteedian concept is particularly appropriate to money for several reasons: first, because the supply of money is either extremely durable in relation to current production, as under the gold standard, or is determined exogenously to the market by government authority; and, second and most important, because money, uniquely among commodities desired and demanded on the market, is acquired not to be consumed, but to be held for later exchange. -
Nominality of Money: Theory of Credit Money and Chartalism Atsushi Naito
Review of Keynesian Studies Vol.2 Atsushi Naito Nominality of Money: Theory of Credit Money and Chartalism Atsushi Naito Abstract This paper focuses on the unit of account function of money that is emphasized by Keynes in his book A Treatise on Money (1930) and recently in post-Keynesian endogenous money theory and modern Chartalism, or in other words Modern Monetary Theory. These theories consider the nominality of money as an important characteristic because the unit of account and the corresponding money as a substance could be anything, and this aspect highlights the nominal nature of money; however, although these theories are closely associated, they are different. The three objectives of this paper are to investigate the nominality of money common to both the theories, examine the relationship and differences between the two theories with a focus on Chartalism, and elucidate the significance and policy implications of Chartalism. Keywords: Chartalism; Credit Money; Nominality of Money; Keynes JEL Classification Number: B22; B52; E42; E52; E62 122 Review of Keynesian Studies Vol.2 Atsushi Naito I. Introduction Recent years have seen the development of Modern Monetary Theory or Chartalism and it now holds a certain prestige in the field. This theory primarily deals with state money or fiat money; however, in Post Keynesian economics, the endogenous money theory and theory of monetary circuit place the stress on bank money or credit money. Although Chartalism and the theory of credit money are clearly opposed to each other, there exists another axis of conflict in the field of monetary theory. According to the textbooks, this axis concerns the functions of money, such as means of exchange, means of account, and store of value. -
Positions of the Austrian School on Currency Policy in the Last Decades
Positions of the Austrian School on currency policy in the last decades of the Habsburg monarchy (1892-1914) Günther Chaloupek, Director (retired) of Economics Dpt., Chamber of Labour, Vienna Paper presented to the 20th Annual ESHET Conference, Paris, May 26 to 28, 2016 first draft 1. The currency reform in the Habsburg monarchy of 18921 After a long period of debate about reform of the monetary system of the Habsburg monarchy, the parliaments of Austria and Hungary passed identical laws in August 1892 that enabled the Austro-Hungarian bank (A-HB) to establish a gold backed currency. The Austrian guilder (Gulden, fl) had been a pure paper currency since 1879. A 10 fl gold coin issued in 1878, equivalent to 24 ffr, which served as a connecting bridge to the international currency system traded against paper notes for some 11,50 (the so-called “gold agio”) in 1879. This ratio increased to 12,4 in 1887 and then declined to 11,7 in March 1892. In view auf this reversed trend, industrial and agricultural interest groups which had opposed the adoption of the gold standard for many years, turned into supporters in fear of continued appreciation which would have worsened their international competitive position. At the time when the final decision was made, the money supply of the monarchy consisted of bank notes, so-called state notes (Staatsnoten), and silver coins. The A-HB’s metal reserves in gold and silver were sufficient to fulfil the requirement for metal coverage of its own bank notes. The governments of Austria and Hungary committed themselves to withdraw state notes amounting to 412 million fl (824 million K) from circulation and replace them by gold until the end of 18992. -
Classical Liberalism and the Austrian School
Classical Liberalism and the Austrian School Classical Liberalism and the Austrian School Ralph Raico Foreword by Jörg Guido Hülsmann Preface by David Gordon LvMI MISES INSTITUTE The cover design by Chad Parish shows the Neptune Fountain, at the Schönbrunn Palace, in Vienna. Copyright © 2012 by the Ludwig von Mises Institute. Permission to reprint in whole or in part is gladly granted, provided full credit is given. Ludwig von Mises Institute 518 West Magnolia Avenue Auburn, Alabama 36832 mises.org ISBN: 978-1-61016-003-2 Dedicated to the memory of the great Ludwig von Mises Table of Contents Foreword by Jörg Guido Hülsmann . ix Preface by David Gordon . xiii Introduction . .xxv 1. Classical Liberalism and the Austrian School . .1 2. Liberalism: True and False . .67 3. Intellectuals and the Marketplace. 