|
on History and Philosophy of Economics |
| By: | Gordon, Anna |
| Abstract: | The quest of human for better production and management methods to generate or to raise income is as ancient as time. Adam Smith (1723 – 1790), David Ricardo (1772 – 1823), and Jeremy Bentham (1748 – 1832) are considered to be the pioneers of modern management theories. The conventional management theories originated in the industrial revolution when technical advances, the expansion of commerce and markets, increasing populations generate mass production opportunities by means of a motorized and systemic method. First, this research reviews three most crucial early works: An Inquiry into the Nature and Causes of the Wealth of Nations” (1776) by Adam Smith (1723 – 1790), “Letter to T. R. Malthus, October 9, 1820” by David Ricardo (1772 – 1823), and “Introduction to the Principles of Morals” (1789) by Jeremy Bentham (1748 – 1832). Second, we compare those early works with modern theories and practices of HRM. We argued that the early theories were built upon materialistic consideration; while, the modern theories are established on both materialistic and humanitarian grounds. The trends in HRM literature showed that we might witness, in coming decades, a surge of theories built on humanitarian principles. |
| Date: | 2021–03–04 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:96nj8&r=all |
| By: | Kolev, Stefan |
| Abstract: | This paper contextualizes the early political economy of Austrian economist and social philosopher F. A. Hayek in the intellectual milieu of German ordoliberalism. It argues that the particular urgency during the 1930s and 1940s to preserve and stabilize the disintegrating orders of economy and society was a crucial driver behind the numerous parallelisms between Hayek and the ordoliberals. Their political economies are reconstructed by emphasizing the notion of the framework as an economic constitution of general and stable rules, with the overarching goal to render the orders in the postwar world more robust. In a nutshell, the central configuration is that liberty can thrive sustainably only after such a framework has been established. Hayek's "learning ordoliberalism" emerged during the socialist calculation debates when knowledge became the center of his oeuvre, so that he aimed at identifying rules which could enhance the use of knowledge in society and thus societal learning. Hayek's search was similar to that of the ordoliberals in substance and in rhetoric, and culminated in the competitive order as the chiffre for a well-ordered market economy. These parallelisms surfaced during the 1930s and became most explicit in The Road to Serfdom and at the founding meeting of the Mont Pèlerin Society in 1947. In the years after The Constitution of Liberty, a shift of Hayek's focus is identified: from a theory of designing frameworks at a point of time towards a theory of their evolution across time. Overall, Hayek of the 1930s and 1940s is interpreted as a continental liberal thinking in interdependent societal orders, while the ordoliberals are depicted as a constitutive building block of the international neoliberal archipelago. |
| Keywords: | neoliberalism,ordoliberalism,Freiburg School,F. A. Hayek,Walter Eucken,Wilhelm Röpke |
| JEL: | A11 B25 B31 B41 H11 P16 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:aluord:2102&r=all |
| By: | Clive L. Spash |
| Abstract: | Today, environmental economics is the response of the neoclassical economic school to the ecological crisis, but at one time its leading contributors regarded it as a revolutionary development that would change the conduct and content of economics as a discipline. Understanding and addressing environmental pollution was core to that potential paradigm shift. In tracing the history of conceptualising pollution as an externality and market failure this paper covers the development of ideas by Marshall, Pigou, Pareto, Coase, Stigler, Samuelson, Ciciacy-Wantrup and Kapp. Pollution externality theory is shown to have incorporated an elitist ethics and liberal market ideology. As a market failure pollution was deemed a minor correctible error of the price system. Monetary valuation of social and environmental harm became the means of justifying optimal levels of pollution. Neoliberal theories of spreading property rights further watered down potential interventionist aspects. Bio-physical realism, in the work of Kneese, Ayres and dÂ’Arge, and social realism in KappÂ’s theory of cost shifting were lost once environmental economics adopted a deductivist mathematical formalism. KappÂ’s alternative theory is based on a classic institutionalists economic understanding of cost shifting and power relations. It advocates a public policy response in the form of objective social minima achieved via regulation and planning. This theory has until now been successfully supressed to prevent a potential revolutionary paradigm shift in economic price theory |
| Keywords: | externalities; market failure, cost shifting; price theory; pollution; Pigou; Coase; Kapp; paradigm shift; environmental economics, neoclassical economics; institutional economics, neolibera |
| JEL: | A13 B2 B55 D61 D62 H21 H23 P16 P18 P48 Q5 Q52 Q53 Q57 Q58 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:wiw:wiwsre:sre-disc-2021_01&r=all |
| By: | Virginie Gouverneur |
| Abstract: | Standing out from most nineteenth-century economists, Marshall addresses the role of women and the family in the progress of society entirely from the perspective of economics. His ideas on the subject developed throughout the course of his career as an economist. In the early 1870s they appear in the background of his analysis concerning ways to increase laborers’ welfare. At the end of the 1870s, he presents the influences of the home, and especially the influence of the mother, as decisive causes of the individuals’ efficiency and character. These developments form the ground upon which Marshall’s ideas will later be systematized, leading to their inclusion in Principles in the form of a complete theory situated at the heart of his analysis of well-being and progress. The purpose of the article is to compare Marshall’s treatment of the question of the role of women and the family in the progress of society with his analysis of well-being and progress, as well as their respective evolution, for the period between the1870s and the last edition of Principles in 1920. |
