ECON 442 History of Economic ThoughtProfessor Malamud, BEH 502course outline:http://faculty.unlv.edu/bmalamud/af.442.outline.doc • the ideas of economists and political philosophers, both when they are right and when they are wrong, are more powerful than is commonly understood. Indeed the world is ruled by little else. Practical men, who believe themselves to be quite exempt from any intellectual influences, are usually the slaves of some defunct economist. Madmen in authority, who hear voices in the air, are distilling their frenzy from some academic scribbler of a few years back. I am sure that the power of vested interests is vastly exaggerated compared with the gradual encroachment of ideas. Not, indeed, immediately, but after a certain interval; for in the field of economic and political philosophy there are not many who are influenced by new theories after they are twenty-five or thirty years of age, so that the ideas which civil servants and politicians and even agitators apply to current events are not likely to be the newest. But, soon or late, it is ideas, not vested interests, which are dangerous for good or evil. JMK, General Theory of Employment, Interest, and Money.
Today’s Headlines • Timely • Targeted • Temporary Is John Maynard Keynes “defunct”? Is Knut Wicksell “defunct”? Journal of Economic Perspectives, Fall 2007
Today’s Headlines • IMF: Global Stimulus Package • Timely • (as there is an urgent need for action)· Large • (because the drop in demand is large)· Lasting • (as the recession will likely last for some time) · Diversified • (as there is uncertainty regarding which measures will be most effective)· Contingent • (to indicate that further action can be taken)· Collective • (all countries that can should expand G-T given the severity and global nature of the downturn)· • Sustainable • (to avoid debt explosion in the long run and adverse effects in the short run). Is John Maynard Keynes defunct?
1947 Paul A. Samuelson (1970) 1949 Kenneth E. Boulding 1951 Milton Friedman (1976) 1953 No Award 1955 James Tobin (1981) 1957 Kenneth J. Arrow (1972, with John R. Hicks) 1959 Lawrence R. Klein (1980) 1961 Robert M. Solow (1987) 1963 Hendrik S. Houthakker 1965 Zvi Griliches 1967 Gary S. Becker (1992) 1969 Marc Leon Nerlove 1971 Dale W. Jorgenson 1973 Franklin M. Fisher 1975 Daniel McFadden (2000, with James J. Heckman) 1977 Martin S. Feldstein 1979 Joseph E. Stiglitz (2001, with George A. Akerlof and A. Michael Spence) 1981 A. Michael Spence (2001, with George A. Akerlof and Joseph E. Stiglitz) 1983 James J. Heckman (2000, with Daniel McFadden) 1985 Jerry A. Hausman 1987 Sanford J. Grossman 1989 David M. Kreps 1991 (Paul R. Krugman) 1993 Lawrence H. Summers 1995 David Card 1997 Kevin M. Murphy 1999 Andrei Shleifer 2001 Matthew Rabin 2003 Steven Levitt 2005 Daron Acemoglu 2007 Susan Athey James B. Clark Medalists(subsequent Nobel Awards)
Nobel Laureates in Economics: http://en.wikipedia.org/wiki/The_Sveriges_Riksbank_Prize_in_Economic_Sciences_in_Memory_of_Alfred_Nobel Nobel laureates in our course • Paul Samuelson • John Hicks • Milton Friedman • James Tobin • Franco Modigliani • Robert Solow • Gary Becker • Robert Lucas • Finn Kydland/Edward Prescott • Joseph Stiglitz