Tony Aspromourgos, On the Origins of Classical Economics (Routledge, New York, 1995) pp. 222, $69.95, ISBN 0-415-12878-1.
that Hennings, though more temperate than the opinion in Kurz's preface, identifies the theories of capital and interest as Bohm-Bawerk's major contributions and downplays Menger's role in shaping them. What Menger thought is just not as important to those who consider him only a precursor, as it is to those for whom he is the School's founder. Hennings' book will be considered mildly interesting and provocative, though properly identified by its subtitle, by American (subjectivist/Mengerian) Austrians. It will be applauded as a great discovery illuminating the essence of the School and its founder, by European ("modern'VBohm-Bawerkian) Austrians.
Introduction to modern Austrian capital theory
I: Austrian Capital Theory and the von Neumann-Model.- 1. Introduction.- 1.1 Problems.- 2. The Austrian Theory of Interest.- 2.1 von Bohm-Bawerk.- 2.2 von Stackelberg.- 2.3 An Assessment of Austrian Interest Theory.- 2.4 Problems.- 3. The von Neumann-Model and its Relations to Austrian Capital and Interest Theory.- 3.1 Introduction.- 3.2 The Meaning, Import and Historical Point of Departure of the Ideas of the von Neumann-Model.- 3.3 The von Neumann-Model.- 3.4 Criticism and Generalization of the von Neumann-Model.- 3.5 Solutions to Problems of Austrian Capital Theory.- 3.6 The Interest Rate in the Stationary State.- 3.7 Problems.- II: Modern Austrian Capital Theory.- 4. A Two-Period Two-Sector Neo-Austrian Model.- 4.1 Outline of the Procedure.- 4.2 The Technology.- 4.3 The Transformation Curve.- 4.4 Condition for Roundaboutness.- 4.5 Condition for Superiority.- 4.6 Prices in a Planned Economy.- 4.7 The Rate of Interest in a Planned Economy.- 4.8 Decentralizing the Decisions.- 4.9 Problems.- 5. A Multiperiod Two-Sector Model.- 5.1 Extension of the Model.- 5.2 A Model with n-Period Horizon.- 5.3 A Model with Two Techniques Using a Capital Good.- 5.3.1 The Model.- 5.3.2 The Sign of the Rate of Interest.- 5.4 Problems.- 6. A Multisector Model.- 6.1 The Problem and the Main Results.- 6.2 The Model.- 6.3 Superiority, Roundaboutness and Positive Rate of Interest.- 6.4 A Finite Economic Horizon with More than two Periods.- 6.5 Problems.- 7. The Schumpeter-von Bohm-Bawerk Controversy on the Rate of Interest in the Stationary State.- 7.1 Introduction.- 7.2 The Origins of the Controversy.- 7.3 The Rate of Interest in a Stationary State.- 7.4 Schumpeter's Dynamic Theory of Interest.- 7.5 Problems.- III: Relationship to other Approaches to Capital Theory.- 8. A Comparison with Results of Neoclassical Capital and Growth Theory.- 8.1 Introduction.- 8.2 A Simple Growth Model.- 8.3 A Neoclassical Version for Steady States.- 8.3.1 Factor-Price Frontier for T*3 and T*4.- 8.3.2 Factor-Price Frontier for T1 and T2.- 8.3.3 Consumption-Growth Frontier.- 8.3.4 The Relationship between the Interest Rate and the Growth Rate.- 8.4 Charcteristics of Optimal Steady State Programs.- 8.5 Problems.- 9. Hicks' Neo-Austrian Theory of Capital.- 9.1 Introduction.- 9.2 Hicks' Model.- 9.3 The Index of Improvement in Efficiency.- 9.4 Hicks' New Classification of Technological Change.- 9.5 Superiority and the Index of Efficiency.- 9.6 Concluding Remarks.- 9.7 Problems.- References.- Author Index.
An extract of two essays in political arithmetick concerning the comparative magnitudes, &c. of London and Paris
The excellent author of these two essays, has in several former of the same nature made it appear that mathematical reasoning, is not only applicable to lines and numbers, but affords the best means of judging in all the concerns of human life.