Produced throughout the first fifteen years of Hayek's career, the writings collected in Capital and Interest see Hayek elaborate upon and extend his landmark lectures that were published as Prices and Production and work toward the technically sophisticated line of thought seen in his later Pure Theory of Capital. Illuminating the development of Hayek's detailed contributions to capital and interest theory, the collection also sheds light on how Hayek's work related to other influential economists of the time. Highlights include the 1936 article 'The Mythology of Capital' presented here alongside Frank Knight's criticisms of the Austrian theory of capital that prompted it - and 'The Maintenance of Capital', with subsequent comments by the English economist A. C. Pigou. These and other familiar works are accompanied by lesser-known articles and lectures, including a lecture on technological progress and excess capacity. An introduction by the book's editor, leading Hayek scholar Lawrence H. White, places Hayek's contributions in careful historical context, with ample footnotes and citations for further reading, making this a touchstone addition to the University of Chicago Press's Collected Works of F. A. Hayek series.
Table of Contents
1. Some Observations on the Imputation Problem (1926) 2. On the Problem of Interest Theory (1927) 3. Utility Analysis and Interest (1936) 4. Capital Consumption (1932) 5. Saving (1934) 6. On the Relationship between Investment and Output (1934) 7. Professor Hayek and the Theory of Investment by Frank H. Knight (1935) 8. The Mythology of Capital (1936) 9. Technical Progress and Excess Capacity (1936) 10. The Maintenance of Capital (1935) 11. Maintaining Capital Intact by A. C. Pigou (1941) 12. Maintaining Capital Intact: A Reply (1941)
F. A. Hayek (1899–1992), recipient of the Presidential Medal of Freedom in 1991 and cowinner of the Nobel Memorial Prize in Economics in 1974, was a pioneer in monetary theory and a leading proponent of classical liberalism in the twentieth century. He taught at the University of London, the University of Chicago, and the University of Freiburg.
Lawrence H. White is professor of economics at George Mason University.