UNIVERSITY OF MISSOURI, KANSAS CITY

DEPARTMENT OF ECONOMICS

 

ECONOMICS 506

 

Instructor: John F. Henry

Office: Mannheim 203D

Phone: 235-1309

Email: henryjf@umkc.edu

Office Hours: MW 12:30-1:30; 4:30-5:00

            and by appointment

 

Required Texts:

 

Adam Smith, The Essential Adam Smith (Heilbroner and Malone, eds.)

David Ricardo, Principles of Political Economy and Taxation, (Vol. 1, Works and Correspondence, Pierro Sraffa, ed.)

John Stuart Mill, Principles of Political Economy and Chapters on Socialism

Karl Marx, Capital, vol. 1

Alfred Marshall, Principles of Economics

John Maynard Keynes, Essays in Persuasion

David McNally, Against the Market

 

In addition to the above and the required (and supplementary) readings as specified in the class outline below, I shall distribute an extensive reading list via email from which you may draw. Listed there are not only specific sources by category, but also information as to journals, general guides, etc.

 

As well, the journals History of Political Economy , Journal of the History of Economic Thought, and The European Journal of the History of Economic Thought are given over to specialized writings in the area of economic thought.  Some of these are useful. The most useful Web sites that I’m aware of in this area are:

 

http://socserv2.socsci.mcmaster.ca/~econ/ugcm/3ll3/index.html

 

This provides a hypertext of authors’ works that can be downloaded.

 

And, the New School University’s history of economic thought website is very useful for general information:

 

       http://cepa.newschool.edu/het/

 

 

       Course Requirements:

 

       Each student will be responsible for:

1)      Reading the assigned material. This is important as lectures and class discussion require familiarity with the arguments put forward by the various authorities.

2)      One 15-minute presentation based on an assigned article or section of a book. The student is expected to summarize the main point(s) of the assigned work, show its relevance to the general discussion at hand, provide an evaluation of the author’s analysis.

3)      A 3,000 word paper on a topic of the student’s choice. Topics, a brief outline of the proposed paper, and a provisional list of readings must be presented to me by September 11. Papers are due November 13. There are no exceptions to these dates. More information on the paper will be provided in class.

4)      A final examination of a take-home nature. Questions will be distributed November 13 and examinations will be turned in by December 11. There are no exceptions to this date.

 

       Course Outline and Readings: (* denotes required; ** indicates student presentation)

            (Some readings are subject to change)

 

  1. Some preliminary arguments:

 

*Robert Briffault, “Reasons for Anger;“Stupidity”  

*Benjamin Farrington, Science and Politics in the Ancient World, chs.1-3, 8

            *Maurice Dobb, “The Requirements of a Theory of Value”

           

  1. The world of economics leading up to Adam Smith:

 

*C.B. Macpherson, “The Rise and Fall of Economic Justice”

*John Locke, Second Treatise of Government, ch. 5

*S. Bell, J. Henry, L. Wray, “A Chartalist Critique of John Locke’s Theory of Property, Accumulation, and Money.” Review of Social Economy, March 2004

 

J. Henry, “John Locke, Property Rights, and Economic Theory", Journal of Economic Issues, 3, September 1999.

(The bibliography here contains references to the main authorities representing different positions on Locke’s general theory.)

D. McNally, Political Economy and the Rise of Capitalism

            M. Perelman, The Invention of Capitalism

 

  1. Adam Smith and the “Adam Smith Problem”:

 

*Smith, The Essential Adam Smith, pages 57-147, 159-257.

*J. Evensky, “Adam Smith on the Human Foundation of a Successful Liberal Society.” History of Political Economy, 25, 1993

            *R. Meek, “Smith and Marx.” In Smith, Marx, and After.

            *R. Coase, “Adam Smith’s View of Man.” The Journal of Law and Economics, 19, 1976. (Avaliable through JSTOR)

*J. Henry, “Adam Smith and the Theory of Value: Chapter Six Considered.” History of Economics Review, 31, 2000.

 

**S. Pack, “Theological (and Hence Economic) Implications of Adam Smith’s ‘Principles which Lead and Direct

Philosophical Enquiries.” HOPE, 27, 1995

**R. Prasch, “The Ethics of Growth in Adam Smith’s Wealth of Nations.” HOPE, 23, 1991

**S. Fleischacker, On Adam Smith’s ‘Wealth of Nations’, chapter 5 (self-interest)

**______, chapter  9 (property rights)

**______, chapter 10 (distributive justice)

 

Of the enormous secondary literature on Smith (see the big reading list for a sampling), the following recent works are of great interest.

