Ordoliberalism and the social market: Classical political economy from Germany

New Political Economy

Volumn 1, Issue 2, 1996, Pages 233-257

  Sally, Razeen ^a  

^a LONDON SCHOOL OF ECONOMICS   (United Kingdom)

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EID: 0039834132     PISSN: 13563467     EISSN: None     Source Type: Journal    
DOI: 10.1080/13563469608406254     Document Type: Article

References (117)

1. Terence Hutchison, 'Notes on the Effects of Economic Ideas on Policy: The Example of the German Social Market Economy', Journal of Institutional and Theoretical Economics, Vol. 135 (1979), p. 433.
2. Alan Peacock & Hans Willgerodt (Eds), Germany's Social Market Economy: Origins and Evolution (Macmillan, 1989), p. 1.
3. Ibid., pp. 4-7; and Alan Peacock & Hans Willgerodt, German Neoliberals and the Social Market Economy (Macmillan, 1989), pp. 3, 6.
4. Ibid., pp. 4-7; and Alan Peacock & Hans Willgerodt, German Neoliberals and the Social Market Economy (Macmillan, 1989), pp. 3, 6.
5. Walter Eucken, Franz Böhm & Hans Grossman-Doerth, 'The Ordo Manifesto of 1936', in: Peacock & Willgerodt (Eds), Germany's Social Market Economy, pp. 23-4 (emphasis added).
6. Walter Eucken, Die Grundlagen der Nationalökonomie (Springer-Verlag, 1989), pp. 15-23.
7. Ibid., p. 50.
8. Ibid., pp. 70, 72, 110-11, 122.
9. Ibid., pp. 45, 48, 66.
10. Ibid., p. 239.
11. Walter Eucken, Grundsätze der Wirtschaftspolitik (Mohr, 1990), p. 373.
12. Ibid., pp. 9, 11, 14.
13. Ibid., pp. 29, 41-3, 49-50, 52-5.
14. This point is brought out in no uncertain terms by a number of the main historians of economic thought. See Jacob Viner, 'Marshall's economics, in relation to the man and to his times' and 'Bentham and J.S. Mill: the utilitarian background', in: Viner, The Long View and the Short: Studies in Economic Theory and Policy (The Free Press, 1958), pp. 248-9 and 330-1; F.A. Hayek, The Constitution of Liberty (Routledge, 1960), pp. 60, 434; Frank H. Knight, 'Economics' and 'Free society: its basic nature and problem', in: Knight, On the History and Method of Economics: Selected Essays (University of Chicago Press, 1956), pp. 17, 32 and 288.
15. This point is brought out in no uncertain terms by a number of the main historians of economic thought. See Jacob Viner, 'Marshall's economics, in relation to the man and to his times' and 'Bentham and J.S. Mill: the utilitarian background', in: Viner, The Long View and the Short: Studies in Economic Theory and Policy (The Free Press, 1958), pp. 248-9 and 330-1; F.A. Hayek, The Constitution of Liberty (Routledge, 1960), pp. 60, 434; Frank H. Knight, 'Economics' and 'Free society: its basic nature and problem', in: Knight, On the History and Method of Economics: Selected Essays (University of Chicago Press, 1956), pp. 17, 32 and 288.
16. This point is brought out in no uncertain terms by a number of the main historians of economic thought. See Jacob Viner, 'Marshall's economics, in relation to the man and to his times' and 'Bentham and J.S. Mill: the utilitarian background', in: Viner, The Long View and the Short: Studies in Economic Theory and Policy (The Free Press, 1958), pp. 248-9 and 330-1; F.A. Hayek, The Constitution of Liberty (Routledge, 1960), pp. 60, 434; Frank H. Knight, 'Economics' and 'Free society: its basic nature and problem', in: Knight, On the History and Method of Economics: Selected Essays (University of Chicago Press, 1956), pp. 17, 32 and 288.
