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An inquiry into some fundamental principles of economic theory
In this standard work, now in its second edition, the author seeks
to apply a new method of analysis to some of the more disputed
questions in economics. In the first place, he constructs a general
theory of the working of interrelated markets, based uporr the
General Equilibrium theories of Walras and Pareto, but itself a
further development of these theories. The results of this are
then applied to problems of Capital and Interest, of Money, and
of Employment.
Some matters on which new light has been thrown are, the
logical basis of economic laws, Consumer's Surplus, the meaning
of Equilibrium, of Income, of Saving and Investments, the
determination of the system of interest rates, the period of
production, wage-rigidity, the process of capital accumulation.
This book proceeds, in a single chain of argument, from the
foundations of value theory to the causes of the trade cycle.
'In this book Prof. Hicks has essayed two tasks of major importance;
to reduce modern economic analysis to a manageable whole; and to
construct a system of Economic Dynamics... This is one of the
few books which mark a stage in the advance of a science.'
Economist
'Everything Prof. Hicks writes bears the hallmark of quality, and
connoisseurs will pick up his new book on Value and Capital
expecting the authentic, desiccated thrill which can be got only
from the contemplation of abstract reasoning. They will not be
disappointed.' New Statesman
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