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Written before the impressive collapse of the socialist system in Eastern Europe, this book offers a quite objective and serious systematic analysis of the Marxian labor theory of value, Marx's main scientific legacy. After reconstructing the prototype' of this theory -- which is the theory as it was left by Marx himself in Capital -- the author proceeds to a careful and detailed analysis of its foundational problems, taking into account BAhm-Bawerk's important criticisms. After introducing advanced contemporary formal tools, the author proceeds to a thorough discussion of the dialectical method, just in order to tackle the foundational problems of the theory. He provides a formally precise and well motivated definition of abstract labor, and then proceeds to prove the existence of a measurement of abstract labor -- i.e. the existence of numerical labor-values. Using this result, the author provides rigorous axiomatic foundations for the theory of value and then proves the existence of a Marxian competitive equilibrium, which is tantamount to the proof of the possibility of reproduction for a capitalist economy. The author finishes the book by showing in detail how the problems of the prototype are solved, by reconstructing the Leontief model of the labor theory of value on the new logical bases. Written in a very clear style, in the language of contemporary philosophy of science, the book is of interest to philosophers of science and economists, applied logicians and all those interested in the scientific legacy of Karl Marx.
Economists have long grappled with the problem of how economic theories relate to empirical evidence: how can abstract mathematized theories be used to produce empirical claims? How are such theories applied to economic phenomena? What does it mean to "test" economic theories? This book introduces, explains, and develops a structural philosophy of economics which addresses these questions and provides a unifying philosophical/logical basis for a general methodology of economics. The book begins by introducing a rigorous view of the logical foundations and structure of scientific theories based upon the work of Alfred Tarski, Patrick Suppes, Karl Marx, and others. Using and combining their methods, the book then goes on to reconstruct important economic theories - including utility theory, game theory, Marxian economics, Sraffian economic theory, and econometrics - proving all the main theorems and discussing the key claims and the empirical applicability of each theory. Through these discussions, this book presents, in a systematic fashion, a general philosophy of economics grounded in the structural view. Offering rigorous formulations of important economic theories, A Structuralist Theory of Economics will be invaluable to all readers interested in the logic, philosophy, and methodology of economics. It will also appeal particularly to those interested in economic theory.
Economists have long grappled with the problem of how economic theories relate to empirical evidence: how can abstract mathematized theories be used to produce empirical claims? How are such theories applied to economic phenomena? What does it mean to "test" economic theories? This book introduces, explains, and develops a structural philosophy of economics which addresses these questions and provides a unifying philosophical/logical basis for a general methodology of economics. The book begins by introducing a rigorous view of the logical foundations and structure of scientific theories based upon the work of Alfred Tarski, Patrick Suppes, Karl Marx, and others. Using and combining their methods, the book then goes on to reconstruct important economic theories - including utility theory, game theory, Marxian economics, Sraffian economic theory, and econometrics - proving all the main theorems and discussing the key claims and the empirical applicability of each theory. Through these discussions, this book presents, in a systematic fashion, a general philosophy of economics grounded in the structural view. Offering rigorous formulations of important economic theories, A Structuralist Theory of Economics will be invaluable to all readers interested in the logic, philosophy, and methodology of economics. It will also appeal particularly to those interested in economic theory.
Mter the impressive collapseoftheSovietUnionand the Eastern European socialist countries, it is more pertinent than ever to recover the scientific legacy ofKarl Marx. This legacy is mainly (if not exclusively) constituted by his work in the field of eco- nomic theory. Marx's economic theory was intended by his au- thor as a scientific objective theory about the nature ofcapitalist economies, a theory that was going to serve as the foundation ofthe critique ofbourgeois political economy. His "laws" about the demise ofcapitalism, like the tendency ofthe profit rate to fall or the lawofthe cyclical crises, have been shown to hold un- der certain conditions but not in general. At any rate, it is likely that had not the industrialized countries changed the situation ofthe working class, and allowed some intervention ofthe State in the economy (especially after the Great Depression), capital- ism would have hardly survived, even though it is impossible to guess what kind of regime would have been instaurated in its place. The present book is concerned with the very foundations of Marx's economics, hence with the very foundations ofhis scien- tific legacy. I hope that after reading the book the reader will be convinced that Marx's scientific work was indeed serious and that this is the time to recover it as an important paradigm in INTRODUCTION 2 scientific research. I think that the reader will be convinced that Marx's economic theory is no less serious and mathematically tractable than, say, general equilibrium theory.
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