Sir Roy Harrod
The Railway Club. (Left to right) Back: Henry Yorke, Roy Harrod, Henry Weymouth, David Plunket Greene, Harry Stavordale, Brian Howard. Middle row: Michael Rosse, John Sutro, Hugh Lygon, Harold Acton, Bryan Guinness, Patrick Balfour, Mark Ogilvie-Grant, Johnny Drury-Lowe. Front: porters
|Born||13 February 1900|
|Died||8 March 1978 78) (aged|
|Alma mater||New College, Oxford, King's College, Cambridge|
|Influences||John Maynard Keynes, John A. Hobson|
Sir Henry Roy Forbes Harrod (13 February 1900 – 8 March 1978) was an English economist. He is best known for writing The Life of John Maynard Keynes (1951) and for the development of the Harrod–Domar model, which he and Evsey Domar developed independently. He is also known for his International Economics, a former standard textbook, the first edition of which contained some observations and ruminations (wanting in subsequent editions) that would foreshadow theories developed independently by later scholars (such as the Balassa–Samuelson effect).
An economist is a practitioner in the social science discipline of economics.
The Life of John Maynard Keynes is a non-fiction work by Roy Harrod, about the life of John Maynard Keynes. It was first published in 1951. A paperback edition was published in 1983. The paperback edition of Harrod’s authorized biography of Keynes runs 708 pages. According to the preface of the book, Harrod was solicited by Keynes’s younger brother, the scholar Geoffrey Keynes, to write the biography and thus had full access to Keynes' personal papers and his family. Harrod’s biography does not include any unflattering or controversial aspects of Keynes' life.
The Harrod–Domar model is a classical Keynesian model of economic growth. It is used in development economics to explain an economy's growth rate in terms of the level of saving and productivity of capital. It suggests that there is no natural reason for an economy to have balanced growth. The model was developed independently by Roy F. Harrod in 1939, and Evsey Domar in 1946, although a similar model had been proposed by Gustav Cassel in 1924. The Harrod–Domar model was the precursor to the exogenous growth model.
Born in Londonhe attended St Paul's and then Westminster School. Harrod attended New College in Oxford on a history scholarship. After a brief period in the Artillery in 1918 he gained a first in "literae humaniores" in 1921, and a first in modern history the following year. Afterwards he spent some time in 1922 at King's College, Cambridge. It was there that he met and befriended Keynes.
New College is one of the constituent colleges of the University of Oxford in the United Kingdom. Founded in 1379 by William of Wykeham, the full name of the college is St Mary's College of Winchester in Oxford. The name "New College", however, soon came to be used following its completion in 1386 to distinguish it from the older existing college of St. Mary, now known as Oriel College.
The University of Oxford is a collegiate research university in Oxford, England. There is evidence of teaching as early as 1096, making it the oldest university in the English-speaking world and the world's second-oldest university in continuous operation after the University of Bologna. It grew rapidly from 1167 when Henry II banned English students from attending the University of Paris. After disputes between students and Oxford townsfolk in 1209, some academics fled north-east to Cambridge where they established what became the University of Cambridge. The two 'ancient universities' are frequently jointly called 'Oxbridge'. The history and influence of the University of Oxford has made it one of the most prestigious universities in the world.
King's College is a constituent college of the University of Cambridge in Cambridge, England. Formally The King's College of Our Lady and Saint Nicholas in Cambridge, the college lies beside the River Cam and faces out onto King's Parade in the centre of the city.
After moving back to Oxford, he became a Student (i.e., Fellow) and Tutor in economics at Christ Church. He held the fellowship in modern history and economics until 1967. He remained in contact with Keynes until Keynes's death in 1946, and was later his biographer (1951). Harrod was additionally a Fellow at Nuffield College 1938 to 1947 and from 1954 to 1958.
A fellow is a member of an academy, learned society or group of learned people which works together in pursuing mutual knowledge or practice. There are many different kinds of fellowships which are awarded for different reasons in academia and industry. These often indicate a different level of scholarship.
