Volume 5, No. 3 (Fall 2002)
Böhm-Bawerk is the most important Austrian economist after Ludwig von Mises. The author says this on the basis of the fact that his writings provide by far the best and most comprehensive development of the law of diminishing marginal utility and its application to price theory that is to be found anywhere. And to this, of course, must be added his major contributions on the subjects of capital and interest, including his critiques of the Marxian exploitation theory. The serious study of Böhm-Bawerk’s writings is an essential aspect of the education of every true Austrian economist. For those who have not yet embarked upon such a study, this essay of Böhm-Bawerk’s, “Value, Cost, and Marginal Utility,” can serve as an excellent starting point. For those who have so embarked, this essay should certainly not be missed.