111 4. Was Keynes a Liberal? . .149 5. The Conflict of Classes: Liberal vs. Marxist Theories. .183 6. The Centrality of French Liberalism . .219 7. Ludwig von Mises’s Liberalism on Fascism, Democracy, and Imperalism . .255 8. Eugen Richter and the End of German Liberalism. .301 9. Arthur Ekirch on American Militarism . .331 Index. .339 vii Foreword “History looks backward into the past, but the lesson it teaches concerns things to come. It does not teach indolent quietism; it rouses man to emulate the deeds of earlier generations.” Ludwig von Mises1 The present book contains a collection of essays written through- out the past twenty years. I read virtually all of them when they were first published. They have been a central part of my education in the history of liberalism and of the Austrian School of economics, and I consider myself privileged indeed to have encountered Professor Raico and his work early on in my intellectual development. -
The Foundations of Modern Austrian Economics Studies in Economic Theory Laurence S
í' The Foundations of Modern Austrian Economics Studies in Economic Theory Laurence S. Moss, Editor America's Great Depression, Murray N. Rothbard (1975) The Economics of Ludwig ron Mises: Toward a Critical Reappraisal, ed. Laurence S. Moss (1976) The Foundations ofModern ,dustrian Economics, ed. Edwin G. Dolan (1,976) The Economic Point of View, Israel M. Kirzner (1976) -,,.' The Foundations of Modern Austrian Economlcs Edited with an Introduction by Edwin G. Dolan SHEED & WARD, INC. Subsidiary of Univer-_L!Press Syndicate KansasCity This edition is cosponsored by the Institute for Humane Studies, Inc., Menlo Park, California. The Foundation_ of Modern dustrian Economics Copyright © 1976 by the Institute for Humane Studies Al ñghts reserved. Printed in the United States of America. No part of this book may be used or repro- duced in any manner whatsoever without written permission except in the case of reprints in the context of reviews. For information write Sheed & Ward, Ira:., 6700 Squibb Road, Mission, Kansas 6620"2. Library of Congress Cataloging in Publi¢ation Data Main entry under title: The Foundations of modern Austrian economics. (Studies in economic theory) Proce.edings of a con ference sponsored by the Insti- tute for Humane Studies and held at Royalton College, South Royalton, Vt., in June 1974. Bibliography: p. lncludes index. 1. Austrian school of economists -- Congresses. I. Dolan, Edwin G. II. Instítute for Humane Studies. I11. Series. HB98.F68 330'.09436 76-5894 ISBN 0-8362-0653-3 ISBN 0-8362-.0654-1 pbk. -g CONTENTS PREFACE vii PART 1 INTRODUCTION Austrian Economics as Extraordinary Science 3 Edwin G. -
Austrian Foundations for the Theory and Practice of Finance
JOURNAL OF ECONOMICS AND FINANCE EDUCATION • Volume 10 • Number 2 • Fall 2011 70 Austrian Foundations for the Theory and Practice of Finance Gregory M. Dempster1 Abstract An Austrian perspective on financial theory and practice could address some fundamental problems of epistemology and method in mainstream approaches and help inform a reconstruction of the field of finance education. This paper outlines the development of a distinctive Austrian approach to finance that rests on the foundations of fundamental uncertainty, reasonable views of individual and collective expectations, social capital and embeddedness, methodological subjectivism, and organic, evolutionary processes. Introduction The Austrian School of Economics has a long and distinguished history of dealing with problems of epistemology and method in economics that the mainstream of the profession has predominately ignored. The discipline of finance (a specialized sub-field of economics that deals with the principles of the acquisition, management, and use of money capital, by individuals and firms, as a source of liquidity and investment funding), though typically better grounded in real-world practice than its parent discipline, nonetheless suffers from epistemological problems, as well as methodological inconsistencies, that an Austrian perspective could potentially address. The goals of this paper are threefold. First, it represents an attempt to draw out the philosophical implications of the Austrian approach for the study of financial markets by focusing attention on the advances in theory and method attributed to certain “leading lights” of the School. Second, it will provide a survey of recent contributions to financial theory and practice that have been made by Austrian economists on the basis of the underpinnings that are laid down in the first section. -
Libertarianism
