Studies in Austrian capital theory, investment and time (Q1090580)

This book offers a collection of papers, mainly by the editor and some of his pupils and close collaborators, on `modern' Austrian Capital Theory -- a variant of Böhm-Bawerkian analysis inaugurated by v. Stackelberg and, later, by Bernholz. The book opens with a valuable historical introduction and relates Austrian capital theory to Sraffa's theory and to the Austrian subjectivists' pure time preference theory of interest. The second and third part is devoted to further developments. General models deal with infinite time horizons; the third part with investment. Part four pursues a rather different theme: a game-dynamic theoretical approach to macroeconomic (one good economy) investment decisions under alternative market structures, with monopoly and perfect competition as limit cases. A last chapter deals with irreversability and discusses the treatment of time in economics, drawing on concepts by Prigogine. The work of the school presented in the book is impressive and analytically powerful. To be appreciated, its reading presupposes some familiarity with the basic tenets of Austrian Theory.