Christ Church is a constituent college of the University of Oxford in England. Christ Church is a joint foundation of the college and the cathedral of the Oxford diocese, which serves as the college chapel and whose dean is ex officio the college head.
Nuffield College is one of the constituent colleges of the University of Oxford in England. It is a graduate college and specialises in the social sciences, particularly economics, politics and sociology. Nuffield is one of Oxford's newest colleges, having been founded in 1937, as well as one of the smallest, with around 75 postgraduate students and 60 academic fellows. It was also the first Oxford college to accept both men and women, having been coeducational since its foundation.
At Oxford Harrod was part of the Railway Club, which included: Henry Yorke, Roy Harrod, Henry Thynne, 6th Marquess of Bath, David Plunket Greene, Edward Henry Charles James Fox-Strangways, 7th Earl of Ilchester, Brian Howard, Michael Parsons, 6th Earl of Rosse, John Sutro, Hugh Lygon, Harold Acton, Bryan Guinness, 2nd Baron Moyne, Patrick Balfour, 3rd Baron Kinross, Mark Ogilvie-Grant, John Drury-Lowe.
Henry Frederick Thynne, 6th Marquess of Bath, JP, styled Lord Henry Thynne until 1916 and Viscount Weymouth between 1916 and 1946, was a British aristocrat, landowner, and Conservative Party politician.
David Plunket Greene, together with his brother Richard and sister Olivia, was part of the Bright Young Things who inspired the novel Vile Bodies to Evelyn Waugh, a family friend.
Edward Henry Charles James, 7th Earl of Ilchester, was a British peer and philanthropist. He also held the subsidiary titles and styles of Baron of Woodford Strangways of Dorset and Baron of Redlynch of Dorset.
During the Second World War, he was briefly in Winston Churchill's "S-branch" – a statistical section within the Admiralty.
Sir Winston Leonard Spencer-Churchill was a British politician, army officer, and writer. He was Prime Minister of the United Kingdom from 1940 to 1945, when he led Britain to victory in the Second World War, and again from 1951 to 1955. Churchill represented five constituencies during his career as a Member of Parliament (MP). Ideologically an economic liberal and imperialist, for most of his career he was a member of the Conservative Party, which he led from 1940 to 1955, but from 1904 to 1924 was a member of the Liberal Party.
At the 1945 General Election he stood as Liberal candidate for Huddersfield and finished third.
Huddersfield is a constituency represented in the House of Commons of the UK Parliament since 1983 by Barry Sheerman of the Labour Co-operative Party.
In 1966, Harrod, was the 2nd winner of the prestigious Bernhard-Harms-Preis.After retiring in 1967, he moved to Holt, Norfolk.
Interviewed for the book Authors take Sides on Vietnam, Harrod declared himself a supporter of the American military campaign in Indochina.
Assar Lindbeck, the former chairman of the Nobel Prize Committee, wrote that Harrod would have been awarded a Nobel Memorial Prize in Economic Sciences if he had lived longer.
Harrod married Wilhelmine "Billa" Cresswell (1911–2005), step-daughter of General Sir Peter Strickland, in 1938.One of their sons was Dominick Harrod, an economics correspondent for the BBC.
After the death of his Cambridge friend and colleague, the economist John Maynard Keynes, in 1946, Harrod and Austin Robinson wrote a lengthy obituary of Keynes for The Economic Journal.At the encouragement of Geoffrey Keynes, Harrod then undertook the task of writing a major biography of Keynes. The Life of John Maynard Keynes was published to widespread acclaim in 1951, at a time when most of Keynes's family and friends were still alive.
With the post-war influence of so-called Keynesian economics and then challenges to it, cultural interest in the Bloomsbury Group, and the publication of thirty volumes of The Collected Writings of John Maynard Keynes in the 1970s and 1980s,high interest in Keynes's life led to further biographies, most prominently by Robert Skidelsky and Donald Moggridge, and to detailed studies such as by Donald Markwell on Keynes and international relations. These works have corrected and added details to the Keynes depicted by Harrod, and Skidelsky in particular has contrasted his account of Keynes with what he has depicted as Harrod's hagiography.
