(Mis)understanding Classical Economics

Thomas, Alex M (2011): (Mis)understanding Classical Economics. Published in: Eostre , Vol. 2, : pp. 6-7.

Abstract

In 1936, Keynes published The General Theory of Employment, Interest and Money, one of the most influential books in economics of the twentieth century. With this publication, Keynes has confused and will continue to confuse generations of economists as to what classical economics means. This short essay argues that the 'classical economists' whom Keynes referred to in The General Theory were actually those economists who primarily employed 'marginal methods' in economics.

• Item Type: MPRA Paper
• Language: English
• Keywords: Classical economics; Keynes; Ricardo
• Subjects: B - History of Economic Thought, Methodology, and Heterodox Approaches > B1 - History of Economic Thought through 1925 > B12 - Classical (includes Adam Smith); E - Macroeconomics and Monetary Economics > E1 - General Aggregative Models > E12 - Keynes ; Keynesian ; Post-Keynesian; B - History of Economic Thought, Methodology, and Heterodox Approaches > B2 - History of Economic Thought since 1925 > B22 - Macroeconomics; B - History of Economic Thought, Methodology, and Heterodox Approaches > B1 - History of Economic Thought through 1925 > B13 - Neoclassical through 1925 (Austrian, Marshallian, Walrasian, Stockholm School)

References

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Keynes, J M (1997) [1936], The General Theory of Employment, Interest and Money, New York: Prometheus Books.

Ricardo, D (2004) [1951], On the Principles of Political Economy and Taxation, The Works and Correspondence of David Ricardo, Volume 1, Edited by Piero Sraffa and M H Dobb, Indianapolis: Liberty Fund.

Robinson, Joan (1969) [1937], Preface, Introduction to The Theory of Employment, 2nd edition, London: Macmillan Press.

Sraffa, Piero (1960), Production of Commodities by Means of Commodities, Cambridge: Cambridge University Press.