17. Hayek, Constitution of Liberty, pp. 265-6.
18. Eucken, Grundsätze, pp. 150, 152, 170, 186, 221.
19. Ibid., pp. 60, 62, 67, 70, 100-1, 103-4, 109-10, 127, 130.
20. F.A. Hayek, The Road to Serfdom (Routledge, 1944).
21. Eucken, Grundsätze, pp. 144, 173, 187, 198.
22. Ibid., pp. 181, 188, 199.
23. Ibid., p. 242 (emphasis added).
24. Walter Eucken, This Unsuccessful Age - Or the Pains of Economic Progress (William Hodge, 1951), p. 96.
25. Eucken considers that anti-cyclical measures, e.g. artificially low interest rates, deficit financing and credit expansion, accelerate the pace of investment at the expense of crippling the 'calculating machine' of the economy, the measurement of scarcity through marginal cost that would otherwise allocate resources by means of freely forming prices. Central investment decisions can only be made in terms of global quantities, not the individual proportioning of factors and products that is required for free price relationships. By blunting the price mechanism, 'full employment' policies lead to disequilibria and bottlenecks, which in turn create the pressure for further interventions, e.g. price freezes, rationing and exchange controls. See Grundsätze, pp. 140-3.
26. Eucken, Grundsätze, pp. 254-5.
27. Ibid., pp. 168-9, 255-64.
28. Ibid., pp. 266-70.
29. Ibid., pp. 276, 278.
30. Ibid., pp. 279-80, 284-5.
31. Ibid., pp. 285-91.
32. Wolfgang Kasper & Manfred Streit, Lessons from the Freiburg School: The Institutional Foundations of Freedom and Prosperity, CIS Occasional Paper, Sydney, 1993, p. 11.
33. See, for example, E.H. Chamberlin, Theory of Monopolistic Competition (Harvard University Press, 1929); and Joan Robinson, The Economics of Imperfect Competition (Macmillan, 1931).
34. See, for example, E.H. Chamberlin, Theory of Monopolistic Competition (Harvard University Press, 1929); and Joan Robinson, The Economics of Imperfect Competition (Macmillan, 1931).
35. Franz Böhm, Wettbewerb und Monopolkampf (Heymans, 1933); Leonhard Miksch, 'Zur Theorie des Gleichgewichts', Ordo, Vol. 1 (1948).
36. Franz Böhm, Wettbewerb und Monopolkampf (Heymans, 1933); Leonhard Miksch, 'Zur Theorie des Gleichgewichts', Ordo, Vol. 1 (1948).
37. Eucken, Grundsätze, pp. 291-9.
38. Hayek, Constitution of Liberty, pp. 265-6; F.A. Hayek, Law, Legislation and Liberty: A New Statement of the Liberal Principles of Justice and Political Economy - Vol. 3: The Political Order of a Free People (Routledge, 1982), pp. 65-71, 79-88. Also see Manfred E. Streit, 'Economic Order, Private Law and Public Policy: The Freiberg School of Law and Economics in Perspective', Journal of Institutional and Theoretical Economics, Vol. 148 (1992), pp. 682, 685-9.
39. Hayek, Constitution of Liberty, pp. 265-6; F.A. Hayek, Law, Legislation and Liberty: A New Statement of the Liberal Principles of Justice and Political Economy - Vol. 3: The Political Order of a Free People (Routledge, 1982), pp. 65-71, 79-88. Also see Manfred E. Streit, 'Economic Order, Private Law and Public Policy: The Freiberg School of Law and Economics in Perspective', Journal of Institutional and Theoretical Economics, Vol. 148 (1992), pp. 682, 685-9.
40. Hayek, Constitution of Liberty, pp. 265-6; F.A. Hayek, Law, Legislation and Liberty: A New Statement of the Liberal Principles of Justice and Political Economy - Vol. 3: The Political Order of a Free People (Routledge, 1982), pp. 65-71, 79-88. Also see Manfred E. Streit, 'Economic Order, Private Law and Public Policy: The Freiberg School of Law and Economics in Perspective', Journal of Institutional and Theoretical Economics, Vol. 148 (1992), pp. 682, 685-9.
