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on History and Philosophy of Economics |
| By: | Giovanni Scarano |
| Abstract: | The paper discusses the possible presence and role of the concept of equilibrium in the formulations of the ‘classical economists’ and Marx, also examining the characteristics of the ‘long-period positions’ attributed to these authors. The paper argues that the ‘classical economists’ and Marx only considered all real economic phenomena as momentary results of an unstoppable historical and dynamic process, characterised by continuous conflicts and recompositions. In this context, so-called long-period positions could play a role in determining the dynamics of adjustment without ever being the point of arrival or stasis. This means that, for these authors, long-period positions could be drivers of the gravitation of economic variables, but not necessarily final resting points. It is also argued that the concern to determine the long-period positions of the prices of production did not have a central place in Marx’s analysis. |
| Keywords: | Equilibrium, Dynamics, Attractor, Long-Period Positions, Uniform Rate of Profit, Classical economists |
| JEL: | B12 B14 B51 D50 E32 |
| Date: | 2025–02 |
| URL: | https://d.repec.org/n?u=RePEc:rtr:wpaper:0285 |
| By: | Jan Fagerberg (Centre for Technology, Innovation and Culture (TIK), University of Oslo, Norway. Department of Food and Resource Economics, University of Copenhagen, Denmark) |
| Abstract: | The concern about the current generation’s overuse of the earth’s resources, at the expense of the well-being of future generations, is not new. Already half a century ago, there was a very vivid debate about this issue. A thorough assessment was made in 1975 by the Romanian-American scholar Nicholas Georgescu-Roegen in an article entitled “Energy and Economic Myths”, commonly acknowledged as one of the main sources of inspiration of the so-called “degrowth” literature. However, it is argued that it would be a misunderstanding to see Georgescu-Roegen as an advocate of “degrowth” (or alternatively a stationary economy) as appropriate strategies to save mankind from environmental and resource challenges. Georgescu-Roegen’s advice was not to stop economic development, or advocate for harsh sacrifices by those living today. Rather what he suggested was to overhaul the working of the global economy (and the policies associated with it) so that the world becomes a more equitable place, nature (threatened species) is better protected (to our own benefit), and the harm to future generations becomes as small as possible. A key element in making this possible, according to Georgescu-Roegen, was transitioning from a fossil-fuel driven to a solar-powered economy. It is argued that Georgescu-Roegen’s approach (and program) is indeed very relevant for contemporary discussions of how to deal with important challenges facing both the present and, not the least, future generations. |
| Date: | 2025–02 |
| URL: | https://d.repec.org/n?u=RePEc:tik:inowpp:20250210 |
| By: | Jaap H. Abbring; Victor Chernozhukov; Iv\'an Fern\'andez-Val |
| Abstract: | Wright (1928) deals with demand and supply of oils and butter. In Appendix B of this book, Philip Wright made several fundamental contributions to causal inference. He introduced a structural equation model of supply and demand, established the identification of supply and demand elasticities via the method of moments and directed acyclical graphs, developed empirical methods for estimating demand elasticities using weather conditions as instruments, and proposed methods for counterfactual analysis of the welfare effect of imposing tariffs and taxes. Moreover, he took all of these methods to data. These ideas were far ahead, and much more profound than, any contemporary theoretical and empirical developments on causal inference in statistics or econometrics. This editorial aims to present P. Wright's work in a more modern framework, in a lecture note format that can be useful for teaching and linking to contemporary research. |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2501.16395 |