Does Friendship Stem from Altruism? Adam Smith and the Distinction between Love-based and Interest-based Preferences

Forthcoming in "Journal of the history of economic thought" in 2003 or 2004 Abstract: Friendship-and-love expresses musings about wellbeing—while “wellbeing” is the economist’s substantive satisfaction. Insofar as altruism is about wellbeing, it must differ from friendship-and-love. However, what is the basis of the difference between substantive satisfaction and friendship-and-love? The answer can be found in Smith’s Theory of Moral Sentiments, chapter 2: how “mutual sympathy” differs from “sympathy.” Smith scholars generally miss the uniqueness of “mutual sympathy” and, indeed, fold it under Smith’s “sympathy” (and “empathy”)—with one exception. Robert Sugden highlights the uniqueness of mutual sympathy. However, he goes to the other end, i.e., folds it under Smith’s sympathy-and-empathy”. This paper aims to avoid the folding in either direction. While mutual sympathy originates love-based sociality (friendship-and-love), sympathy-and-empathy originates interest-based sociality (wellbeing that includes altruism). This paper concludes that friendship is neither reducible to altruism nor vice versa. Further, this paper distinguishes this problem from the question regarding the socialization of the individual.

Israel Kirzner’s Presence in the History of Economic Thought: A Review of His Professional Engagement in Honor of His 91 Years

This paper analyzes the presence of Israel Kirzner in the History of Economic Thought and focusing on his professional engagement with other economists. His academic trajectory is contextualized on three milestones of the recent history of the Austrian School. The first one is the ending of the socialist economic calculation debate, when the Austrian was considered unconvincing due to the economics’ shift to a general equilibrium model of the economy; in the aftermath of the debate, Kirzner entered at the New York University’s PhD program and was mentored by Ludwig von Mises. At this point, Kirzner started to develop his ideas on entrepreneurship and to aim an audience wider than his Austrian peers. The second is the Austrian Revival in the 1970s, in which the prestigious recovery stage of the Austrian School, thanks to Kirzner assuming a leadership role in the process. The third is in the 1980s, when a more consolidated Austrian School attempts to define itself, as Kirzner retains an Austrian vision founded on the synthesis between Mises and Hayek. It is concluded that Kirzner’s professional engagement was fundamental in the recovery of Austrian theory. He communicated Austrian ideas to a wider audience and synthetized Misesian and Hayekian proposals on the market process. These efforts allow us to recognize a Kirznerian view of the Austrian School, established with the traditional microeconomic theory, but including greater subjectivity on the interpretation of economic phenomena, becoming a more general, more realistic theory.

Joan Robinson on Environment and Ecology

The last works of Joan Robinson showed increasing preoccupation with ecological and environmental issues. Some of these preoccupations were already present in some of her main earlier works, but as she approached old age, the discussion of these questions became more frequent, as well as of other issues such as the arms race and the nuclear threat to the human race. However, Robinson had not dealt with ecological and environmental questions by means of a systematic approach. This article evaluates Robinson’s views on ecology and environment not only because this is a gap in the literature on her work, but mainly because some of Robinson’s insights on these questions are yet to be fully developed. Therefore, this article mixes the history of economic thought with political economy, Robinson’s perspectives being summarized and then analyzed in light of the ecological critique as established by Nicholas Georgescu-Roegen. The article shows that despite the fact that Robinson could have developed more profoundly the logical consequences of some of her core contributions to economic theory to a broader ecological critique, many of her theoretical perspectives overlap with Georgescu-Roegen’s ecological economics, being able to contribute to a heterodox critique of the neoclassical approach.

Book Reviews

Anna Soci of University of Bologna reviews “Histories of Global Inequality: New Perspectives” edited by Christian Olaf Christiansen and Steven L. B. Jensen. The Econlit abstract of this book begins: “Thirteen papers offer a historical approach to global inequalities that supplements the existing economic research literature, focusing on themes such as decolonization, international organizations, gender theory, discrimination and human rights, the history of measurement of inequality, and the history of economic thought.”