Ludwig M. Lachmann, 1906-1990.

The German economist, Ludwig Lachmann, was a product of the 1930s L.S.E. - but an extreme product. Of the mixed
"Continental" fare that the LSE offered, Lachmann took the Austrian School paradigm and ran with it. Devoutly
dedicated to Menger's original vision of an entirely subjective
economics, Lachmann attempted to detach the Austrian paradigm from its Walrasian and Jevonian
companions. His early training at the hands of Werner Sombart
and his prediliction for Weber had a methodological effect: Austrian Theory, Lachmann concluded, was to be
characterized as a "genetic-causal" approach, a "verstende" view of
social science to be wrought against the mathematical-functional, equilibrium, perfect-
foresight approach of mainstream Neoclassical economics.
The "fundentalist Austrianism" of Lachmann was unique at the time - none of
the then living Austrian economists really acknowledged their work to be as different from
the mainstream as Lachmann claimed. But his work stressed all the points he thought
distinctive: subjectivism, expectations, uncertainty, the Hayekian
cycle, time-defined capital, methodological individualism, alternative cost and, above
all, "market process". Although Lachmann was effectively "exiled" from
economics while at Witwatersrand in South Africa, his work was highly influential upon the
later "American branch" of the Austrian
School. His work on capital theory (1956) resonates issues which were soon to be taken up
in the Cambridge Capital Controversy.
Major works of Ludwig M. Lachmann
- "Commodity Stocks and Equilibrium", 1936, RES.
- "Preiserwartungen und intertemporales gleichgewicht", 1937, ZfN.
- "Uncertainty and Liquidity Preference", 1937, Economica.
- "A Reconsideration of the Austrian Theory of
Industrial Fluctuations", 1940, Economica.
- "On the Measurement of Capital", 1941, Economica.
- "The Role of Expectations in Economics as a Social Science", 1943, Economica
- "A Note on the Elasticity of Expectations", 1945, Economica.
- "Complementarity and Substitution in the Theory of Capital", 1947, Economica.
- "Investment Repercussions", 1948, QJE.
- "Economics as a Social Science", 1950, South African JE.
- "The Science of Human Action: Review of Mises", 1951, Economica.
- "Some Notes on Economic Thought, 1933-1953", 1954, South African JE.
- Capital and Its Structure, 1956.
- "The Market Economy and the Distribution of Wealth", 1956, in Sennholz,
editor, On Freedom and Free Enterprise.
- "Mrs. Robinson on the Accumulation of Capital",
1958, South African JE.
- "Professor Shackle on the Economic Significance of
Time", 1959, Metroeconomica.
- "Cultivated Growth and the Market Economy", 1963, South African JE.
- "The Significance of the Austrian School of
Economics in the History of Ideas", 1966, ZfN.
- "Sir John Hicks on Capital and Growth", 1966, South
African JE.
- "Model Constructions and the Market Economy", 1966, Ordo.
- "Causes and Consequences of the Inflation in Our Time", 1967, South African
JE.
- "Methodological Individualism and the Market Economy", 1969, in Streissler et
al, editors, Roads to Freedom.
- "Ludwig von Mises and the Market Process", 1971, in
Hayek, editor, Toward Liberty.
- The Legacy of Max Weber, 1971.
- "Sir John Hicks as a Neo-Austrian", 1973, South
African JE.
- Macro-economic Thinking and the Market Economy, 1973.
- "On the Central Concept of Austrian
Economics: Market Process", 1976, in Dolan, editor, The Foundations of Modern
Austrian Economics.
- "On Austrian Capital Theory", 1976, in
Dolan, editor, The Foundations of Modern Austrian Economics.
- "Austrian Economics in the Age of the Neo-Ricardian Counterrevolution", 1976, in Dolan,
editor, The Foundations of Modern Austrian Economics.
- "From Mises to Shackle",
1976, JEL.
- Capital, Expectations and the Market Process, 1977.
- "The Salvage of Ideas : problems of the revival of Austrian economic thought",
1982, Zeitschrift f・ die Gesammte Staatswissenschaft
- "Ludwig von Mises and the extension of subjectivism", 1982, in Kirzner,
editor, Method, process and Austrian economics
- "John Maynard Keynes : a view from an Austrian window", 1983, South African
JE.
- " The Monetary System of a Market Economy", 1986, South African JE
- The Market as an Economic Process, 1986.
- "Austrian economics under fire : the Hayek-Sraffa duel in retrospect", 1986,
in Grassl and Smith, editors, Austrian Economics
- "G.L.S Shackle's Place in the History of Subjectivist
Thought", 1990, in Frown, editor, Unknowledge and Choice in Economics
- "Austrian economics : a hermeneutic approach", 1990, in Lavoie, Economics
and Hermeneutics
- "Socialism and the Market: a theme of economic sociology viewed from a Weberian
perspective", 1992, South African JE.
Resources on Ludwig Lachmann
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