by Strigl
[Front Matter and Table of Contents]: Title page and table of contents for the 55th volume of the Weltwirtschaftliches Archiv, featuring articles by Adolf Weber, Richard von Strigl, Germain Bernácer, and J. Tinbergen. [Introduction to the Wicksellian Process and Erik Lindahl's Work]: Strigl introduces the Wicksellian process, noting its reception in Germany and its connection to monetary crisis theory. He focuses on Erik Lindahl's 'Studies in the Theory of Money and Capital', specifically the sections on interest rates and price levels, while acknowledging the influence of the Swedish and Vienna schools of economics. [Section I: Theoretical Models of the Wicksellian Process]: Strigl analyzes the Wicksellian process through four theoretical models. He explores how a divergence between the money interest rate and the equilibrium rate leads to cumulative price changes and shifts in production structures. He critiques the concept of 'forced saving' and emphasizes the role of 'waiting' and capital immobilization in production detours, referencing Böhm-Bawerk and Hayek. The models account for full employment, non-competing groups of production factors, and unutilized capacities. [Section II: Analysis of Lindahl's Dynamic Approach]: Strigl critiques Lindahl's specific methodology, particularly his assumptions regarding income distribution and the 'automatic' nature of capital formation under lowered interest rates. He discusses Lindahl's views on price level stability, the role of expectations in monetary policy, and the practical difficulties of using interest rate manipulation to increase capital stock. Strigl questions Lindahl's construction of a currency system that lacks cash holdings. [Section III: Capital Theory, Economic Planning, and Multilingual Summaries]: The final section briefly reviews Lindahl's contributions to mathematical capital theory and his 'dynamic approach' to economic planning based on expectations. It concludes with comprehensive summaries of Strigl's essay in English, French, Spanish, and Italian, reiterating the core argument that investment expansion requires a corresponding restriction in consumption.
Title page and table of contents for the 55th volume of the Weltwirtschaftliches Archiv, featuring articles by Adolf Weber, Richard von Strigl, Germain Bernácer, and J. Tinbergen.
Read full textStrigl introduces the Wicksellian process, noting its reception in Germany and its connection to monetary crisis theory. He focuses on Erik Lindahl's 'Studies in the Theory of Money and Capital', specifically the sections on interest rates and price levels, while acknowledging the influence of the Swedish and Vienna schools of economics.
Read full textStrigl analyzes the Wicksellian process through four theoretical models. He explores how a divergence between the money interest rate and the equilibrium rate leads to cumulative price changes and shifts in production structures. He critiques the concept of 'forced saving' and emphasizes the role of 'waiting' and capital immobilization in production detours, referencing Böhm-Bawerk and Hayek. The models account for full employment, non-competing groups of production factors, and unutilized capacities.
Read full textStrigl critiques Lindahl's specific methodology, particularly his assumptions regarding income distribution and the 'automatic' nature of capital formation under lowered interest rates. He discusses Lindahl's views on price level stability, the role of expectations in monetary policy, and the practical difficulties of using interest rate manipulation to increase capital stock. Strigl questions Lindahl's construction of a currency system that lacks cash holdings.
Read full textThe final section briefly reviews Lindahl's contributions to mathematical capital theory and his 'dynamic approach' to economic planning based on expectations. It concludes with comprehensive summaries of Strigl's essay in English, French, Spanish, and Italian, reiterating the core argument that investment expansion requires a corresponding restriction in consumption.
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