Comparing alleged incommensurables: Institutional and Austrian economics as rivals and possible complements?^∗

Institutional Economics: Surveying the ‘Old’ and the ‘New’

“…The work of Ronald Coase (1937Coase ( , 1960 is an important precursor in the areas of * For contributions to this debate see, for example, Boettke (1Y8Y), Dugger (1Y83), Field (1979), Hodgson (1988Hodgson ( , 1989, Langlois (1989), Leathers (1989Leathers ( , 1990, Mayhew (1989), Mirowski (1Y81), Rutherford (1989a, 198Yb), Samuels (198Yb), Vanberg (1989), Wynarczyk (1992). Several of these authors stress points of similarity between the 'old' institutionalism and other schools of thought, as well as key points of difference.…”

The Meaning of the Market: Comparing Austrian and Institutional Economics

“…The market theme constitutes of course one of the most discussed subjects, especially (not surprisingly) in an Austrian perspective. But if it is well known that the Austrian analysis of the market process represents (if we may paraphrase F.Hahn) a real 'base camp' for an alternative theory of the coordination of economic activities, a growing number of works are nowadays underlining the potential fruitful connections between Austrian and Institutional works on markets (O'Driscoll, Rizzo 1996) ) (Wynarczyk 1992).…”

“…The main target of this criticism is the rational and hedonistic character of the 'Austrian subjectivist economic man'. However, it is possible to demonstrate, considering the works of Perlman (1986), Boettke (1989) and Wynarczyk (1992), that the praxeologic approach not only dismissed the alleged rationality of the Benthamite calculus but also the hedonism which motivated it.…”

“…This project has been formulated byWynarczyk (1992).4 Jaffé (1976) has argued that Veblen's critique of the economic man fits Jevon's and Walras's…”

Austrian Economics: Tensions and New Directions

“…Also, contrary to the more adversarial viewpoints from both sides, Charles Leathers (1990) rightly takes the view that the theoretical positions of Hayek and Veblen are much closer than either Hayek or Langlois suggest. See also Wynarczyk (1992).…”