Hardback
Two Hundred Years of Say’s Law
Essays on Economic Theory’s Most Controversial Principle
9781840648669 Edward Elgar Publishing
This provocative book examines the standing of Say’s Law two centuries after its initial statement in 1803.
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Critical Acclaim
Contributors
Contents
More Information
This provocative book examines the standing of Say’s Law two centuries after its initial statement in 1803.
From the 30 year General Glut debate at the start of the nineteenth century which focused solely on its truth, to the Keynesian revolution and Keynes’s successful attempt to convince his fellow economists that Say’s Law was wrong, it remains the most controversial principle in the history of economic theory. The central question – not resolved to this day – is this: can demand deficiency ever be the cause of recession and, if so, are greater levels of unproductive spending an appropriate response? The thrust of the argument is that if Say’s Law is valid, much of modern macroeconomic theory is fatally flawed. The book explores the validity of this problematic principle, reminding us that this 200 year debate has not yet been laid to rest.
The specially commissioned papers within this volume – by authors representing the full range of economic opinion today – spell out where this two hundred year old debate now stands. The book seeks to provide an understanding of the place of this principle in the minds of economists 200 years after it was first made explicit in the works of Jean-Baptiste Say.
Providing a spectrum of perspectives both for and against the principles underlying Say’s Law, this accessible book will be a captivating read for economists, economic historians and non-specialists alike.
From the 30 year General Glut debate at the start of the nineteenth century which focused solely on its truth, to the Keynesian revolution and Keynes’s successful attempt to convince his fellow economists that Say’s Law was wrong, it remains the most controversial principle in the history of economic theory. The central question – not resolved to this day – is this: can demand deficiency ever be the cause of recession and, if so, are greater levels of unproductive spending an appropriate response? The thrust of the argument is that if Say’s Law is valid, much of modern macroeconomic theory is fatally flawed. The book explores the validity of this problematic principle, reminding us that this 200 year debate has not yet been laid to rest.
The specially commissioned papers within this volume – by authors representing the full range of economic opinion today – spell out where this two hundred year old debate now stands. The book seeks to provide an understanding of the place of this principle in the minds of economists 200 years after it was first made explicit in the works of Jean-Baptiste Say.
Providing a spectrum of perspectives both for and against the principles underlying Say’s Law, this accessible book will be a captivating read for economists, economic historians and non-specialists alike.
Critical Acclaim
‘All in all, this volume is a useful book because it addresses an important
issue in the history of economics, not as an antiquarian problem but as a
question of present-day relevance. As such, it could be useful classroom
stuff. The polemic tone of several contributions makes for good reading.’
– Evert Schoorl, Journal of the History of Economic Thought
‘As a loyal Keynesian, I conclude that where the Keynesian literature is directly at odds with the Smith-Say-Mill-Ricardo positions, I am driven to vote for the former. But there are important parts of the analyses that can be considered to supplement one another, and other portions in which they are emphatically in agreement. Specifically, while I am convinced that the behaviour of demand can be responsible for recessions and depressions, I also believe these events can arise in other ways, so that earlier business-cycle models that are not fundamentally demand-driven should not be rejected out of hand.’
– From chapter one by William Baumol
‘The central idea of this book is the interesting notion of having different writers (with differing views) contribute on the single topic of Say’s Law which helps to underline the continuing controversial nature of that “Law” both in terms of what Say actually thought and the relevance of what he put forward. Besides being a “must read” for those interested in the history of economic thought, this book should appeal to anyone involved with debates over the causes of unemployment in market economies.’
– Malcolm Sawyer, Leeds University Business School, UK
issue in the history of economics, not as an antiquarian problem but as a
question of present-day relevance. As such, it could be useful classroom
stuff. The polemic tone of several contributions makes for good reading.’
– Evert Schoorl, Journal of the History of Economic Thought
‘As a loyal Keynesian, I conclude that where the Keynesian literature is directly at odds with the Smith-Say-Mill-Ricardo positions, I am driven to vote for the former. But there are important parts of the analyses that can be considered to supplement one another, and other portions in which they are emphatically in agreement. Specifically, while I am convinced that the behaviour of demand can be responsible for recessions and depressions, I also believe these events can arise in other ways, so that earlier business-cycle models that are not fundamentally demand-driven should not be rejected out of hand.’
– From chapter one by William Baumol
‘The central idea of this book is the interesting notion of having different writers (with differing views) contribute on the single topic of Say’s Law which helps to underline the continuing controversial nature of that “Law” both in terms of what Say actually thought and the relevance of what he put forward. Besides being a “must read” for those interested in the history of economic thought, this book should appeal to anyone involved with debates over the causes of unemployment in market economies.’
– Malcolm Sawyer, Leeds University Business School, UK
Contributors
Contributors: J.C.W. Ahiakpor, W.J. Baumol, T. Davis, E.L. Forget, M.J. Gootzeit, J.F. Henry, S. Horwitz, S. Kates, S. Keen, B. Littleboy, M. Skousen
Contents
Contents: Introduction 1. Say’s Law and More Recent Macro Literature: Some Afterthoughts 2. Retrospectives: Say’s Law 3. Jean-Baptiste Say and the Law of Markets: Entrepreneurial Decision-Making in the Real World 4. Economic Management and the Keynesian Revolution: The Policy Consequences of the Disappearance of Say’s Law 5. Say’s Law of Markets: An Austrian Appreciation 6. Say’s Law, Growth Theory and Supply-Side Economics 7. Say’s Law: Keynes’s Success with its Misrepresentation 8. The Historical Context of the General Glut Controversy 9. Say’s Lore 10. Savings, Hoarding and Say’s Law 11. Say’s Economy 12. Nudge Nudge, Wink Wink, Say No More Appendix Index