41. Wilhelm Röpke, 'Wettbewerb [II] Ideengeschichte und ordnungspolitische Stellung', Handwörterbusch der Sozialwissenschaften (Fischer, 1962), p. 33; Wilhelm Röpke, Die Lehre von der Wirtschaft (Haupt, 1994), pp. 213, 217.
42. Wilhelm Röpke, 'Wettbewerb [II] Ideengeschichte und ordnungspolitische Stellung', Handwörterbusch der Sozialwissenschaften (Fischer, 1962), p. 33; Wilhelm Röpke, Die Lehre von der Wirtschaft (Haupt, 1994), pp. 213, 217.
43. Eucken, Grundsätze, pp. 300-1, 313.
44. Ibid., pp. 327-8.
45. See, for example, Mancur Olson, 'Collective action', in: John Eatwell et al (Eds), The New Palgrave: The Invisible Hand (W.W. Norton, 1989), pp. 61-9.
46. Eucken, Grundsätze, pp. 55, 255, 360, 373. Also see Herbert Giersch, Karl-Heinz Paqué & Holger Schmieding, The Fading Miracle: Four Decades of Market Economy in Germany (Cambridge University Press, 1992), p. 30.
47. Eucken, Grundsätze, pp. 55, 255, 360, 373. Also see Herbert Giersch, Karl-Heinz Paqué & Holger Schmieding, The Fading Miracle: Four Decades of Market Economy in Germany (Cambridge University Press, 1992), p. 30.
48. F.A. Hayek, Law, Legislation and Liberty - Vol. 1: Rules and Order, pp. 29, 32, 37-54; Vol. 2: The Mirage of Social Justice, pp. 26-8. Also see F.A. Hayek, 'True and false individualism', in: Hayek, Individualism and Economic Order (Routledge, 1948); Hayek, 'Dr Bernard Mandeville (1670-1733), in: Hayek, The Trend of Economic Thinking: Essays on Political Economists and Economic History (Routledge, 1991), pp. 79-100.
49. F.A. Hayek, Law, Legislation and Liberty - Vol. 1: Rules and Order, pp. 29, 32, 37-54; Vol. 2: The Mirage of Social Justice, pp. 26-8. Also see F.A. Hayek, 'True and false individualism', in: Hayek, Individualism and Economic Order (Routledge, 1948); Hayek, 'Dr Bernard Mandeville (1670-1733), in: Hayek, The Trend of Economic Thinking: Essays on Political Economists and Economic History (Routledge, 1991), pp. 79-100.
50. F.A. Hayek, Law, Legislation and Liberty - Vol. 1: Rules and Order, pp. 29, 32, 37-54; Vol. 2: The Mirage of Social Justice, pp. 26-8. Also see F.A. Hayek, 'True and false individualism', in: Hayek, Individualism and Economic Order (Routledge, 1948); Hayek, 'Dr Bernard Mandeville (1670-1733), in: Hayek, The Trend of Economic Thinking: Essays on Political Economists and Economic History (Routledge, 1991), pp. 79-100.
51. F.A. Hayek, Law, Legislation and Liberty - Vol. 1: Rules and Order, pp. 29, 32, 37-54; Vol. 2: The Mirage of Social Justice, pp. 26-8. Also see F.A. Hayek, 'True and false individualism', in: Hayek, Individualism and Economic Order (Routledge, 1948); Hayek, 'Dr Bernard Mandeville (1670-1733), in: Hayek, The Trend of Economic Thinking: Essays on Political Economists and Economic History (Routledge, 1991), pp. 79-100.
52. F.A. Hayek, 'The rediscovery of freedom: personal recollections', in: Hayek, The Fortunes of Liberalism: Essays on Austrian Economics and the Ideal Of Freedom (Routledge, 1992), p. 190.