 

            S. Fleischacker, On Adam Smith’s ‘Wealth of Nations’

            J. Evensky, Adam Smith’s Moral Philosophy

            J. Alvey, Adam Smith: Optimist or Pessimist?

            R. O’Donnell, Adam Smith’s Theory of Value and Distribution

           

  1. Adam Smith, continued, including student presentations above.

 

  1. Interlude: Pessimism, and the Origins of Neoclassical Economics

 

*J. Henry, “Say’s Economy.” In Two Hundred Years of Say’s Law: essay on Economic Theory’s Most Controversial Principle. S. Kates, ed. (tbd)

            *R. Malthus, An Essay of the Principle of Population, extracts

 

            L. Rogin, The Meaning and Validity of Economic Theory, chs. 5, 6

 

  1. Ricardo—Value, Distribution, and the Opening of the Debate on “the Machinery Question”

 

*Ricardo, Principles, Introduction, chs 1, 2, 4, 5, 6, 20, 30, 31 (available at www.econlib.org)

*R. Meek, Studies in the Labour Theory of Value, ch. 3

*A. Cottrell, “Keynes, Ricardo, Malthus and Say’s Law"

 

**M. Berg, The Machinery Question and the Making of Political Economy, 1815-1848, chs. 3, 4

**M. Bleaney, Underconsumption Theories, pp. 42-56

 

Ricardo, Notes on Malthus’s Principles (Collected Works, Vol. 2)

 

  1. Ricardo, continued

 

  1. The Post-Ricardian Period: “Moral Economy” and the Neoclassical Objection

 

*D. McNally, Against the Market

*J. S. Mill, Chapters on Socialism

 

**R. Meek, “The Decline of Ricardian Economics in England”

**S. Hollander, “The Post-Ricardian Dissension: A Case-Study in Economics and Ideology”

           

            M. Berg, The Machinery Question…., chs. 5-14

G. Claeys, Machinery, Money and the Millennium

L. Rogin, Meaning and Validity…., chs. 7, 8

Thompson, N., The People’s Science: Popular Political Economy of Exploitation and Crisis

            _____. The Market and Its Critics

 

  1. Marx and the Culmination and Repudiation of Classical Theory

 

*Marx, Capital, Vol. 1 (except for Part I, chapter 3 – on money)

*A. Shaikh, Marx’s Theory of Value and the ‘Transformation Problem'

 

Marx and Engels, Collected Works of Karl Marx and Friedrich Engels

(Contains all their major works including Capital (3 vols), Grundrisse, Contribution to the Critique of Political Economy, Theories of Surplus Value (3 vols), Wage-Labour and Capital, Correspondence, etc.

R. Meek, Studies in the Labour Theory of Value, chs. 4, 6

M. Dobb, Political Economy and Capitalism, ch. 3

P. Sweezy, Theory of Capitalist Development

M. Howard and J. King, A History of Marxian Economics (2 vols)

T. Bottomore, ed., Dictionary of Marxist Thought

J. Eatwell, et al., The New Palgrave: Marxian Economics

A. Oakley, The Making of Marx’s Critical Theory

_____, Marx’s Critique of Political Economy

D. Foley, Understanding Capital

I. Rubin, Essays in the Labor Theory of Value

F. Moseley, Marx’s Theory of Money: Modern Appraisals

 

  1. Marx continued

 

  1. Neoclassicism Triumphant: I. The Professionalization of Economics and the Methodenstreit

 

* G. Moore, “John Neville Keynes’s Solution to the English Methodenstreit”

            *P. Groenewegen, “Alfred Marshall and the Establishment of the Cambridge Economic Tripos”

            *D. Ross, “Socialism and American Liberalism: Academic Social Thought in the 1880’s”

                       

J. Maloney, The Professionalization of Economics: Alfred Marshall and the Dominance of Orthodoxy

            C. Barrow, Universities and the Capitalist State

D. Ross, The Origins of American Social Science

            T. Haskell, The Emergence of Professional Social Science

            M. Furner, Advocacy and Objectivity: A Crisis in the Professionalization of American Social Science

            M. Morgan and M. Rutherford, eds., From Interwar Pluralism to Postwar Neoclassicism

            A.W. Coats, “The American Economic Association and the Economics Profession.” JEL, 23, Dec. 1985

R. Van Horn and P. Mirowski, “The Road to a World Made Safe for Corporations: The Rise of the Chicago School of Economics” (Xerox)

 

  1. Neoclassicism Triumphant: II. Marshall, Clark, and some Objections

 

*W. S. Jevons, “Preface” to The Theory of Political Economy

*A. Marshall, Principles of Economics, Book 1, All; Book 3, chs.3, 6; Book 4,

chs. 1,3,7,8,13; Book 5, chs. 1-5

* J.B. Clark, “Distribution as Determined by a Law of Rent.” Quarterly Journal of Economics. 5.3, 1891 (JSTOR)

