Classical Economics: An Austrian Perspective on the History of Economic Thought [Hardcover]

Murray N. Rothbard (Author)

Book Description

Publication Date: February 1995

This history of 19th-century economic thought discusses the key members of each classical school and reassesses their work. The author suggests that Ricardism declined after 1830 and was only revived with the work of John Stuart Mill. The book also resurrects the important Anglo-Irish school of thought at Trinity College, Dublin under Archbishop Richard Whately. Later chapters focus on the roots of Karl Marx and the nature of his doctrines, and "laissez-faire" thought in France, including the work of Frederic Bastiat. Also included is a treatment of the Bullionist versus anti-Bullionist and the Currency versus Banking School controversies in the first half of the 19th century, and their influence outside Great Britain. Tracing economic thought from Smith to Marx, this book includes all the important figures in each school of thought and assesses their theories in religious, political, philosophical and historical context.

Product Details

• Hardcover: 544 pages
• Publisher: Edward Elgar Pub (February 1995)
• Language: English
• ISBN-10: 185278962X
• ISBN-13: 978-1852789626
• Product Dimensions: 9.3 x 6.1 x 1.4 inches
• Shipping Weight: 2.1 pounds (View shipping rates and policies)
• Average Customer Review: 5.0 out of 5 stars  See all reviews (1 customer review)
• Amazon Best Sellers Rank: #2,350,213 in Books (See Top 100 in Books)

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Most Helpful Customer Reviews

5.0 out of 5 stars THE SECOND VOLUME OF ROTHBARD'S "AUSTRIAN" HISTORY OF ECONOMICS October 29, 2012

By Steven H. Propp TOP 500 REVIEWER

Format:Hardcover

Murray Newton Rothbard (1926-1995) was an American economist of the Austrian School of economics, and a prominent figure in the Libertarian movement; the previous volume is An Austrian Perspective on the History of Economic Thought (2 Vol. Set). He also wrote books such as Man Economy and State One Complete Volume, Power and Market: Government and the Economy, America's Great Depression (Paperback), etc.

He wrote in the Introduction to this 1995 book, "this work is an overall history of economic thought from a frankly 'Austrian' standpoint... This is the only such work by a modern Austrian... Not only that: this perspective is grounded in what is currently the least fashionable though not the least numerous variant of the Austrian School: the 'Misesian' or 'praxeological.'" (Pg. vii) He adds, "leaving out religious outlook, as well as social and political philosophy, would disastrously skew any picture of the history of economic thought... The entire work is longer than most since it insists on bringing in all the 'lesser' figures... I hope that, for the reader, the unwonted length will be offset by the inclusion of far more human drama than is usually offered in histories of economic thought." (Pg. xiii)

He observes that J.B. Say, "arrived at the unique method of economic theory [of] what Ludwig von Mises was... to call 'praxaeology.' Economics, Say realized, was based... on very general facts...... so deeply rooted in the nature of man and his world that everyone... would give his assent." (Pg. 12-13) He adds, "[Say] offered us a theory of total government spending as well as a theory of overall taxation. And that theory... [amounted] to: that government is best (or 'least bad') that spends and taxes least." (Pg. 43) He asserts, "regardless of how much devotion is professed to laissez-faire or the gold standard, at the heart of every banking school man, including those professing a free banking position, lies an unreconstructed inflationist." (Pg. 262)

He contends, "for Marx and other schools of communists, mankind, led by a vanguard of secular saints, would establish a secularized kingdom of heaven on earth." (Pg. 317) He adds, "Marx cannot and does not attempt to explain how a system of total greed becomes transformed into total greedlessness" (pg. 323), and "There is no place in his system where Marx is fuzzier that at its base: the concept of historical materialism." (Pg. 372) He goes on, "Here is surely the most glaring single hole in the Marxian model. Marx acknowledged that... profit rates clearly tend toward equality... and that real prices ... therefore do not exchange at their Marxian quantity-of-labour values. Marx admitted this crucial problem, and promised that he could solve the problem successfully in a later volume of 'Capital.' He struggled with this problem for the rest of his life, and never solved it." (Pg. 413)

He adds, "there is a glaring inner contradiction at the heart of Marxian economics that is never resolved. If the capitalists suffer over time from a falling rate of profit, and workers suffer from increasing impoverishment, who is BENEFITING in the distribution of the economic pie?... in the Marxian system, the landlords have disappeared, increasingly and rapidly assimilated into the capitalist class. So how can BOTH mighty classes lose out under developing capitalism?" (Pg. 428) He concludes, "[Marx] created a veritable tissue of fallacies. Every single nodal point of the theory is wrong and fallacious... The Marxian system lies in absolute tatters and ruin... [and is] an atheized variant of a venerable Christian heresy." (Pg. 433)

Much more "to the point" than Volume 1, this book will be essential reading for any students of Austrian economics, or of economic history in general. Read more ›