53. Franz Böhm, 'Privatrechtsgesellschaft und Marktwirtschaft', Ordo, Vol. 17 (1966), pp. 75-6, 80-1, 85, 99-100. A shortened English translation of this article is entitled 'Rule of Law in a market economy', in: Peacock & Willgerodt (Eds), Germany's Social Market Economy.
54. Franz Böhm, 'Privatrechtsgesellschaft und Marktwirtschaft', Ordo, Vol. 17 (1966), pp. 75-6, 80-1, 85, 99-100. A shortened English translation of this article is entitled 'Rule of Law in a market economy', in: Peacock & Willgerodt (Eds), Germany's Social Market Economy.
55. Böhm, 'Privatrechtsgesellschaft und Marktwirtschaft', pp. 120, 138-41, 146-7.
56. Ibid., pp. 88-94.
57. See, for example, James M. Buchanan, 'Constitutional economics', in: Eatwell et al (Eds), The New Palgrave, pp. 79-87.
58. Jan Tumlir, 'Franz Böhm and the development of economic-constitutional analysis', in: Peacock & Willgerodt, German Neoliberals and the Social Market Economy, pp. 127, 131, 134, 139.
59. Ibid., pp. 126, 128-9, 138, 140.
60. Daniel Johnson, 'Exiles and half-exiles: Wilhelm Röpke, Alexander Rüstow and Walter Eucken', in: Peacock & Willgerodt, German Neoliberals and the Social Market Economy.
61. See Egon Tuchtfeld & Hans Willgerodt, 'Wilhelm Röpke - Leben und Werk', in: Wilhelm Röpke, Die Lehre von der Wirtschaft (Haupt, 1994), pp. 340-71.
62. All volumes in Wilhelm Röpke, Ausgewählte Werke (Haupt, 1979).
63. For a consideration of Röpke's thinking on international political economy, see Razeen Sally, 'The Social Market and Liberal Order: Theory and Policy Implications', Government and Opposition, Vol. 29, No. 4 (1994), pp. 467-70; 'The international political economy of Wilhelm Röpke: liberalism "from below", unpublished paper, 1996. Röpke's reference work in this area is International Order and Economic Integration (Reidel, 1958).
64. For a consideration of Röpke's thinking on international political economy, see Razeen Sally, 'The Social Market and Liberal Order: Theory and Policy Implications', Government and Opposition, Vol. 29, No. 4 (1994), pp. 467-70; 'The international political economy of Wilhelm Röpke: liberalism "from below", unpublished paper, 1996. Röpke's reference work in this area is International Order and Economic Integration (Reidel, 1958).
65. For a consideration of Röpke's thinking on international political economy, see Razeen Sally, 'The Social Market and Liberal Order: Theory and Policy Implications', Government and Opposition, Vol. 29, No. 4 (1994), pp. 467-70; 'The international political economy of Wilhelm Röpke: liberalism "from below", unpublished paper, 1996. Röpke's reference work in this area is International Order and Economic Integration (Reidel, 1958).
66. Kathrin Meier-Rust, Alexander Rüstow: Geschichtsdeutung und Liberales Engagement (Klett-Cotta, 1993), pp. 10-11, 77-82, 200-10, 257-64.
67. See references to note 13.
68. Wilhelm Röpke, International Economic Disintegration (William Hodge, 1942), pp. 6, 67-9; Alexander Rüstow, 'Appendix: general sociological causes of the economic disintegration and possibilities of reconstruction', in: Röpke, International Economic Disintegration, pp. 268-72.
69. Wilhelm Röpke, International Economic Disintegration (William Hodge, 1942), pp. 6, 67-9; Alexander Rüstow, 'Appendix: general sociological causes of the economic disintegration and possibilities of reconstruction', in: Röpke, International Economic Disintegration, pp. 268-72.
70. This is the general argument in Gesellschaftskrisis der Gegenwart. Also refer to the review of the latter by Luigi Einaudi, 'Economy of Competition and Historical Capitalism: The Third Way between the Eighteenth and Nineteenth Centuries', Scienza Nuova, Vol. 1, No. 1 (1954).
