The neoclassical production function as a relic of anti-George politics: Implications for ecological economics
Widespread support for Henry George's land tax proposal prompted a backlash from wealthy landowners, who focused their political efforts on tax policy. The backlash corresponded chronologically with the development of neoclassical economics, and land barons became active in the establishment of academic economics institutions in the United States. Whereas the classical economists frequently referred to the factors of production as land, labor, and capital, neoclassical textbooks appearing in the 20th century increasingly ignored land and provided a production function, "YÂ =Â f(K,L)," in which capital and labor were the only factors explicitly identified. Neoclassical authors had several possible reasons for using a two-factor production function, but the political influence on neoclassical economics during its formative stages was conducive to avoiding reference to land when discussing factors of production. An emphasis on land would have invited scrutiny of land rents for tax purposes. Ecological economics has evolved as a response to the shortcomings of neoclassical economics in dealing with the environmental perils of economic growth. One of those shortcomings is the capital/labor production function which hides the importance of land and natural resources. Ecological economists have developed production functions that are more ecologically oriented, and one of them is explained herein.
If 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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
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.:
- Martin van Ittersum & Ada Wossink, 2006. "Integrating Agronomic Principles into Production Function Specification: A Dichotomy of Growth Inputs and Facilitating Inputs," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(1), pages 203-214.
- Ropke, Inge, 2004. "The early history of modern ecological economics," Ecological Economics, Elsevier, vol. 50(3-4), pages 293-314, October.
- Fridolin Krausmann & Heinz Schandl & Rolf Peter Sieferle, 2007.
"Socio-Ecological Regime Transitions in Austria and the United Kingdom,"
Socio-Economics and the Environment in Discussion (SEED) Working Paper Series
2007-05, CSIRO Sustainable Ecosystems.
- Krausmann, Fridolin & Schandl, Heinz & Sieferle, Rolf Peter, 2008. "Socio-ecological regime transitions in Austria and the United Kingdom," Ecological Economics, Elsevier, vol. 65(1), pages 187-201, March.
- Christopher K. Ryan, 2002. "Chapter 2: Land as a Factor of Production," American Journal of Economics and Sociology, Wiley Blackwell, vol. 61(5), pages 7-25, November.
- John K. Whitaker, 1997. "Enemies or Allies? Henry George and Francis Amasa Walker One Century Later," Journal of Economic Literature, American Economic Association, vol. 35(4), pages 1891-1915, December.
- Nicolaus Tideman & Florenz Plassmann, 2004. "Knight: Nemesis from the Chicago School," American Journal of Economics and Sociology, Wiley Blackwell, vol. 63(2), pages 381-409, 04.
When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:68:y:2009:i:8-9:p:2193-2197. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Shamier, Wendy)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.