The Early History of Economics in the United States

Description

Since the latter half of the 20th century, the economics departments of American universities were internationally renowned for providing competitive and advanced levels of education. However, from the 1870s up until the beginning of WWI, German universities held international supremacy when it came to the quality of teaching, the enrollment of foreign students, and scholarly publications. This book examines the role of the German Historical School of Economics (GHSE) in the development of the discipline of economics in the US during this period. The chapters explain that, prior to the influence of the GHSE, political economy was in a dismal state in the US, both as a profession and an academic discipline. As a result, many Americans elected to go to Germany in pursuit of an advanced education in political economy, having been inspired by the unmatched international reputations of theorists of the GHSE. After they returned home, these German-trained Americans challenged the dominant status of classical orthodoxy and revolutionized the discipline of economics in the US by importing the ideas, methods, and approaches of the GHSE. In doing so, they established the first dedicated political economy departments, graduate programs, and chairs at American universities and colleges. Although the precise magnitude and value of the influence of the GHSE is impossible to quantify, there is no doubt that Americans are deeply indebted to this school of thought for its contributions to the early development of the discipline of economics in the US. The chapters also examine what has been lost since: the current mainstream in economics has eliminated many of the features that were once so important to the discipline that it has effectively limited contemporary economics to a small fraction of the complex organism defined by the German Historical School. This situation has facilitated the poverty of the leading economic school of thought, as well as the discipline of economics in general. This book represents a significant contribution to the literature on the history of economic thought and economic education in the US. It will be of particular interest to students and scholars of economics, political science, sociology, and the philosophy of economics. Cover Half Title Series Page Title Page Copyright Page Dedication Table of Contents 1 Introduction 2 The German Historical School of Economics and Its Intellectual Sources: Cameralism and the Historical School of Jurisprudence Introduction A Brief History of Cameralism, Its Features, and Goals Cameralism and the German Historical School of Economics The Historical School of Jurisprudence The Historical School of Jurisprudence and the German Historical School of Economics Conclusion 3 An Overview of Fundamental Features of the German Historical School of Economics Introduction The Main Contributors to the GHSE: From the Older Historical School to the Youngest Historical School Fundamental Methods, Approaches, Values, and Policies Supported by the GHSE Inductive versus Deductive Approach Methodological Collectivism versus Methodological Individualism The Laissez-Faire Approach versus National Economy Ethical Economics Ethics and Social and Economic Inequalities The Role of the GHSE in the Development of Mathematical Economics and Statistical Research Conclusion 4 German-Trained American Political Economists and the Influence of the German Historical School of Economics Introduction Why Did the GHSE Attract American Students and Scholars? Notable American Economists Who Studied under the Theorists of the GHSE American Economists on the Methods, Values, and Policies of the GHSE Historical Studies The Inductive Approach versus the Deductive Approach The New School on the Laissez-Faire Approach Positive State Action Ethical Values Methodological Individualism The New School on Socialism Conclusion 5 The Early Establishment of Political Economy Departments at American Colleges and Universities Introduction Newly Established Political Economy Departments at American Universities Teaching in the Newly Established Political Economy Departments of American Universities Courses and Language Requirements at Newly Established Economics Departments The Rise of Statistics in Political Economy The Establishment of PhD Programs based on the German Model The Introduction of the German Seminary Method at American Political Economy Departments The Establishment of Adequate Libraries Conclusion 6 The GHSE and the Establishment of Economic Associations and Journals in the United States Introduction The Establishment of American Economic Association The American Academy of Political and Social Science The American Political Science Association Newly Established Economic Journals in the US Other Major Contributions of the New School Conclusion 7 The New School on the Conservation of the Natural Environment Introduction The GHSE and the Protection of the Natural Environment The Exploitation of Natural Resources and the Rise of Conservation Efforts in the US Environmental Protection Measures Proposed by the Adherents of the New School Conclusion 8 The Decline and Demise of the German Historical School of Economics Introduction The Role of the Austrian School of Economics in the Decline of the GHSE The Battle of Methods The Demise of the GHSE: Two World Wars and the Rise of the Nazi Regime The Discipline of Economics in the United States in the Aftermath of the Decline of the GHSE The Rise of Mathematical Economics The Demise of Ethical Economics Conclusion Conclusion: The Demise of the New School and the Abolishment of Freedom and Human Progress via the Coercive Powers of the State and Corporations Index