71. This is the general argument in Gesellschaftskrisis der Gegenwart. Also refer to the review of the latter by Luigi Einaudi, 'Economy of Competition and Historical Capitalism: The Third Way between the Eighteenth and Nineteenth Centuries', Scienza Nuova, Vol. 1, No. 1 (1954).
72. This is the general argument in Jenseits von Angebot und Nachfrage. See Egon Tuchtfeld, 'Jenseits von Angebot und Nachfrage: Wilhelm Röpke - Ökonom und Moralist', in: Ludwig Erhard Stiftung, Wilhelm Röpke: Beiträge zu seinem Leben und Werk (Fischer, 1980), pp. 23-37.
73. This is the general argument in Jenseits von Angebot und Nachfrage. See Egon Tuchtfeld, 'Jenseits von Angebot und Nachfrage: Wilhelm Röpke - Ökonom und Moralist', in: Ludwig Erhard Stiftung, Wilhelm Röpke: Beiträge zu seinem Leben und Werk (Fischer, 1980), pp. 23-37.
74. Hayek, Constitution of Liberty, pp. 54-8, 60-1; Law, Legislation and Liberty - Vol. 1: Rules and Order, pp. 9-14, 25-6.
75. Hayek, Constitution of Liberty, pp. 54-8, 60-1; Law, Legislation and Liberty - Vol. 1: Rules and Order, pp. 9-14, 25-6.
76. Wilhelm Röpke, 'Alte und neue Ökonomie', in: Albert Hunold (Ed), Wirtschaft ohne Wunder (Rentsch, 1958), pp. 80, 82; Wilhelm Röpke, 'La Dimension Politique de la Politique Economique', Revue des Sciences Morales et Politiques, ler semestre (1960), pp. 225-6.
77. Wilhelm Röpke, 'Alte und neue Ökonomie', in: Albert Hunold (Ed), Wirtschaft ohne Wunder (Rentsch, 1958), pp. 80, 82; Wilhelm Röpke, 'La Dimension Politique de la Politique Economique', Revue des Sciences Morales et Politiques, ler semestre (1960), pp. 225-6.
78. Wilhelm Röpke, Die Kraft zu Leben (Berteismann, 1963), p. 199.
79. Heinz Rieter & Matthias Schmolz, 'The Ideas of German Ordoliberalism 1938-1945: Pointing the Way to a New Economic Order', The European Journal of the History of Economic Thought, Vol. I, No. 1 (1993), pp. 105-6.
80. See references in note 53.
81. Rüstow, 'Appendix', pp. 281-2.
82. Wilhelm Röpke, 'Gefahren des Wohlfartsstaates', in: Ludwig Erhard Stiftung, Grundtexte zur Sozialen Marktwirtschaft: Das Soziale in der Sozialen Marktwirtschaft (Fischer, 1988), pp. 257-8.
83. Alexander Rüstow, 'Liberal intervention', and Wilhelm Röpke, 'The guiding principles of the liberal programme', in: Ludwig Erhard Stiftung, Standard Texts on the Social Market Economy (Fischer, 1982), pp. 184-5 and 189; Röpke, International Economic Disintegration, p. 153.
84. Alexander Rüstow, 'Liberal intervention', and Wilhelm Röpke, 'The guiding principles of the liberal programme', in: Ludwig Erhard Stiftung, Standard Texts on the Social Market Economy (Fischer, 1982), pp. 184-5 and 189; Röpke, International Economic Disintegration, p. 153.
85. Wilhelm Röpke, Wider den Bildungsjakobinismus. Eine Herausforderung (Glock, 1979), p. 6; Wilhelm Röpke, Die Stellung der Landwirtschaft in der Modernen Industriegesellschaft, Landwirtschaftliche Hochschule Hohenheim: Reden und Abhandlungen, No. 18 (Eugen Ulmer, 1965), pp. 54, 58.
