Austrian School of Economics: Revisionist History and Contemporary Theory

1. Forerunners of the Austrian School: The French Liberal School

Austrian Economics OverviewOther Schools of Thought

06/06/2005Audio/Video
The French Liberal School had been dominant through four generations because they were privately funded, but when the government intervened in the French universities the Liberal School lost its hold. Richard Cantillon, Etienne Bonnot de Condillac, A.R.J. Turgot, Jean-Baptiste Say, Frederic Bastiat...

Read more

2. The Origin and Decline of the Austrian School: Menger, Böhm-Bawerk, and Wieser

BiographiesAustrian Economics OverviewHistory of the Austrian School of EconomicsOther Schools of Thought

06/07/2005Audio/Video
Where the classical economists had gone wrong was to speak of goods as if they were abstract classes. The Austrians noted that their value theory did not talk about concrete units and could not explain how individuals valued goods.

Read more

3. The Revival of the Austrian School: Mises and Rothbard

BiographiesAustrian Economics OverviewHistory of the Austrian School of EconomicsOther Schools of Thought

06/07/2005Audio/Video
There were reasons for the decline of the Austrian School before its revival and rebirth by Mises and Rothbard. There was an Israel Kirzner view in the 1970s that the Keynesian avalanche had buried Austrian economics in 1936. Then there is a big bang theory of its rebirth in 1974 due to the South...

Read more

4. The Theory of Monopoly Price: From Menger to Rothbard

BiographiesAustrian Economics OverviewMonopoly and CompetitionOther Schools of ThoughtPrices

06/08/2005Audio/Video
Prior to Mises there had been nothing written on the theory of monopoly price. Mises felt there could be some limited times of monopoly on the free market, e.g. diamond mines, but Rothbard felt that there could not be monopolies. Both theories developed out of Menger’s original thoughts...

Read more

5. Modern Monetary Theory: The Austrian Contribution

Booms and BustsMoney and BanksAustrian Economics OverviewBusiness CyclesMoney and BankingOther Schools of Thought

06/08/2005Audio/Video
Monetary theory is where Austrians diverge the most from mainstream. Mises built a new taxonomy of money. He said money included any checking account deposits. The marginal utility of gold on the last day of barter was determined by the uses of gold. People then demanded gold as money because there...

Read more

6. Keynes and the 'New Economics' of Fascism

BiographiesAustrian Economics OverviewOther Schools of ThoughtPolitical Theory

06/09/2005Audio/Video
Monetary inflation is the key way to bring about economic fascism. Fascism was a spending, borrowing government, militarism, imperialism, and a planned economy. Keynes’ followers came to power in the 60s with the Kennedy administration. Nixon went on to impose wage and price controls...

Read more

7. The Political Economy of the Chicago School: Libertarian or Jacobin?

Austrian Economics OverviewOther Schools of ThoughtPhilosophy and MethodologyPolitical Theory

06/10/2005Audio/Video
The founder of the Chicago School, Frank Knight, was an avowed egalitarian. Rousseau was his influence. Jacobins believed in mass democracy and politics as the only way to implement their ideas. They hated aristocrats and religious leaders. Knight believed in progressive taxation. He wanted neocon...

Read more

8. The Debate on the Socialist Calculation Debate

Austrian Economics OverviewCalculation and KnowledgeOther Schools of ThoughtPhilosophy and Methodology

06/10/2005Audio/Video
The debate still continues. It is all about Mises’ initial article and then book on Socialism in 1922. He demonstrated the necessity of the price system and showed how subjective values were transformed into objective prices which could be used as meaningful cardinal numbers in economic...

Read more

9. Money and Gold in the 1920s and 1930s: Defending the Rothbardian Position

BiographiesMoney and BanksAustrian Economics OverviewMoney and Banking

06/10/2005Audio/Video
Friedman’s book, Monetary History of the United States, tried to show the depression was caused by a deflation of the money supply by the Fed. Rothbard’s America’s Great Depression was published the next year in 1963. Rothbard argued that the Fed was actively inflating the money...

Read more

10. The Gold Standard in Theory and Myth

Money and BanksAustrian Economics OverviewGold StandardMoney and Banking

06/11/2005Audio/Video
The mythology of gold really grew up with Keynes and the quantity theory. Here are six of those myths: the gold standard is unable to accommodate the needs of an growing economy; the quantity of money is arbitrarily determined; the gold standard is a government price fixing scheme; the gold...

Read more

Shield icon audio