Beruflich Dokumente
Kultur Dokumente
2009
Methodenstreit
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Methodenstreit
Till Dppe
Methodenstreit (7.12.2009)
The Stakes
Birds eye view
Intellectual culture of economists between scientist and scholar
Science: From natural philosophy to natural sciences
Philosophy: from philosophy of mind to human sciences
Undecided until WWII
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Methodenstreit (7.12.2009)
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The Stakes
Disciplinary identity of economics
Austrians:
Historicists:
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The Stakes
Down to earth:
Method
Status of theory
Theory-history divide
Theory-statistics divide
Unit of analysis
Individual-society divide
Validity of judgments
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Methodenstreit (7.12.2009)
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The Stakes
Method or Politics?
No explicit political discussion
Menger equates holism with Prussian interventionism
Schmoller equates exact economics with Manchester-liberalism
Implicit connotations
if economic laws are historically contingent, institutional and
political design matters
if not, even revolutions cannot make a difference
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Gustav Schmoller
Emil Sax
Eugen von Bhm-Bawerk
Friedrich von Wieser
Heinrich Dietzel
Rudolf Eucken
K. Lamprecht
W. Hasbach
Friedrich Kleinwchter
Werner Sombart
Arthur Spiethoff
Mediation
Adolf Wagner
E. Von Phillipovich
B. Laum
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Order of Lecture
(1) The Context
(2) The Methods
Schmoller
Menger
(3) The Objections
Schmoller
Menger
(4) Assessment
The Winner is...
Open philosophical riddles
Open historical riddles
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Narrowly conceived
Old historicist: Roscher, Hildebrand, Knies
Younger historicists: Sombart, Spiethoff
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Professor in Berlin.
Member of the Prussian Academy of science
Historiograph for the History of Brandenburg
Member of the Prussian parliament (Staatsrat)
Member of the Prussian senate (Herrenhaus)
Kniglich Preuischer Wirklicher Geheimrat
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Schmoller:
Menger:
anti-theoretical
anti-empirical
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Schmoller:
Only laws based on empirical regularities of the development of
economic institutions
Theory emerges from description (statistic and history)
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Otherwise:
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(2) Assessment
Ontologically hybrid?
Individual: nothing but intentions
Social: no intentions at all
So, what is the nature of social phenomena?
Merely negative determination: If not intended, what?
only meaningful in opposition to those claiming intentional designs
no alternative explanation
Intellectual virtue: counter-intuitiveness vs. plausibility
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(2) Assessment
Opposition to Holism? Why?
But how foolish to simplify the science (...) by an inadmissible
fiction, to view a complex of economies as a large individual
economy. How foolish to do so, instead of examining the real
phenomena of human economy in their actual complication; i.e.
instead of reducing them to their factors of individual economy and
the striving for understanding them. (Menger 1884)
The same applies to Walras!
If the economy is not a closed system, how can price theory unify
its domain?
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(2) Assessment
Weak methodological dualism
both natural and social sciences are based on non-empirical
statements (non-falsifiable) but:
Individuals and efforts are of empirical nature as opposed to atoms
which are unknown. Social sciences have an advantage over the
natural sciences. (Menger 1883: 142)
Experience from inside (Dilthey)
Irony: later Austrian hermeneutical economists (Lachman, Lavoie)
referred to Dilthey as did Schmoller!
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(2) Assessment
The philosophers riddle
Where do a priori truths come from?
How to separate essences from the accidental
Retreat: partially empirical-realistic analysis
Self-interest is the most original and the most general force and
impulse of human nature:
The phenomena of private property, of barter, of money, of credit
are phenomena of human economy which have been manifesting
themselves repeatedly in the course of human development, to
some extent for millennia. They are typical phenomena (Menger,
in Hodgson 2001: 84)
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Schmoller
Menger
(3) The Objections
Schmoller
Menger
(4) Assessment
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(4) Assessment
(1) The Context
(2) The Methods
Schmoller
Menger
(3) The Objections
Schmoller
Menger
(4) Assessment
The Winner is
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Longterm: Menger
theory became dominant, history is out
But: Statistics? Realism? Ontological Individualism?
Menger won the battle, but not the war (Hodgson)
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(4) Agreement/Disagreement
Agreement on necessity of both history and theory!
Disagreement on
(i) the current stage of economics
(ii) the epistemic organization of political economy
Irony: Both accuse each other of being one-sided!
Both claim to cope with complexity!
Both claim the humanists flag!
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(4) Polemics
Menger
*polemics+ had to be forcible and sweeping, even at the risk of
hurting feelings in individual cases (Menger 1883: 31)
ad hominem: vulgar, sophist, misuse of scientific institutions
Schmoller
scholastische Denkbung, getrumte Robinsonaden,
weltflchtige stubengelehrte Naivit, Scheuklappen
wissenschaftlicher Arbeitsleistung, geistige Schwindsucht (1883:
166)
Polemics antagonized, and played down agreements
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