| Keywords: | Alfred Marshall, progress, well-being, economic woman, household economics. |
| JEL: | B10 B13 I31 B15 A12 I25 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ulp:sbbeta:2021-03&r=all |
| By: | Martin Dufwenberg; Olof Johansson Stenman; Michael Kirchler; Florian Lindner; Rene Schwaiger |
| Abstract: | Does market interaction influence morality? We study a particular angle of this classic question theoretically and experimentally. The novelty of our approach is to posit that people are motivated by reciprocity; an urge many argued affects humans. We scrutinize how this shapes interaction in treatments mimicking societies (autarky, barter, and market societies) that differ only as regards whether and how people trade. While many have argued that market interactions make people more selfish, our reciprocity-based theory suggests that market interaction on the contrary induces more pro-sociality. The experimental results are broadly (but not completely) consistent with the theoretical predictions. The results may also shed light on the development of morality and prosocial behavior over time, in particular with respect to episodes in history where the nature of commerce was transformed. |
| Keywords: | Markets, morality, pro-sociality, reciprocity, kindness, autarky, barter, money |
| JEL: | C92 D02 D91 |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:inn:wpaper:2021-07&r=all |
| By: | Giraud, Yann (Université de Cergy-Pontoise) |
| Abstract: | Review of “Narrative Economics: How Stories Go Viral & Drive Major Economic Events” by Robert J. Shiller |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:9k8mf&r=all |
| By: | Skjönsberg, Max |
| Abstract: | Book Review of “A Philosopher’s Economist: Hume and the Rise of Capitalism” by Margaret Schabas and Carl Wennerlind |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:u4rq6&r=all |
| By: | Geoffrey Ducournau |
| Abstract: | One of the greatest contributors of the 20th century among all academician in the field of statistical finance, M. F. M. Osborne published in 1956 [6] an essential paper and proposed to treat the question of stock market motion through the prism of both the Law of Weber-Fechner [1, 4] and the branch of physics developed by James Clerk Maxwell, Ludwig Boltzmann and Josiah Willard Gibbs [3, 5] namely the statistical mechanics. He proposed an improvement of the known research made by his predecessor Louis Jean-Baptiste Alphonse Bachelier, by not considering the arithmetic changes of stock prices as means of statistical measurement, but by drawing on the Weber-Fechner Law, to treat the changes of prices. Osborne emphasized that as in statistical mechanics, the probability distribution of the steady-state of subjective change in prices is determined by the condition of maximum probability, a statement close to the Gibbs distribution conditions. However, Osborne also admitted that the empirical observation of the probability distribution of logarithmic changes of stock prices was emphasizing obvious asymmetries and consequently could not perfectly confirm his prior theory. The purpose of this paper is to propose an explanation to what we could call the Osborne paradox and then address an alternative approach via Bayesian inference regarding the description of the probability distribution of changes in logarithms of prices that was thenceforth under the prism of frequentist inference. We show that the stock market returns are locally described by equilibrium statistical mechanics with conserved statistics variables, whereas globally there is yet other statistics with persistent flowing variables that can be effectively described by a superposition of several statistics on different time scales, namely, a superstatistics. |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2103.00788&r=all |
| By: | Pascaline Dupas; Alicia Sasser Modestino; Muriel Niederle; Justin Wolfers; The Seminar Dynamics Collective |
| Abstract: | This paper reports the results of the first systematic attempt at quantitatively measuring the seminar culture within economics and testing whether it is gender neutral. We collected data on every interaction between presenters and their audience in hundreds of research seminars and job market talks across most leading economics departments, as well as during summer conferences. We find that women presenters are treated differently than their male counterparts. Women are asked more questions during a seminar and the questions asked of women presenters are more likely to be patronizing or hostile. These effects are not due to women presenting in different fields, different seminar series, or different topics, as our analysis controls for the institution, seminar series, and JEL codes associated with each presentation. Moreover, it appears that there are important differences by field and that these differences are not uniformly mitigated by more rigid seminar formats. Our findings add to an emerging literature documenting ways in which women economists are treated differently than men, and suggest yet another potential explanation for their under-representation at senior levels within the economics profession. |
| JEL: | A1 C8 J4 J7 |
| Date: | 2021–02 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28494&r=all |
| By: | Boianovsky, Mauro |
| Abstract: | Book Review of “Ideas in the History of Economic Development – The Case of Peripheral Countries” edited by Estrella Trincado, Andrés Lazzarini, and Denis Melnik |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:re5b4&r=all |
| By: | Alacevich, Michele |
| Abstract: | Book Review of “Economists at War. How a Handful of Economists Helped Win and Lose the World Wars” by Alan Bollard |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:pr9t3&r=all |
| By: | Marciano, Alain |
| Abstract: | Book Review of “The Hand Behind the Invisible Hand: Dogmatic and Pragmatic Views on Free Markets and the State of Economic Theory” by Karl Mittermaier |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:bvueq&r=all |
| By: | Gaspard, Marion |
