Most neo-Ricardian studies on the "choice of technique" are based on a comparison of alternative technologies applicable to the same industrial branch. Some authors even recommend restrict analyses of the long-run technological changes to a single industry. In reality, innovations often require...

This paper offers a retrospective view of the key pillar of Solow's neoclassical growth model, namely the aggregate production function. We review how this tool came to life and how it has survived until today, despite three criticisms that undermined its raison d'être. They are the Cambridge...

Purpose - In the early 1930s, Nicholas Kaldor could be classified as an Austrian economist. The author reconstructs the intertwined paths of Kaldor and Friedrich A. Hayek to disequilibrium economics through the theoretical deficiencies exposed by the Austrian theory of capital and its...

1. Intellectual Biography -- 2. The Scope and Method of Economics -- 3. After the 1929 Breakdown: The Origins of Lange’s Anti-Capitalism -- 4. The Theory of Capital -- 5. The Theory of Interest -- 6. From the Critique to Classical Dichotomy to General Economic Disequilibrium -- 7. Welfare...

A complement of metaphors inherited from the classical era has held back progress in Austrian capital theory (ACT). In particular, the attachment to circulating capital as the paradigmatic capital good, largely motivated by the business cycle theory, has locked ACT into a nonoperational...

The interrelationship between capitalization and profitability in banking sector of BRICS countries is studied with reference to existing five capital theories with the help of the ARDL and VECM/VAR models. These models are applied in the panel and individual settings on BRICS banking sector...

"What is money? What is capital? The Spectre of Capital tackles such fundamental questions at a deep philosophical level. It argues that the modern world is ruled by a 'spectre', the spectre of capital. This insight is rooted in an original combination of the ideas of Marx and Hegel. It presents...

1. Presentation and Critique of the macroeconomic standard models -- 2. Goods side and money side -- 3. Time preference -- 4. Role of the interest rate -- 5. Roundaboutness -- 6. Synthesis of the parts into a conclusive single representation -- 7. Macroeconomic Policy Applications.

"This scholarly book conducts an extensive exploration into the central ideas of Karl Marx, focussing on the key concepts that have defined his thought and legacy. Bringing together a wealth of internationally renowned contributors, across different generations, Marx: Key Concepts analyses in...

PART I: THE PH.D. DISSERTATION: A Problem in the Theory of Distribution from Ricardo to Wicksell -- PART II: CRITIQUE OF MARGINAL PRODUCTIVITY THEORIES: Heterogeneous Capital, the Production Function and the Theory of Distribution -- Switching of Technique -- On a Change in the Notion of...

1. Introduction -- 2. Legal nature of the irregular money deposit contract -- 3. Essential differences between irregular deposit and loan. 4. The Theory of Capital -- 5. The Theory of the Business Cycle -- 6. Criticism of Monetarist and Keynesian Theories -- 7. Reform to the Banking System -- 8....

Chapter 1: Introduction -- Chapter 2: Waiting as a Factor and Interest as Its Price -- Chapter 3: Capital Goods, Intermediate Goods, and Land -- Chapter 4: Advantages of the Recommended View of Waiting -- Chapter 5: Responses to the Interest Rate -- Chapter 6: Time Preference and the...

In 2022, Cambridge University Press is publishing a 50th anniversary edition of Geoff Harcourt’s Some Cambridge Controversies in the Theory of Capital. There will be two afterwords, preceded with this introduction: You have before you CUP’s 50th anniversary edition of Geoff Harcourt’s Some...

Introductory lectures on capital theory often begin by analyzing the following problem: I have a tree which will be worth X(t) if cut down at time t. If the discount rate is r, when should the tree be cut down? What is the present value of such a tree? The answers to these questions are...

A novel parameterization of a two-good economic model, consumption good and capital good, enables straightforward resolution of various issues that have vexed the long Cambridge capital controversy, including the existence of single quantities for both capital quantity and capital value...

This paper uses Austrian capital theory to illustrate why empirical work can be elusive in typical Austrian themes. It explores the nature of the problem and different alternative solutions to empirical challenges. The paper also discusses the Austrian literature's epistemological approach to...

This paper examines the validity of the factor price equalisation theorem (FPET) in relation to capital theory. Additionally, it presents a survey of the literature on Heckscher-Ohlin-Samuelson (HOS) models that treat capital as a primary factor, beginning with Samuelson (1953). Furthermore,...

The common interpretation of Carl Menger’s take on capital theory rests upon a few sentences in his Principles of Economics. His later monograph on the topic, Zur Theorie des Kapitals (A contribution to the theory of capital), is more or less ignored, although it must be seen as a recantation...

Early Austrians perceived building a coherent capital theory as an indispensable first step toward building solid foundations for economics as a discipline. However, the important connection between “capital” as a foundational concept and the rest of all of economics has been quite obscure...

In this paper we study financial foundations of Austrian business cycle theory (ABCT). By doing this we (1) clarify ambiguous and controversial concepts like roundaboutness and average period of production, (2) we show that it has strong financial foundations (consistent with its microeconomic...

In order to identify and evaluate an entrepreneurial opportunity calculation is required. The entrepreneur must do more than simply perceive an opportunity to do something new to create value in the marketplace. Insofar as alternative possible actions exist, the entrepreneur must choose between...

»Macht oder ökonomisches Gesetz?« lautet der Titel einer berühmten Schrift, die Eugen von Böhm-Bawerk kurz vor seinem Tode 1914 veröffentlichte. Am Beispiel der funktionellen Verteilung von Arbeits- und Kapitaleinkommen versuchte der österreichische Kapital- und Zinstheoretiker zu zeigen,...

The possibility of the reswitching of techniques in Piero Sraffa's intersectoral model, namely the recurring capital-intensive techniques with monotonic changes in the interest rate, is traditionally considered as a paradoxical violation of the assumed convexity of technology putting at stake...