Economics (textbook)
Encyclopedia
Economics is an influential introductory textbook by American economists Paul Samuelson
and William Nordhaus
. It was first published in 1948, and has appeared in nineteen different editions, the most recent in 2010. It was the best selling economics
textbook for many decades and still remains popular, selling over 300,000 copies of each edition from 1961 through 1976. The book has been translated into forty-one languages and in total has sold over four million copies.
Economics was written entirely by Samuelson until the 1985 twelfth edition. Newer editions have been revised by Nordhaus.
Economics coined the term "neoclassical synthesis
" and popularized the concept, bringing a mix of neoclassical economics
and Keynesian economics
and helping make this the leading school in mainstream economics
in the United States and globally in the second half of the 20th century.
It popularized the term paradox of thrift
, and attributed the concept to Keynes, though Keynes himself attributed it to earlier authors, and forms of the concept date to antiquity.
The 1958 text introduced a "family tree of economics", which by the 20th century consisted of only two groupings, "socialism," listing Marx and Lenin, and the "neo-classical synthesis," listing Marshall
and Keynes. This paralleled the then-extant Cold War
economies of Soviet communism
and American capitalism
. This advanced a simplified view of the vying schools of economic thought, subsuming schools which considered themselves distinct, and today many within and without economics equal "economics" with "neo-classical economics", following Samuelson.
Later editions provided expanded coverage of other schools, such as the Austrian school
, Institutionalism
, and Marxian economics
.
. Like Tarshis's work, Economics was attacked by American conservatives (as part of the Second Red Scare, or McCarthyism
), universities that adopted it were subject to "conservative business pressuring", and Samuelson was accused of Communism
, but in the event Economics proved successful and remained widely adopted. The success of Samuelson's text, compared with Tarshis's, which was subject to more "virulen[t]" attacks, is attributed to various factors, notably Samuelson's dispassionate, scientific style, in contrast to Tarshis's more engaged style, and subsequent texts have followed Samuelson's style.
Accusations by conservatives of communist sympathies in Economics have continued into the 1980s.
Paul Samuelson
Paul Anthony Samuelson was an American economist, and the first American to win the Nobel Memorial Prize in Economic Sciences. The Swedish Royal Academies stated, when awarding the prize, that he "has done more than any other contemporary economist to raise the level of scientific analysis in...
and William Nordhaus
William Nordhaus
William Dawbney "Bill" Nordhaus is the Sterling Professor of Economics at Yale University. Nordhaus lives in New Haven, Connecticut, with his wife Barbara.-Career:...
. It was first published in 1948, and has appeared in nineteen different editions, the most recent in 2010. It was the best selling economics
Economics
Economics is the social science that analyzes the production, distribution, and consumption of goods and services. The term economics comes from the Ancient Greek from + , hence "rules of the house"...
textbook for many decades and still remains popular, selling over 300,000 copies of each edition from 1961 through 1976. The book has been translated into forty-one languages and in total has sold over four million copies.
Economics was written entirely by Samuelson until the 1985 twelfth edition. Newer editions have been revised by Nordhaus.
Influence
Samuelson hoped for and claimed broad influence for his text, stating, "I don't care who writes a nation's laws—or crafts its advanced treaties—if I can write its economics textbooks." Economics has been called a "canonical textbook", and the development of mainstream economic thought has been traced by comparing the fourteen editions under Samuelson's editing.Economics coined the term "neoclassical synthesis
Neoclassical synthesis
Neoclassical synthesis is a postwar academic movement in economics that attempts to absorb the macroeconomic thought of John Maynard Keynes into the thought of neoclassical economics...
" and popularized the concept, bringing a mix of neoclassical economics
Neoclassical economics
Neoclassical economics is a term variously used for approaches to economics focusing on the determination of prices, outputs, and income distributions in markets through supply and demand, often mediated through a hypothesized maximization of utility by income-constrained individuals and of profits...
and Keynesian economics
Keynesian economics
Keynesian economics is a school of macroeconomic thought based on the ideas of 20th-century English economist John Maynard Keynes.Keynesian economics argues that private sector decisions sometimes lead to inefficient macroeconomic outcomes and, therefore, advocates active policy responses by the...
and helping make this the leading school in mainstream economics
Mainstream economics
Mainstream economics is a loose term used to refer to widely-accepted economics as taught in prominent universities and in contrast to heterodox economics...
in the United States and globally in the second half of the 20th century.
