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A Tale of Two Cities

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  • Perry Mehrling

Abstract

Once upon a time, macroeconomics was a field organized around money and the equation of exchange, as in Fisher 1911. Today, the field is organized instead around finance and the intertemporal Euler equation. This article tells the story of how we moved from then to now, a story that revolves around the key role played by Jacob Marschak and the rise of monetary Walrasianism.

Suggested Citation

  • Perry Mehrling, 2010. "A Tale of Two Cities," History of Political Economy, Duke University Press, vol. 42(2), pages 201-219, Summer.
    • Handle: RePEc:hop:hopeec:v:42:y:2010:i:2:p:201-219
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    Cited by:

    1. Philip Mirowski, 2011. "The Spontaneous Methodology of Orthodoxy, and Other Economists’ Afflictions in the Great Recession," Chapters, in: John B. Davis & D. Wade Hands (ed.), The Elgar Companion to Recent Economic Methodology, chapter 20, Edward Elgar Publishing.
    2. Robert W. Dimand & Harald Hagemann, 2019. "Macroeconomic Dynamics at the Cowles Commission from the 1930s to the 1950s," Cowles Foundation Discussion Papers 2196, Cowles Foundation for Research in Economics, Yale University.
    3. Akhabbar, Amanar, 2014. "Circulation du capital et explication du changement économique chez Marschak, Frisch et Leontief [Capital Circulation and the Explanation of Economic Change by Marschak, Frisch and Leontief]," MPRA Paper 93327, University Library of Munich, Germany.

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