Fetter, frank a (1977) capital, interest and rent: essays in the theory of distribution ed by rothbard murray n kansas city: sheed, andrews and mcmeel garrison, roger (1979a) “comment: waiting in vienna” in rizzo, mario j, ed, time, uncertainly, and disequilibrium lexington, ma: lexington books, pp. Malthus, essay on the principle of population 1798, 1803 • malthus's contributions of ricardo • theory of land rent • value theory (theory of relative prices) • distribution theory • international trade theory • debate with malthus on stability of capitalism i – is the interest rate on circulating capital • then, the prices of. By focusing on the entrepreneur's correction of errors through arbitrage and speculation, kirzner constructs a theory of how economies could move toward fa fetter, capital, interest and rent: essays in the theory of distribution (edited, with an introduction by mn rothbard), in austrian economics newsletter (spring ,. Of the social sciences the masquerade of monopoly, 1931 reformulations of the concepts of capital and income in economics and accounting, 1937, accounting review the early history of political economy in the united state, 1943, aps proceedings capital, interest and rent: essays in the theory of distribution,. Fetter's major contributions to distribution theory encompasses all the categories of capital, rent, and interest, in an unusually systematic and integrated versuch einer bevolkerungslehre ausgehend von einer kritik des malthus'schen bevolkerungsprincips (an essay on population doctrine based on a. The rate of interest in neoclassical theory in early neoclassical theories, the distributive variables: wage rate, rent rate and rate of interest, were understood as the prices firms have to pay for the employment of the factors of production: labour, land and capital1 income distribution was thus conceived as a.
Fetter, fa 1977, capital, interest and rent: essays in the theory of distribution, edited with introduction by mn rothbard, sheed, andrews & mcmeel, kansas city, mo gray, a and thompson, a 1980, the development of economic doctrine: an introductory survey (second edition), longman, london and new york. In the present essay we shall not consider all of them in detail we shall focus our attention on two specific problems of capital theory that appear of particular interest: those of capital budgeting, which concerns the process of investment appraisal, and of the determination of an optimal capital stock for the. Investigation of physical and vital laws interest in the duties and destinies of mall may gixe to ethieal and it is tlle pllrpose of tllis essay to review the position of the rent of lalld in modern theory, to eollsider its nature prietors of the whole state resiele in the capitali two assumptions are tnanifestly ilecessary in order to.
Frank fetter of princeton university was one of the great american austrians, and perhaps the most lucid defender of the pure time preference theory of interest in the history of economic ideas. Coase, ronald, (1960) “the problem of social cost” journal of law and economics 3: 1-44 ferguson, charles (1969) the neoclassical theory of production and distribution, cambridge university press fetter, frank (1977) capital, interest and rent: essays in the theory of distribution, institute for humane studies.
In this essay, ricardo formulated his theory of distribution to grow, then, by his theory of distribution, profits would be eventually squeezed out by rents and wages 2 capital earns interest 3 land earns rent 4 entrepreneurship earns normal profit 5 economic profit (or loss) is paid to (or borne by) the owner of the firm. Theories of surplus value b adam smith and the concept of productive labour 1 his determination of value by labour 107 2 the origin of surplus value i i7 (a) profit ii7 (b) land rent i2 i (c) interest on capital 122 (d) taxes i24 (e) adam smith's advance beyond the physio.
Those who have learned their interest theory from professor rothbard have learned to be suspicious about the useóthe many usesóof the word productive in the literature on distributive shares, or factor imputation the factors of production (land, labor, and capital) are employed in some combination to produce output. The paper considers the history of theories of income distribution, from the time of adam work of thomas robert malthus, whose essay on the theory of population defined as the rate of interest plus a risk premium that varied with the nature of the capital actually, ricardo gave a more general version of this definition.