On the Right Side for the Wrong Reason : Friedman on the Marshall-Walras divide
AbstractThe aim of this article is to assess Friedman’s claim, put forward in his 1949 article on the Marshallian demand curve, that there is a methodological divide between the Marshallian and Walrasian approaches. Friedman’s argument will be critically examined and compared with the views he expressed in other articles written around thesame time. My evaluation will lead to a mixed conclusion. Positively, Friedman must be hailed for having brought the Marshall-Walras divide to the forefront. In a more critical vein, I will suggest, first, that Friedman’s argumentation in the 1949 paper is definitely wanting. A better account of the differences between Marshall and Walras is to be found in his 1955 review of Jaffé’s traslation of Walras’s Eléments d’économie pure. Second, I will claim that Friedman’s real target in his 1949 article was imperfect competition theory à la Chamberlin and Keynesianism à la Lange, which he wrongly associated with Walrasian theory. Third, present-day proponents of the divide will be criticised for having naively echoed Friedman’s argumentation instead of having tried to improve it. The paper finishes with an outline of the criteria that should be used for giving te Marshall-Walras divide a stronger grounding.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES) in its series Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) with number 2004015.
Date of creation: 01 Apr 2004
Date of revision:
Friedma; Marshall; Walras;
Find related papers by JEL classification:
- B21 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Microeconomics
- B40 - Schools of Economic Thought and Methodology - - Economic Methodology - - - General
- D50 - Microeconomics - - General Equilibrium and Disequilibrium - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-09-30 (All new papers)
- NEP-HPE-2004-09-30 (History & Philosophy of Economics)
- NEP-MIC-2004-09-30 (Microeconomics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Michel De Vroey, 2003. "Perfect information a la Walras versus perfect information a la Marshall," Journal of Economic Methodology, Taylor & Francis Journals, vol. 10(4), pages 465-492.
- Grandmont, Jean-Michel, 1977. "Temporary General Equilibrium Theory," Econometrica, Econometric Society, vol. 45(3), pages 535-72, April.
- De Vroey, Michel, 2001. "Price Rigidity and Market-Clearing: A Conceptual Clarification," Cambridge Journal of Economics, Oxford University Press, vol. 25(5), pages 639-55, September.
- Hahn, Frank, 1990. "John Hicks the Theorist," Economic Journal, Royal Economic Society, vol. 100(401), pages 539-49, June.
- Leijonhufvud, Axel, 1984. "Hicks on Time and Money," Oxford Economic Papers, Oxford University Press, vol. 36(0), pages 26-46, Supplemen.
- Michel De Vroey, 2000.
"Marshall on equilibrium and time: a reconstruction,"
The European Journal of the History of Economic Thought,
Taylor & Francis Journals, vol. 7(2), pages 245-269.
- De Vroey, Michel, 1997. "Marshall on Equilibrium and Time. A Reconstruction," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 1997010, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
- Leijonhufvud, Axel, 1984. "Hicks on time and money," Discussion Papers, Series 1 182, University of Konstanz, Department of Economics.
- Hicks, John, 1977. "Economic Perspectives: Further Essays on Money and Growth," OUP Catalogue, Oxford University Press, number 9780198284079.
- De Vroey, Michel, 2011.
"Lucas on the relationship between theory and ideology,"
Economics - The Open-Access, Open-Assessment E-Journal,
Kiel Institute for the World Economy, vol. 5(4), pages 1-39.
- De Vroey, Michel, 2010. "Lucas on the relationship between theory and ideology," Economics Discussion Papers 2010-28, Kiel Institute for the World Economy.
- Michel DE VROEY, 2010. "Lucas on the relationship between theory and ideology," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2010031, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
- Michel, DE VROEY, 2007. "Marshallian and Walrasian Theory, Complementary or Alternative Approaches ? The Views in Presence," Discussion Papers (ECON - DÃ©partement des Sciences Economiques) 2007002, Université catholique de Louvain, Département des Sciences Economiques.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Anne DAVISTER-LOGIST).
If references are entirely missing, you can add them using this form.