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Buchanan and public finance: The tennessee years

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  • Alain Marciano

    (MRE - Montpellier Recherche en Economie - UM - Université de Montpellier, UM - Université de Montpellier, MRE - Montpellier Recherche en Economie - UM - Université de Montpellier)

Abstract

James Buchanan's views on public finance have already been analyzed and they are quite well known, as are their origins and roots. However, nothing has ever been said about why Buchanan chose public finance in the first place. The first goal of this paper is to show that Buchanan had made this choice before arriving at Chicago. We show how Carlton C. Sims and Charles P. White influenced him. We also show, by analyzing Buchanan's M.A. thesis, that he was not only interested in public finance but was also primarily concerned by ethical questions and defended a bureaucratic centralized solution to solve the problem he was discussing – how to share the benefits collected from a gasoline tax among Counties. This helps to understand that Buchanan did not choose to study public finance to learn how to fight government intervention. Quite the contrary: it was to legitimate it. Second, In addition, we also demonstrate that a lot of the ideas that will matter for Buchanan in his career – the importance of ethics and the principle of an equal treatment for equals, the need to link taxes to benefits, the importance to adapt the scale of provision of a public good to the type of public good – were already present in this first work.

Suggested Citation

  • Alain Marciano, 2019. "Buchanan and public finance: The tennessee years," Post-Print hal-01821887, HAL.
    • Handle: RePEc:hal:journl:hal-01821887
    DOI: 10.1007/s11138-018-0419-2
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    References listed on IDEAS

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    Cited by:

    1. Alain Marciano, 2018. "From Highway to Clubs: Buchanan and the Pricing of Public Goods," Post-Print hal-02550420, HAL.
    2. Gustavo Nunes Mourão & Eduardo Angeli, 2022. "A classification of the methodology of James M. Buchanan from a multidisciplinary perspective," Constitutional Political Economy, Springer, vol. 33(4), pages 413-432, December.
    3. Kuehn, Daniel, 2021. "James Buchanan, Gordon Tullock, and the “Radically Irresponsible” One Person, One Vote Decisions," OSF Preprints zetq4, Center for Open Science.

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    More about this item

    Keywords

    Taxation; Gasoline Tax; Equity; Public Finance; Tennessee; History of Political Economy; Buchanan;
    All these keywords.

    JEL classification:

    • B22 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Macroeconomics
    • B25 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Historical; Institutional; Evolutionary; Austrian; Stockholm School
    • B31 - Schools of Economic Thought and Methodology - - History of Economic Thought: Individuals - - - Individuals

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