           

** J. Henry, “God and the Marginal Product….”

**T. Veblen, “Professor Clark’s Economics.” Quarterly Journal of Economics. 22.2, 1908 (JSTOR)

            **Veblen, “Fisher’s Capital and Income.” Political Science Quarterly. 23.1, 1908 (JSTOR)

**Veblen, “Fisher’s Rate of Interest.” Political Science Quarterly. 24.2 1909 (JSTOR)

 

  1. Neoclassicism Continued: the “Empty Boxes” Debate and Sraffa

 

*J.H. Clapham, “Of Empty Economic Boxes”

*A.C. Pigou, “Empty Economic Boxes: A Reply”

*J.H. Clapham, “The Economic Boxes” (“)

*A.C. Pigou, D.H. Robertson, “Those Empty Boxes” (“)

*P. Sraffa, “The Laws of Returns Under Competitive Conditions” (“)

 

  1. The Keynesian Interlude

 

*Keynes, Essays in Persuasion

            Social Consequences of Changes in the Value of Money

            A Programme of Expansion

            The Great Slump of 1930

            Economy

            Alternative Aims in Monetary Policy

            Positive Suggestions for the Future Regulation of Money

            The Economic Consequences of Mr. Churchill

            The End of the God Standard

            Politics – all four essays

            The Future –both essays

            *M. Marcuzzo, “Keynes and Cambridge”

*J. Robinson, “History Versus Equilibrium”

*R. O’Donnell, “Social Justice in Keynes’s Economic and Political Writings”

 

**H. Jensen, “Keynes as a Marshallian”

**C. Sardoni, “Keynes and Marx”

**J. Crotty, “Was Keynes a Corporatist”

           

Keynes’s works, correspondence, etc. are collected in The Collected Works of John Maynard Keynes, D. Moggridge, ed. (29 vols)

Following are some general works that shed light on the development of Keynes’s ideas.

R. Skidelsky, John Maynard Keynes, 1883-1946: Economist, Philosopher, Statesman

(a one volume condensation of his three volume biography)

            R. Harrod, Life of John Maynard Keynes

            D. Moggridge, Maynard Keynes: An Economist’s Biography

            H. Minsky, John Maynard Keynes

            D. Colander and H. Landreth, The Coming of Keynesianism to America

            G. Shackle, Years of High Theory

            R. Kahn, The Making of Keynes’ General Theory

            P. Clarke, The Keynesian Revolution in the Making

            A. Fitzgibbons, Keynes’s Vision

 

  1. Keynes and the Aftermath

 

*J. Robinson, “What Has Become of the Keynesian Revolution”

*J. Steindl, “J. M. Keynes: Society and the Economist”

*A. Cohen and G.C. Harcourt, “Whatever Happened to the Cambridge Capital Theory Controversies”

 

S. Amadae, Rationalizing Capitalist Democracy (origin of rational choice theory)

K. Hoover, Economics and Ideology (on Keynes and Hayek – also Laski)

R. Cockett, Thinking the Unthinkable (on Hayek, et al. and post-war developments)

 

            Grade Evaluation:

 

            Paper: 40%

            In-class Presentation: 20%

            Final Examination: 40%

 

            Addendum:

As requested (or demanded—I’m not certain which term best applies) by the Dean, the following latter is attached for your information.

 

           Statement on Sexual Harassment

 

Recently there has been considerable media coverage of an alleged case of sexual harassment of a graduate student and an Associate Professor in the College.  That case is under active investigation and no findings of fact have yet been made.  It is important that we do not jump to conclusions of guilt in cases such as this; nor should we prematurely assume that the allegations are false.  The presumption of innocence until proven otherwise is a cornerstone of the American justice system. 

 

Please be assured, though, that the College and the University of Missouri-Kansas City have a zero tolerance policy for sexual harassment, intimidation, or discrimination of any kind.  The faculty and the administration are committed to creating and maintaining an environment on campus that is free of all forms of harassment, intimidation, and discrimination.

 

Should you or a friend ever experience any action or speech that feels coercive or discriminatory, you should report this immediately to the department chair, the office of the Dean, and/or the Affirmative Action Office.  The Affirmative Action Office will be   responsible for investigating any complaint of discrimination or sexual harassment.

 

We are a community of learners dedicated to the pursuit of knowledge and the acquisitions of skills that will enable us to lead rich and full lives.  We can pursue these ends only in a culture of mutual respect and civility.  It is incumbent upon all of us to create a culture of respect everywhere on campus and at all times through our actions and speech.  On behalf of the faculty of UMKC, I pledge to you that we will maintain a safe environment on campus that fosters respect for everyone.

 

Dr. Gary L. Ebersole

Professor of History and Religious Studies

Chair, UMKC Faculty Senate