Libertarianism BIBLIOGRAPHY maintaining residence within the polity, one voluntarily The Committee of Santa Fe. 1980. A New Inter-American Policy agrees to the government laws one lives under. for the Eighties. Washington, DC: Council for Inter-American Government is recognized as a special kind of organiza- Security. tion, and might be said to enjoy a special kind of legiti- Cone, James H. 1990. A Black Theology of Liberation. 20th macy, but it does not get a special dispensation on Anniversary ed. Maryknoll, NY: Orbis Books. coercion. In the eyes of the libertarian, everything the gov- Gutierrez, Gustavo. 1988. A Theology of Liberation: History, ernment does that would be deemed coercive and crimi- Politics, and Salvation. Trans. and ed. Sister Caridad Inda and nal if done by any other party in society is still coercive. John Eagleson. Maryknoll, NY: Orbis Books. For example, imagine that a neighbor decided to impose a Levine, Daniel H. 1992. Popular Voices in Latin American minimum-wage law on you. Since most government Catholicism. Princeton, NJ: Princeton University Press. action, including taxation, is of that nature, libertarians Smith, Christian. 1991. The Emergence of Liberation Theology: see government as a unique kind of organization engaged Radical Religion and Social Movement Theory. Chicago: in wholesale coercion, and coercion is the treading on lib- University of Chicago Press. erty. This semantic, libertarians say, was central in eigh- teenth- and nineteenth-century custom and social Otto Maduro thought, for example in Adam Smith’s treatment of “nat- ural liberty” and through the American founders, the abolitionists, John Stuart Mill (1806–1873), Herbert Spencer (1820–1903), and William Graham Sumner LIBERTARIANISM (1840–1910). -
Epistemological Problems of Economics
EPISTEMOLOGICAL PROBLEMS OF ECONOMICS THIRD EDITION Ludwig von Mises Translated by George Reisman Introduction to the Third Edition by Jörg Guido Hülsmann Grundprobleme der Nationalökonomie: Untersuchungen über Verfahren, Aufgaben und Inhalt der Wirtschafts- und Gesellschaftslehre (1933) Epistemological Problems of Economics Translated from the German by George Reisman Published simultaneously in the United States and Canada by D. Van Nostrand Co., 1960 Reprinted 1978 by New York University Press, with Foreword by Ludwig M. Lachmann Copyright © 1976 Institute for Humane Studies Third edition 2003 by Ludwig von Mises Institute Copyright © Bettina Bien Greaves ISBN: 0-945466-36-6 CONTENTS Introduction to the Third Edition . .ix Foreword to the 1978 Edition . .lvii Preface to the English-Language Edition . .lxv Preface to the German Edition . .lxxi 1 THE TASK AND SCOPE OF THE SCIENCE OF HUMAN ACTION . .1 I. The Nature and Development of the Social Sciences . .1 1. Origin in the historical and normative sciences . .1 2. Economics . .3 3. The program of sociology and the quest for historical laws . .4 4. The standpoint of historicism . .5 5. The standpoint of empiricism . .8 6. The logical character of the universally valid science of human action . .13 7. Sociology and economics: Some comments on the history of economic thought . .18 II. The Scope and Meaning of the System of A Priori Theorems . .24 1. The basic concept of action and its categorical conditions . .24 2. A priori theory and empirical confirmation . .28 3. Theory and the facts of experience . .32 4. The distinction between means and ends: The “irrational” . .33 III. Science and Value . -
The Business Cycle: a Definition
THE BUSINESS CYCLE: A DEFINITION TUUR DEMEESTER* «There can be no facts in a world without values.» FRANK VAN DUN «Oh! What a tangled web we weave, when first we practice to deceive!» SIR WALTER SCOTT Resumen: El objetivo de este artículo es definir apropiadamente el fenómeno económico del ciclo económico. El resto está enraizado en la tradición de la Escuela Austriaca de Economía, y el marco metodológico parte de los conceptos desarrollados por Aristóteles y Tomás de Aquino. Esto conduce al desarrollo de algunos conceptos metodológicos nuevos, tales como la reinterpretación de la «inflación» y la «deflación», y la reintroducción de los «bienes imaginarios» como un fenómeno social importante. La observación central de este artículo es que el ciclo económico es de hecho una subclase de otro tipo de ciclo, el «ciclo del fraude». Nuestra conclusión es que para producir un ciclo económico, la existencia de un fraude institucional en la esfera del dinero y la banca es una condición necesaria y suficiente. El Apéndice I refuta el contra-argumento de que una banca honesta también puede producir ciclos económicos. Creemos que este artículo es significativo por dos motivos: 1) ofrece una receta clara para la eliminación del ciclo económico; y 2) ayuda a expandir el ámbito de la Escuela Austriaca más allá del campo de la Economía hacia los campos del Derecho y la Moralidad. Palabras clave: Ciclo económico, ciclo del fraude, Escuela Austriaca, dinero y banca. Clasificación JEL: B53, B49, D01, K13. * Email: [email protected]. The ideas presented in this text have already been subject to critique by Frank van Dun, Marian Eabrasu, Michaël Bauwens and Xavier Meulders, for which I am very grateful.