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Lachmann practiced humanomics, beyond the dogma of behaviorism

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Deirdre Nansen McCloskey
Deirdre Nansen McCloskey
Deirdre Nansen McCloskey
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Abstract

Ludwig Lachmann knew that economists walked on both feet, the quantitative, positivistic one and the qualitative, humanistic one. He was practicing “humanomics” before the word. Decisions about categories are humanistic, as in philosophy, theology, literary study, mathematics (prime number/not), physics (proton/neutron), and economics (monopoly/competition). Then the field measures, if it gets to it. Lachmann understood, for example, that there is a vital distinction between mere reaction to price stimulus (thus De Gustibus) and true, free human action. For example, he was properly hostile to the Northian/Samuelsonian account of institutions as mere rules of the game. And he would have approved of an account of the Great Enrichment 1800 to the present that features language and persuasion and human creativity.
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Lachmann practiced humanomics,
beyond the dogma of behaviorism
Deirdre Nansen McCloskey
1
Published online: 27 December 2017
#Springer Science+Business Media, LLC, part of Springer Nature 2017
Abstract Ludwig Lachmann knew that economists walked on both feet, the quantita-
tive, positivistic one and the qualitative, humanistic one. He was practicing
“humanomics”before the word. Decisions about categories are humanistic, as in
philosophy, theology, literary study, mathematics (prime number/not), physics (pro-
ton/neutron), and economics (monopoly/competition). Then the field measures, if it
gets to it. Lachmann understood, for example, that there is a vital distinction between
mere reaction to price stimulus (thus De Gustibus) and true, free human action. For
example, he was properly hostile to the Northian/Samuelsonian account of institutions
as mere rules of the game. And he would have approved of an account of the Great
Enrichment 1800 to the present that features language and persuasion and human
creativity.
Keywords Lachmann .Austrian economics .Humanomics .Positivism .Economic
growth .Great enrichment
JEL classification B31 .B41 .B53 .B25 .A12
“Humanomics,”a recent coinage by the humanist and experimental economist Bart
Wilson, suggests that economists might better walk on both feet. Yes, to be sure: let us
also walk on the behaviorist, positivist, quantitative foot thrust forward so dogmatically
since the 1930s by Robbins, Samuelson, Friedman, Lipsey, Jensen, Becker, and Stigler.
But then let us walk also on the other cognitive, hermeneutic, qualitative foot recom-
mended since the 1770s for getting somewhere meaningful at speed by Smith, Mill,
Mises, Schumpeter, Keynes, Knight, Hayek, Boulding, Shackle, Hirschman,
Rev Austrian Econ (2019) 32:47–61
https://doi.org/10.1007/s11138-017-0404-1
*Deirdre Nansen McCloskey
deirdre2@uic.edu
1
University of Illinois at Chicago, 720 South Dearborn Street, Unit 206, Chicago, IL 60605, USA
Content courtesy of Springer Nature, terms of use apply. Rights reserved.
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