Although Harrod is also typically remembered for his contributions to growth theory with his Harrod-Domar growth model some argue that he was the first Post-Keynesian economist to provide a detailed institutional exposition of the theory of endogenous money. In his book Money he provides a detailed institutional discussion of how the contemporary monetary system operates. He highlights, among other things: that loans create deposits; that central banks attempt to control the level of economic activity through the influence they exert on interest rates; and that central banks automatically extend funds when government borrowing puts upward pressure on interest rates. This last point discredits the mainstream views on crowding out and makes Harrod an early progenitor of the Modern Monetary Theory school of economics.
Keynesian economics are various macroeconomic theories about how in the short run – and especially during recessions – economic output is strongly influenced by aggregate demand. In the Keynesian view, aggregate demand does not necessarily equal the productive capacity of the economy; instead, it is influenced by a host of factors and sometimes behaves erratically, affecting production, employment, and inflation.
John Maynard Keynes, 1st Baron Keynes, was a British economist, whose ideas fundamentally changed the theory and practice of macroeconomics and the economic policies of governments. Originally trained in mathematics, he built on and greatly refined earlier work on the causes of business cycles, and was one of the most influential economists of the 20th century. Widely considered the founder of modern macroeconomics, his ideas are the basis for the school of thought known as Keynesian economics, and its various offshoots.
Post-Keynesian economics is a school of economic thought with its origins in The General Theory of John Maynard Keynes, with subsequent development influenced to a large degree by Michał Kalecki, Joan Robinson, Nicholas Kaldor, Sidney Weintraub, Paul Davidson, Piero Sraffa and Jan Kregel. Historian Robert Skidelsky argues that the post-Keynesian school has remained closest to the spirit of Keynes' original work. It is a heterodox approach to economics.
Nicholas Kaldor, Baron Kaldor, born Káldor Miklós, was a Cambridge economist in the post-war period. He developed the "compensation" criteria called Kaldor–Hicks efficiency for welfare comparisons (1939), derived the cobweb model, and argued for certain regularities observable in economic growth, which are called Kaldor's growth laws. Kaldor worked alongside Gunnar Myrdal to develop the key concept Circular Cumulative Causation, a multicausal approach where the core variables and their linkages are delineated. Both Myrdal and Kaldor examine circular relationships, where the interdependencies between factors are relatively strong, and where variables interlink in the determination of major processes. Gunnar Myrdal got the concept from Knut Wicksell and developed it alongside Nicholas Kaldor when they worked together at the United Nations Economic Commission for Europe. Myrdal concentrated on the social provisioning aspect of development, while Kaldor concentrated on demand-supply relationships to the manufacturing sector. Kaldor also coined the term "convenience yield" related to commodity markets and the so-called theory of storage, which was initially developed by Holbrook Working.
Sir John Richard Hicks was a British economist. He was considered one of the most important and influential economists of the twentieth century. The most familiar of his many contributions in the field of economics were his statement of consumer demand theory in microeconomics, and the IS/LM model (1937), which summarised a Keynesian view of macroeconomics. His book Value and Capital (1939) significantly extended general-equilibrium and value theory. The compensated demand function is named the Hicksian demand function in memory of him.
Arthur Cecil Pigou was an English economist. As a teacher and builder of the School of Economics at the University of Cambridge, he trained and influenced many Cambridge economists who went on to take chairs of economics around the world. His work covered various fields of economics, particularly welfare economics, but also included Business cycle theory, unemployment, public finance, index numbers, and measurement of national output. His reputation was affected adversely by influential economic writers who used his work as the basis on which to define their own opposing views. He reluctantly served on several public committees, including the Cunliffe Committee and the 1919 Royal Commission on Income tax.
