History of the Austrian School of Economics

The theory of profit/interest has major implications for the understanding of capital accumulation, the determination of real wages and the general standard of living, taxation, inflation/deflation, and the business cycle.

The sudden emergence of the word “conservative” highlighted a more general unease of the counterrevolutionary forces in the United States. They were quite sure what they were against: communism, fascism, socialism, the New Deal, the Fair Deal, etc. But what did they stand for?

Without a dynamic price mechanism — trademark of a money-based, capitalist society — there can be no calculation, and without calculation there can be no advanced division of labor. Our society would be no more advanced than it was during the age of barter.

The honor of being called the "father of modern economics" belongs not to its usual recipient, Adam Smith, but to a gallicized Irish merchant, banker, and adventurer who wrote the first treatise on economics more than four decades before the publication of the Wealth of Nations.

A remarkable combination of a brilliant and incisive mind, an unusually clear and lucid style, and an unfailingly cheerful, generous, and gentle soul, Henry Hazlitt continues to be a veritable fount of energy and productivity.

[This speech was delivered at the offices of the Mises Institute, September 14, 1999, the date on which

The number of inhabitants in a state depends on their means of subsistence. The means of subsistence depend on the method of cultivating the soil, and this method depends chiefly on the taste, desires, and manner of living of the property owners.

I hope that, in raising money for the Mises Institute by finishing the marathon, I will have enough inspiration to surmount the challenges I will face while running. My aim is to raise $1,000 for every mile that I run.

Part of the experience of reading Newsweek in the early 1960’s was a weekly column called "Business Tides."  It offered wide-ranging and insightful commentary on just about anything that had anything to do with the economy or with economics.

Capital and interest theory, and its relation to income, is a very complex area of economics. It is also one in which the Austrians have made major contributions, and these unravel current confusions.