| Abstract: | Book Review of “Frank Ramsey: A Sheer Excess of Powers” by Cheryl Misak |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:gy836&r=all |
| By: | Erik Schokkaert (Department of Economics, KU Leuven); Benoît Tarroux (Univ Lyon, University Lumière Lyon 2, GATE UMR 5824, F-69130 Ecully, France) |
| Abstract: | We survey the empirical literature on ethical preferences, covering both survey studies and incentivized laboratory experiments. Crucial axioms such as the Pigou-Dalton transfer principle are not accepted by a large fraction of the subjects. Moreover, in formulating their distributive preferences subjects attach much importance to the sources of income differences. Their preferences behind a veil of ignorance do not coincide with their preferences in the position of a social planner. These results suggest that prioritarian policy proposals will not necessarily be supported by a majority of the population. Although the majority opinion does not necessarily reflect the ethically desirable perspective, the empirical results still raise some interesting normative challenges. |
| Keywords: | surveys, lab experiments, distributive preferences, prioritarianism, inequality aversion |
| JEL: | D63 D71 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:gat:wpaper:2104&r=all |
| By: | Sergi, Francesco |
| Abstract: | Book Review of “Expectations. Theory and Application from Historical Perspective” edited by Arie Arnon, Warren Young and Karine van der Beek |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:42avd&r=all |
| By: | Khan, M. Ali |
| Abstract: | Book Review of “The Wisdom of Finance: Discovering Humanity in the World of Risk and Return” by Mihir A. Desai |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:mdyzk&r=all |
| By: | Prendergast, Renee |
| Abstract: | Book Review of “Commerce and Manners in Edmund Burke’s Political Economy” by Gregory M Collins |
| Date: | 2021–02–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:cp2da&r=all |
| By: | Fiedler, Charlotte; Rohles, Christopher |
| Abstract: | How does armed conflict affect social cohesion, that is, the social fabric of societies? This question is central if we want to understand better why some countries experience repeated cycles of violence. It is also a crucial question for the design of peacebuilding interventions. In recent years, considerable scientific work has been put into studying the social legacies of armed conflict. This literature review brings these academic studies together in a novel way. In this discussion paper we conduct an extensive review of the empirical academic literature on how armed conflict affects social cohesion. We take a holistic perspective and analyse each of the three constituent elements of social cohesion - trust, cooperation and identity - in detail and along both a vertical (state-society relations) and a horizontal (interpersonal and intergroup relations) dimension. Regarding conflict, the focus lies on intrastate conflict and civil war, but the review also includes the few studies that focus on armed conflict between states or groups (interstate and non-state conflict). Overall, this review brings together insights from 39 published, peer-reviewed, empirical studies, most of which analyse the effects of conflict based on comprehensive survey data or behavioural experiments. Strengths and shortcomings are discussed and future avenues for research are identified. Contrary to the initial optimism of the potentially positive legacies of armed conflict expressed by some scholars, our main finding holds that the literature by now mainly points towards such conflict harming social cohesion. Most clearly, there is quite a large body of literature showing that social trust is negatively affected by experience of violence. Research on political trust and social identities is still nascent but currently also points towards negative effects. The literature on cooperation is more mixed with studies finding both support for an increase or a decrease in cooperative behaviour. However, several (and particularly newer) studies demonstrate that an increase in cooperation can often be explained by prosocial behaviour towards the in-group but not the out-group, calling into question whether this should be interpreted positively for social cohesion overall. Political participation does, however, seem to be one aspect of social cohesion in which effects of the "post-traumatic growth" mechanism can indeed be traced in several contexts. |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:diedps:72021&r=all |
| By: | Neves, Kleber; Tan, Pedro Batista; Amaral, Olavo Bohrer |
| Abstract: | Diagnostic screening models for the interpretation of null hypothesis significance test (NHST) results have been influential in highlighting the effect of selective publication on the reproducibility of the published literature, leading to John Ioannidis’ much-cited claim that most published research findings are false. These models, however, are typically based on the assumption that hypotheses are dichotomously true or false, without considering that effect sizes for different hypotheses are not the same. To address this limitation, we develop a simulation model that overcomes this by modeling effect sizes explicitly using different continuous distributions, while retaining other aspects of previous models such as publication bias and the pursuit of statistical significance. Our results show that the combination of selective publication, bias, low statistical power and unlikely hypotheses consistently leads to high proportions of false positives, irrespective of the effect size distribution assumed. Using continuous effect sizes also allows us to evaluate the degree of effect size overestimation and prevalence of estimates with the wrong signal in the literature, showing that the same factors that drive false-positive results also lead to errors in estimating effect size direction and magnitude. Nevertheless, the relative influence of these factors on different metrics varies depending on the distribution assumed for effect sizes. The model is made available as an R ShinyApp interface, allowing one to explore features of the literature in various scenarios. |
| Date: | 2021–03–05 |
| URL: | http://d.repec.org/n?u=RePEc:osf:metaar:jk7sa&r=all |