TAILIEUCHUNG - History of Economic Analysis part 29

History of Economic Analysis part 29. At the time of his death in 1950, Joseph Schumpeter-one of the major figures in economics during the first half of the 20th century-was working on his monumental History of Economic Analysis. A complete history of humankind's theoretical efforts to understand economic phenomena from ancient Greece to the present, this book is an important contribution to the history of ideas as well as to economics. | History of economic analysis 242 populationist doctrine was France. The second step toward a solution is therefore to find out whether there was not something in the economic and political situation of France that might objective opportunities notwithstanding suggest pessimism as regards the economic future of the country and thus explain that change in attitude. As a matter of fact there was. During practically the whole of the eighteenth century France was fighting a losing battle with England. Many of her leading spirits began to accept this defeat by 1760 and to discount the opportunities for national expansion. Moreover the outworn institutional pattern of the last half century of the monarchy was not favorable to vigorous economic development at home. Thus thought turned from bold venture to the possibilities offered by agriculture from dreams of evolution to the picture of a mature or quasi-stationary economy. The third and final step then is to explain why antipopulationist sentiment gained a hold on the English mind in spite of the fact that exactly the opposite state of things prevailed in England. In order to understand this we have to realize that the long-run trend of an evolution is one thing and the sequence of short-run situations through which it fights its way is quite another thing. Thus the English populationists of the seventeenth and eighteenth centuries may have been quite right in considering rapid increase as motor condition and symptom of economic development and equally right in worrying at the same time as most of them actually did about the short-run vicissitudes the unemployment in particular which accompanied that development this does not convict them of contradiction either in their analysis or in their recommendations. But in the Industrial Revolution of the last decades of the eighteenth century these short-run vicissitudes grew more serious than they had been before precisely because the pace of economic development quickened. .

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