86. Wilhelm Röpke, Wider den Bildungsjakobinismus. Eine Herausforderung (Glock, 1979), p. 6; Wilhelm Röpke, Die Stellung der Landwirtschaft in der Modernen Industriegesellschaft, Landwirtschaftliche Hochschule Hohenheim: Reden und Abhandlungen, No. 18 (Eugen Ulmer, 1965), pp. 54, 58.
87. For an elaboration of competition as a 'discovery procedure', see Hayek, Law, Legislation and Liberty - Vol. 3: The Political Order of a Free People, pp. 117, 131, 158-9.
88. Rüstow, 'Liberal intervention', p. 185; Meier-Rust, Alexander Rüstow, p. 50.
89. Rüstow, 'Liberal intervention', p. 185; Meier-Rust, Alexander Rüstow, p. 50.
90. Wilhelm Röpke, 'Ethics and economic life', in: Ludwig Erhard Stiftung, Standard Texts on the Social Market Economy, pp. 371-3; Wilhelm Röpke, 'Das Kulturideal des Liberalismus', Neue Schweizer Rundschau, January 1947, p. 522.
91. Wilhelm Röpke, 'Ethics and economic life', in: Ludwig Erhard Stiftung, Standard Texts on the Social Market Economy, pp. 371-3; Wilhelm Röpke, 'Das Kulturideal des Liberalismus', Neue Schweizer Rundschau, January 1947, p. 522.
92. Alfred Müller-Armack, 'Social irenics', in: Ludwig Erhard Stiftung, Standard Texts on the Social Market Economy, pp. 347-65; also see Alfred Müller-Armack, 'The meaning of the social market economy', in: Peacock & Willgerodt (Eds), Germany's Social Market Economy.
93. Alfred Müller-Armack, 'Social irenics', in: Ludwig Erhard Stiftung, Standard Texts on the Social Market Economy, pp. 347-65; also see Alfred Müller-Armack, 'The meaning of the social market economy', in: Peacock & Willgerodt (Eds), Germany's Social Market Economy.
94. Horst Friedrich Wünsche, 'Ludwig Erhards Soziale Marktwirtschaft: Ein Diskurs über Fehldeutungen und Entstellungen', Ordo, Vol. 45 (1944), pp. 162-3.
95. John Rawls, A Theory of Justice (Harvard University Press, 1971).
96. Rudolf Uertz, 'Von der Caritas zur Sozialen Marktwirtschaft: Sozialethik im Wandel der Zeit', Orientierung zur Wirtschafts und Finanzpolitik, March 1993.
97. Alfred Müller-Armack, 'The second phase of the social market economy: an additional concept of a humane economy', in: Ludwig Erhard Stiftung, Standard Texts on the Social Market Economy, pp. 53-61.
98. Wünsche, 'Ludwig Erhards Soziale Marktwirtschaft'; Kurt Biedenkopf, 'Ludwig Erhard und die Politischen Parteien', in: Ludwig Erhard Stiftung, Ludwig Erhard und seine Politik (Fischer, 1985), p. 71.
99. Wünsche, 'Ludwig Erhards Soziale Marktwirtschaft'; Kurt Biedenkopf, 'Ludwig Erhard und die Politischen Parteien', in: Ludwig Erhard Stiftung, Ludwig Erhard und seine Politik (Fischer, 1985), p. 71.
100. Hayek, Law, Legislation and Liberty - Vol 2: The Mirage of Social Justice, pp. 2, 38, 71, 88-9, 136, 139, 142, 182; Vol. 3: The Political Order of a Free People, pp. 15-6, 160. See also Streit, 'Economic Order, Private Law and Public Policy', pp. 698-9.
101. Hayek, Law, Legislation and Liberty - Vol 2: The Mirage of Social Justice, pp. 2, 38, 71, 88-9, 136, 139, 142, 182; Vol. 3: The Political Order of a Free People, pp. 15-6, 160. See also Streit, 'Economic Order, Private Law and Public Policy', pp. 698-9.