It popularized the term paradox of thrift
Paradox of thrift
The paradox of thrift is a paradox of economics, popularized by John Maynard Keynes, though it had been stated as early as 1714 in The Fable of the Bees, and similar sentiments date to antiquity...
, and attributed the concept to Keynes, though Keynes himself attributed it to earlier authors, and forms of the concept date to antiquity.
The 1958 text introduced a "family tree of economics", which by the 20th century consisted of only two groupings, "socialism," listing Marx and Lenin, and the "neo-classical synthesis," listing Marshall
Alfred Marshall
Alfred Marshall was an Englishman and one of the most influential economists of his time. His book, Principles of Economics , was the dominant economic textbook in England for many years...
and Keynes. This paralleled the then-extant Cold War
Cold War
The Cold War was the continuing state from roughly 1946 to 1991 of political conflict, military tension, proxy wars, and economic competition between the Communist World—primarily the Soviet Union and its satellite states and allies—and the powers of the Western world, primarily the United States...
economies of Soviet communism
Communism
Communism is a social, political and economic ideology that aims at the establishment of a classless, moneyless, revolutionary and stateless socialist society structured upon common ownership of the means of production...
and American capitalism
Capitalism
Capitalism is an economic system that became dominant in the Western world following the demise of feudalism. There is no consensus on the precise definition nor on how the term should be used as a historical category...
. This advanced a simplified view of the vying schools of economic thought, subsuming schools which considered themselves distinct, and today many within and without economics equal "economics" with "neo-classical economics", following Samuelson.
Later editions provided expanded coverage of other schools, such as the Austrian school
Austrian School
The Austrian School of economics is a heterodox school of economic thought. It advocates methodological individualism in interpreting economic developments , the theory that money is non-neutral, the theory that the capital structure of economies consists of heterogeneous goods that have...
, Institutionalism
Institutionalism
Institutionalism can refer to:* Old Institutionalism: An approach to the study of politics that focuses on formal institutions of government* New institutionalism: a social theory that focuses on developing a sociological view of institutions, the way they interact and the effects of institutions...
, and Marxian economics
Marxian economics
Marxian economics refers to economic theories on the functioning of capitalism based on the works of Karl Marx. Adherents of Marxian economics, particularly in academia, distinguish it from Marxism as a political ideology and sociological theory, arguing that Marx's approach to understanding the...
.
Initial reception
Economics was the second Keynesian textbook in the United States, following the 1947 The Elements of Economics, by Lorie TarshisLorie Tarshis
Lorie Tarshis was a Canadian economist who taught mostly at Stanford University. He is credited with writing the first introductory textbook that brought Keynesian thinking into American university classrooms, the 1947 The Elements of Economics. The work swiftly lost popularity after it was...
. Like Tarshis's work, Economics was attacked by American conservatives (as part of the Second Red Scare, or McCarthyism
McCarthyism
McCarthyism is the practice of making accusations of disloyalty, subversion, or treason without proper regard for evidence. The term has its origins in the period in the United States known as the Second Red Scare, lasting roughly from the late 1940s to the late 1950s and characterized by...
), universities that adopted it were subject to "conservative business pressuring", and Samuelson was accused of Communism
Communism
Communism is a social, political and economic ideology that aims at the establishment of a classless, moneyless, revolutionary and stateless socialist society structured upon common ownership of the means of production...
, but in the event Economics proved successful and remained widely adopted. The success of Samuelson's text, compared with Tarshis's, which was subject to more "virulen[t]" attacks, is attributed to various factors, notably Samuelson's dispassionate, scientific style, in contrast to Tarshis's more engaged style, and subsequent texts have followed Samuelson's style.
Accusations by conservatives of communist sympathies in Economics have continued into the 1980s.
See also
- Principles of EconomicsPrinciples of Economics (Marshall)Principles of Economics was a leading political economy or economics textbook of Alfred Marshall , first published in 1890. It ran into many editions and was the standard text for generations of economics students.-Writing:...
, a similarly influential earlier textbook