The General Theory of Employment, Interest and Money of 1936 is the last and most important book by the English economist John Maynard Keynes. It created a profound shift in economic thought, giving macroeconomics a central place in economic theory and contributing much of its terminology – the "Keynesian Revolution". It had equally powerful consequences in economic policy, being interpreted as providing theoretical support for government spending in general, and for budgetary deficits, monetary intervention and counter-cyclical policies in particular. It is pervaded with an air of mistrust for the rationality of free-market decision making.
Robert Jacob Alexander, Baron Skidelsky, FBA is a British economic historian. He is the author of a three-volume award-winning biography of British economist John Maynard Keynes (1883–1946). Skidelsky read history at Jesus College, Oxford and is Emeritus Professor of Political Economy at the University of Warwick, England.
Alvin Harvey Hansen, often referred to as "the American Keynes", was a professor of economics at Harvard, a widely read author on current economic issues, and an influential advisor to the government who helped create the Council of Economic Advisors and the Social Security system. He is best known for introducing Keynesian economics in the United States in the 1930s.
George Lennox Sharman Shackle was an English economist. He made a practical attempt to challenge classical rational choice theory and has been characterised as a "post-Keynesian", though he is influenced as well by Austrian economics. Much of his work is associated with the Dempster–Shafer theory of evidence.
Evsey David Domar was a Russian American economist, famous as co-author of the Harrod–Domar model.
Richard Ferdinand Kahn, Baron Kahn, CBE, FBA was a British economist.
Sidney Weintraub was an American economist, one of the most prominent American members of the Post Keynesian economics school. He was the co-founder and co-editor of The Journal of Post Keynesian Economics (1978). His views included criticism of monetarism and the neoclassical synthesis, and promotion of the tax-based incomes policy (TIP).
The Keynesian Revolution was a fundamental reworking of economic theory concerning the factors determining employment levels in the overall economy. The revolution was set against the then orthodox economic framework, namely neoclassical economics.
Macroeconomic theory has its origins in the study of business cycles and monetary theory. In general, early theorists believed monetary factors could not affect real factors such as real output. John Maynard Keynes attacked some of these "classical" theories and produced a general theory that described the whole economy in terms of aggregates rather than individual, microeconomic parts. Attempting to explain unemployment and recessions, he noticed the tendency for people and businesses to hoard cash and avoid investment during a recession. He argued that this invalidated the assumptions of classical economists who thought that markets always clear, leaving no surplus of goods and no willing labor left idle.
Athanasios "Tom" Asimakopulos was a Canadian economist, who was the "William Dow Professor of Political Economy" in the Department of Economics, McGill University, Montreal, Quebec, Canada. His monograph, Keynes's General Theory and Accumulation, reviews important areas of Keynes's General Theory and the theories of accumulation of two of his most distinguished followers, Roy Harrod and Joan Robinson.
Keynes: The Return of the Master is a 2009 book by economic historian Robert Skidelsky. The work discusses the economic theories and philosophy of John Maynard Keynes, and argues about their relevance to the world following the Financial crisis of 2007–2010. In contrast to the 30 years he needed to write his prize winning biography on Keynes, the author was able to write this 240 page book in only three months.
Geoffrey Colin Harcourt is an Australian academic economist who is a leading member of the post-Keynesian school. He studied at the University of Melbourne and then at King's College, Cambridge.
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The Cambridge capital controversy, sometimes called "the capital controversy" or "the two Cambridges debate", was a dispute between proponents of two differing theoretical and mathematical positions in economics that started in the 1950s and lasted well into the 1960s. The debate concerned the nature and role of capital goods and a critique of the neoclassical vision of aggregate production and distribution. The name arises from the location of the principals involved in the controversy: the debate was largely between economists such as Joan Robinson and Piero Sraffa at the University of Cambridge in England and economists such as Paul Samuelson and Robert Solow at the Massachusetts Institute of Technology, in Cambridge, Massachusetts.