nep-pke New Economics Papers
on Post Keynesian Economics
Issue of 2007‒03‒17
three papers chosen by
Karl Petrick
University of the West Indies

  1. Heuristic Twists and Ontological Creeds - Road Map for Evolutionary Economics By U. Witt
  2. From Rites to Rights: the Co-evolution of Political, Economic and Social Structures By Brooks Kaiser; James Roumasset
  3. John Maynard Keynes and Ludwig von Mises on Probability By van den Hauwe, Ludwig

  1. By: U. Witt
    Abstract: What is special about the evolutionary approach? This question is given quite different, and partly incommensurable, answers in evolutionary economics. The present paper shows how the different answers correspond with, on the one hand, the particular heuristic twists by which the corresponding authors arrive at their hypotheses (e.g. by borrowing analogies from evolutionary biology). On the other hand, the answers hinge on different ontological assumption (i.e. on whether or not evolution in nature and in the economy are viewed as belonging to the same sphere of reality and, hence, as mutually dependent processes). By distinguishing these two dimensions a road map for evolutionary economics is drawn up that helps to better understand where, and why, the competing interpretations differ. In order to assess their achievements and their potential for future research, some results of an opinion poll among evolutionary economists are presented and discussed.
    Keywords: Length 28 pages
    Date: 2007–03
  2. By: Brooks Kaiser (Department of Economics, University of Hawaii at Manoa; Department of Economics, Gettysburg College); James Roumasset (Department of Economics, University of Hawaii at Manoa)
    Abstract: It is the charge of economic history not only to explain the economic past, but to use it to enrich and develop economic theory (North, 1994). In paleoeconomics, theory plays the additional role of adding veracity of accounts based on sparse evidence through the demonstration of internal consistency. We synthesize pre-historical and historical evidence available from the settlement and modernization of the Hawaiian economy into a stylized picture of the co-evolution of production and governance structures called the governmental Kuznets curve. We explain the co-evolution with a theory of institutional change that includes the roles of resource scarcity and opportunities for internal and external economies of scale in the increasing intensification and specialization of production. These are facilitated first by a steeper and then by a flatter political organization.
    Keywords: Paleoeconomics, governance, institutional change, Hawaiian economy, intensification, specialization
    JEL: D02 N0 O12 O43 Q2
    Date: 2007–03–03
  3. By: van den Hauwe, Ludwig
    Abstract: The economic paradigms of Ludwig von Mises on the one hand and John Maynard Keynes on the other have been correctly recognized as antithetical at the theoretical level, and as antagonistic with respect to their practical and public policy implications. Characteristically they have also been vindicated by opposing sides of the political spectrum. Nevertheless the respective views of these authors with respect to the meaning and interpretation of probability exhibit a closer conceptual affinity than has been acknowledged in the literature. In particular it is argued that in some relevant respects Ludwig von Mises´ interpretation of the concept of probability exhibits a closer affinity with the interpretation of probability developed by his rival John Maynard Keynes than with the views on probability espoused by his brother Richard von Mises. Nevertheless there also exist significant differences between the views of Ludwig von Mises and those of John Maynard Keynes with respect to probability. One of these is highlighted more particularly: where John Maynard Keynes advocated a monist view of probability, Ludwig von Mises embraced a dualist view of probability, according to which the concept of probability has two different meanings each of which is valid in a particular area or context. It is concluded that both John Maynard Keynes and Ludwig von Mises presented highly nuanced views with respect to the meaning and interpretation of probability.
    Keywords: General Methodology; Austrian Methodology; Keynesian Methodology; Quantitative and Qualitative Probability Concepts: Meaning and Interpretation; Frequency Interpretation; Logical Interpretation; John Maynard Keynes; Ludwig von Mises; Richard von Mises;
    JEL: C00 B50 B49 B00 B53 B40
    Date: 2007–03–12

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