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The conjoint quest for a liberal positive program: "Old Chicago", Freiburg and Hayek

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  • Köhler, Ekkehard
  • Kolev, Stefan

Abstract

James M. Buchanan's latest contribution to the post-crisis debate in political economy underpins the necessity to reexamine the legacy of the Old Chicago School of thought, being urged by Buchanan's recently stressed plea at the 2009 Regional Meeting of the Mont Pèlerin Society and at the Summer Institute for the Preservation of the History of Economic Thought in 2010. The focus of the current paper is to follow his plea by exploring the central topoi of the 1930's debate of the Chicago School as seen from the work of Henry Simons and discuss its impact on the academic arena on both sides of the Atlantic thereafter. With respect to this impact, we highlight Friedrich A. von Hayek as the focal scholar who possibly transmits these topoi that later influenced the rise of Freiburgean ordoliberalism in Germany from the mid-1930's onwards as youngest archival findings suggest. By revisiting the MPS 1947 first meeting's minutes and papers, we stress the proximity in mind of Old Chicago, Hayek and the Freiburg School ordo-liberals by contributing an explanation for the surprisingly homogenous direction of these yet unconnected schools of thought. n a next, enhanced version of this project, we will subsequently re-discuss the intellectual origins of Constitutional Political Economy's research program. Following Viktor Vanberg, we argue that CPE can be interpreted as a modernized perspective on economics that carries forward three strands of transatlantic liberal programs, being precisely Old Chicago, Freiburg and Hayek.

Suggested Citation

  • Köhler, Ekkehard & Kolev, Stefan, 2011. "The conjoint quest for a liberal positive program: "Old Chicago", Freiburg and Hayek," HWWI Research Papers 109, Hamburg Institute of International Economics (HWWI).
    • Handle: RePEc:zbw:hwwirp:109
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    References listed on IDEAS

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    1. Henry C. Simons, 1936. "Rules versus Authorities in Monetary Policy," Journal of Political Economy, University of Chicago Press, vol. 44(1), pages 1-1.
    2. Kolev, Stefan, 2010. "F. A. Hayek as an ordo-liberal," HWWI Research Papers 5-11, Hamburg Institute of International Economics (HWWI).
    3. Charles J. Whalen, 1988. "The Minsky-Simons Connection: A Neglected Thread in the History of Economic Thought," Journal of Economic Issues, Taylor & Francis Journals, vol. 22(2), pages 533-544, June.
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    5. Henry C. Simons, 1944. "Some Reflections on Syndicalism," Journal of Political Economy, University of Chicago Press, vol. 52(1), pages 1-1.
    6. J. Bradford De Long, 1990. "In Defense of Henry Simon's Standing as a Classical Liberal," Cato Journal, Cato Journal, Cato Institute, vol. 9(3), pages 601-618, Winter.
    7. Henry C. Simons, 1942. "Hansen on Fiscal Policy," Journal of Political Economy, University of Chicago Press, vol. 50(2), pages 161-161.
    8. Hoppe, Hans-Hermann, 1994. "F. A. Hayek on Government and Social Evolution: A Critique," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 7(1), pages 67-93.
    9. J. Ronnie Davis, 1969. "Henry Simons, the Radical: Some Documentary Evidence," History of Political Economy, Duke University Press, vol. 1(2), pages 388-394, Fall.
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    Cited by:

    1. Malte Dold & Tim Krieger, 2023. "The ideological use and abuse of Freiburg’s ordoliberalism," Public Choice, Springer, vol. 195(3), pages 341-361, June.
    2. Kolev, Stefan, 2021. "When liberty presupposes order: F. A. Hayek's learning ordoliberalism," Freiburg Discussion Papers on Constitutional Economics 21/2, Walter Eucken Institut e.V..
    3. Stephan Puehringer, 2016. "Think Tank networks of German neoliberalism. Power structures in economics and economic policies in post-war Germany," ICAE Working Papers 53, Johannes Kepler University, Institute for Comprehensive Analysis of the Economy.
    4. Hohenleitner, Ingrid & Hillmann, Katja, 2012. "Impact of Benefit Sanctions on Unemployment Outflow - Evidence from German Survey Data," VfS Annual Conference 2012 (Goettingen): New Approaches and Challenges for the Labor Market of the 21st Century 66055, Verein für Socialpolitik / German Economic Association.
    5. Ötsch, Walter & Pühringer, Stephan, 2019. "The anti-democratic logic of right-wing populism and neoliberal market-fundamentalism," Working Paper Serie des Instituts für Ökonomie Ök-48, Hochschule für Gesellschaftsgestaltung (HfGG), Institut für Ökonomie.
    6. Kolev, Stefan & Köhler, Ekkehard A., 2021. "Transatlantic Roads to Mont Pèlerin: "Old Chicago" and Freiburg in a World of Disintegrating Orders," Working Papers 309, The University of Chicago Booth School of Business, George J. Stigler Center for the Study of the Economy and the State.
    7. Feld, Lars P. & Köhler, Ekkehard A. & Nientiedt, Daniel, 2021. "Ordoliberalism and the social market economy," Freiburg Discussion Papers on Constitutional Economics 21/5, Walter Eucken Institut e.V..
    8. Frédéric Marty, 2014. "Towards an Economics of Convention-based Approach of the European Competition Policy," GREDEG Working Papers 2014-06, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    9. Stefano Figuera & Andrea Pacella, 2021. "La teoria euckeniana della moneta: spunti per una riflessione critica (Eucken's theory of money: ideas for critical reflection)," Moneta e Credito, Economia civile, vol. 74(296), pages 275-299.
    10. Pühringer, Stephan & Ötsch, Walter, 2019. "Die Wirkmacht der "Liebe zum Markt": Zum anhaltenden Einfluss ordoliberaler ÖkonomInnen-Netzwerke in Politik und Gesellschaft," Working Paper Serie des Instituts für Ökonomie Ök-45, Hochschule für Gesellschaftsgestaltung (HfGG), Institut für Ökonomie.
    11. Stefan Kolev & Nils Goldschmidt & Jan-Otmar Hesse, 2020. "Debating liberalism: Walter Eucken, F. A. Hayek and the early history of the Mont Pèlerin Society," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 33(4), pages 433-463, December.
    12. Kolev Stefan, 2015. "Two interactive masterminds: Hayek′s fluctuating fascination for John Stuart Mill′s system of thought," ORDO. Jahrbuch für die Ordnung von Wirtschaft und Gesellschaft, De Gruyter, vol. 66(1), pages 387-396, January.
    13. Stefan Kolev, 2018. "Early Economic Sociology and Contextual Economics: The Weber-Wieser Connection," Journal of Contextual Economics (JCE) – Schmollers Jahrbuch, Duncker & Humblot, Berlin, vol. 138(1), pages 1-30.
    14. Feld, Lars P. & Köhler, Ekkehard A. & Nientiedt, Daniel, 2017. "The "dark ages" of German macroeconomics and other alleged shortfalls in German economic thought," Freiburg Discussion Papers on Constitutional Economics 17/03, Walter Eucken Institut e.V..
    15. Kolev, Stefan & Goldschmidt, Nils & Hesse, Jan-Otmar, 2014. "Walter Eucken's role in the early history of the Mont Pèlerin Society," Freiburg Discussion Papers on Constitutional Economics 14/02, Walter Eucken Institut e.V..
    16. Soldatos, Gerasimos T., 2014. "On the Missing Macroeconomics of Social Liberalism: From Physiocrats to Pre-war Chicagoans and Freiburg," MPRA Paper 59425, University Library of Munich, Germany.
    17. Schnellenbach, Jan, 2021. "The concept of Ordnungspolitik: Rule-based economic policy-making from the perspective of the Freiburg School," Freiburg Discussion Papers on Constitutional Economics 21/7, Walter Eucken Institut e.V..
    18. Joachim Zweynert, 2015. "The concept of Ordnungspolitik through the lens of the theory of limited and open access orders," Constitutional Political Economy, Springer, vol. 26(1), pages 4-18, March.
    19. Goldschmidt, Nils & Hesse, Jan-Otmar, 2012. "Eucken, Hayek, and the Road to Serfdom," Freiburg Discussion Papers on Constitutional Economics 12/4, Walter Eucken Institut e.V..
    20. Laica, Christoph & Lauber, Arne & Sahm, Marco, 2017. "Sequential round-robin tournaments with multiple prizes," BERG Working Paper Series 129, Bamberg University, Bamberg Economic Research Group.
    21. Kolev Stefan, 2015. "The economist as public intellectual: an endangered species?: Walter Lippmann′s unique public impact as an impulse for today′s economics," ORDO. Jahrbuch für die Ordnung von Wirtschaft und Gesellschaft, De Gruyter, vol. 66(1), pages 396-406, January.

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