102. Hayek, Law, Legislation and Liberty - Vol 2: The Mirage of Social Justice, pp. 2, 38, 71, 88-9, 136, 139, 142, 182; Vol. 3: The Political Order of a Free People, pp. 15-6, 160. See also Streit, 'Economic Order, Private Law and Public Policy', pp. 698-9.
103. For a detailed treatment of neoliberal influence on policy, see Anthony Nicholls, Freedom with Responsibility: The Social Market Economy in Germany, 1918-1963 (Clarendon, 1994); Razeen Sally, 'The Economics and Politics of the German Miracle', Government and Opposition, Vol. 30, No. 4 (1995), pp. 541-53.
104. For a detailed treatment of neoliberal influence on policy, see Anthony Nicholls, Freedom with Responsibility: The Social Market Economy in Germany, 1918-1963 (Clarendon, 1994); Razeen Sally, 'The Economics and Politics of the German Miracle', Government and Opposition, Vol. 30, No. 4 (1995), pp. 541-53.
105. Jacob Viner, 'Adam Smith', in: Viner, Essays on the Intellectual History of Economics (Princeton University Press, 1991), p. 252; R.H. Coase, 'Wealth of Nations' and 'Adam Smith's view of man', in: Coase, Essays on Economics and Economists (University of Chicago Press, 1994), pp. 88, 100; Hayek, Law, Legislation and Liberty - Vol. 2: The Mirage of Social Justice, pp. 2, 71.
106. Jacob Viner, 'Adam Smith', in: Viner, Essays on the Intellectual History of Economics (Princeton University Press, 1991), p. 252; R.H. Coase, 'Wealth of Nations' and 'Adam Smith's view of man', in: Coase, Essays on Economics and Economists (University of Chicago Press, 1994), pp. 88, 100; Hayek, Law, Legislation and Liberty - Vol. 2: The Mirage of Social Justice, pp. 2, 71.
107. Jacob Viner, 'Adam Smith', in: Viner, Essays on the Intellectual History of Economics (Princeton University Press, 1991), p. 252; R.H. Coase, 'Wealth of Nations' and 'Adam Smith's view of man', in: Coase, Essays on Economics and Economists (University of Chicago Press, 1994), pp. 88, 100; Hayek, Law, Legislation and Liberty - Vol. 2: The Mirage of Social Justice, pp. 2, 71.
108. F.A. Hayek, 'The legal and political philosophy of David Hume (1711-1776)', in: Hayek, The Trend of Economic Thinking, pp. 101-18.
109. See Mancur Olson, The Logic of Collective Action: Public Goods and the Theory of Groups (Harvard University Press, 1965); and The Rise and Decline of Nations: Economic Growth, Stagflation and Social Rigidities (Yale University Press, 1982).
110. See Mancur Olson, The Logic of Collective Action: Public Goods and the Theory of Groups (Harvard University Press, 1965); and The Rise and Decline of Nations: Economic Growth, Stagflation and Social Rigidities (Yale University Press, 1982).
111. See notes 36 and 66.
112. James M. Buchanan, The Economics and Ethics of Constitutional Order (University of Michigan Press, 1991); Viktor J. Vanberg, Rules and Choice in Economics (Routledge, 1994).
113. James M. Buchanan, The Economics and Ethics of Constitutional Order (University of Michigan Press, 1991); Viktor J. Vanberg, Rules and Choice in Economics (Routledge, 1994).
114. See notes 20, 21, 42, 44.
115. R.H. Coase, 'The institutional structure of production', 'Economists and public policy', and 'Economics at the LSE in the 1930s: a personal view', in: Coase, Essays on Economics and Economists, pp. 11, 62, 213.
116. See notes 41-5. Also Douglass C. North, Institutions, Institutional Change and Economic Performance (Cambridge University Press, 1990), p. 6.
117. Ibid., pp. 27, 58-9, 64-5, 80-1.