The view that Alfred Marshall relied upon the assumption of 'external economies' in his attempt to reconcile the existence of 'competition' and decreasing long-run average costs continues to attract many supporters. However, it is argued here that, in Marshall's writings, external economies were...

In the 1950s the plethora of existing business cycle theories gave way to a Keynesian-type theory based on Hicks' (1950) book. However, the first two expositions of Keynesian-type business cycle theory had no direct influence on Hicks' model. This paper examines the business cycle theories of...