Papers by Ioannis Katselidis
RePEc: Research Papers in Economics, May 1, 2013
Although most of the marginalist economists' methodology was influenced by 19th century classical... more Although most of the marginalist economists' methodology was influenced by 19th century classical physics, the work of second generation marginalist Francis Ysidro Edgeworth represents the highest point of classical physics influence to the development of mainstream economic methodology. Edgeworth's close parallelism between celestial and social mechanics expressed in his analogies between utility and energy and the principle of utility maximization to maximum energy, are important indications of the physics scientific ideal for economics. Subsequent leading theorists were not as explicit, although economic theory continued to be influenced by physics scientific ideal as the work of Pareto, Fisher and Samuelson indicates. However, the physics methodological framework has made a recent reappearance in the relatively new field of econophysics. Although there are methodological similarities, there are also important differences between mainstream economics and econophysics. Econophysicists' emphasis to statistical mechanics rather to mechanical models, their reservations towards rational agent theory and their rejection of many standard assumptions of mainstream economics, are examples of such differences. This might also explain the resistance of mainstream economic theorists to incorporate econophysics into economics. The paper examines the above from a methodological viewpoint. It also discusses the possible reasons for this historical development and its implications for economic methodology.
Journal of Economic Methodology, Jan 2, 2015
Although most of the marginalist economists' methodology was influenced by 19th century classical... more Although most of the marginalist economists' methodology was influenced by 19th century classical physics, the work of second generation marginalist Francis Ysidro Edgeworth represents the highest point of classical physics influence to the development of mainstream economic methodology. Edgeworth's close parallelism between celestial and social mechanics expressed in his analogies between utility and energy and the principle of utility maximization to maximum energy, are important indications of the physics scientific ideal for economics. Subsequent leading theorists were not as explicit, although economic theory continued to be influenced by physics scientific ideal as the work of Pareto, Fisher and Samuelson indicates. However, the physics methodological framework has made a recent reappearance in the relatively new field of econophysics. Although there are methodological similarities, there are also important differences between mainstream economics and econophysics. Econophysicists' emphasis to statistical mechanics rather to mechanical models, their reservations towards rational agent theory and their rejection of many standard assumptions of mainstream economics, are examples of such differences. This might also explain the resistance of mainstream economic theorists to incorporate econophysics into economics. The paper examines the above from a methodological viewpoint. It also discusses the possible reasons for this historical development and its implications for economic methodology.
Journal of Economic Issues, Dec 1, 2011
This paper presents and evaluates Don Lescohier's contribution to labor economics, and specif... more This paper presents and evaluates Don Lescohier's contribution to labor economics, and specifically to labor market policy. Lescohier, a prominent member of the Wisconsin Institutional School, put the labor market in the center of his investigations and tried to examine many of the factors that determine its efficient functioning, differentiating his study from the labor studies that focused on the individual — mainly union — worker. His analysis was essentially influenced by the progressive political climate of his time, the heterodox thought of some "non-Marshallian" British economists like Beveridge, and the newly emergent field of personnel management. Lescohier ardently proposed the creation of a federal-state centralized system of employment offices, which would undertake the difficult task of organizing the American labor market after the end of World War I. His work constituted both an interesting and significant case study, and thus deserves a higher position in the history of labor economics.
International Journal of Social Economics, May 10, 2011
PurposeThis paper aims to analyze Emil Lederer's and Sumner Slichter's theses on the conc... more PurposeThis paper aims to analyze Emil Lederer's and Sumner Slichter's theses on the concept of technological unemployment.Design/methodology/approachGiven the presence of core elements of both economists' visions in the famous Debate on Technological Unemployment (1928‐1933), it is surprising that so little attention has been paid to their works. This paper makes an attempt to interpret certain parts of Emil Lederer's oeuvre in association with the writings of Sumner Slichter based on a careful examination of their writings and their theoretical investigations.FindingsThe writings of both economists seem to converge to similar views. Analytically, they both attempted to explain the inability of the economic system to readjust and absorb the unemployed workers. Moreover, both economists disputed the assertion of Say's law that full equilibrium would be assured by the functioning of market forces. In contrast to other economists, they both attached increased significance to the supply side of the economy and in particular to the role of technical change. Furthermore, it seems that both authors were in favor of restrained technological change, which would be absorbed smoothly from the economic system. Another interesting aspect of both economists' investigations is their respective theoretical shift around 1930, which could be attributed to the disastrous consequences of the Great Depression. The paper concludes that, despite some differences between Lederer and Slichter, the parallels are impressive.Originality/valueMost aspects of Slichter and Lederer's works remain unexplored. Thus, the connection between them may be very useful for promoting dialogue between different schools or strands of thought.
The American Journal of Economics and Sociology, Oct 18, 2013
ABSTRACT This article compares Schumpeter, Veblen, and Commons with regard to institutions settin... more ABSTRACT This article compares Schumpeter, Veblen, and Commons with regard to institutions setting up the paradigm of institutional evolutionary economics. Their theories are of a complex nature, and as such, it is very difficult to situate them in a clear-cut tradition. The main similarity is their opposition to the thesis that market economy is an independent and self-regulating system, in an attempt to integrate economic, sociological, and political perspectives with regard to the functioning of the system. Also, change per se is in contrast to the notion of equilibrium. Of course, despite the parallels, the existence of differences is undeniable.
Routledge eBooks, Jan 30, 2023
The significant role of institutional and non-market factors in the functioning of an economic sy... more The significant role of institutional and non-market factors in the functioning of an economic system was a core theme of the old institutional economists. They also criticised the narrow conception of economic welfare only in terms of efficiency and satisfaction of consumer interests. Instead, they focused on issues related to justice, human self-development and labourers' welfare. Their conception of the labour market functions is an indicative example of the uniqueness of their approach. In contrast to the standard approach, labour market functioning does not depend only on the price mechanism, but is also affected by other key factors and parameters such as the social norms, several psychological factors and various labour institutions. This chapter seeks to examine and highlight the contribution of the old institutional economics towards labour market functions and policies. After presenting the origins and method of the School, it briefly compares old Institutionalism and early Neoclassical economics focusing on labour market issues. It also discusses the old institutional approach with respect to the collective action and labour market policy. The chapter concludes with Ross-Dunlop debate on labour unions and the case of minimum wages policy in order to emphasize the relevance of early institutional ideas in analysing contemporary labour market issues.
History of Economic Thought and Policy, May 1, 2014
The modern labour market policy of flexicurity has been adopted as a leitmotiv of the European em... more The modern labour market policy of flexicurity has been adopted as a leitmotiv of the European employment strategy and the revised Lisbon Strategy for Growth and Jobs. This paper examines the two main influences behind the concept of flexicurity, namely the New Keynesian active labour market policies and the early ideas of William Beveridge. In particular, we contend that the flexicurity agenda originated from the New Keynesian employment policy agenda, which incorporates active measures for employment, aiming at both flexibility and security in the labour markets. These ideas and proposals can be traced back to William Beveridge’s work on labour market policy. Beveridge proposed a progressive and forward-looking labour policy, which combined flexibility and security together with active labour market measures, without disregarding the weaker labourers’ groups (e.g. casual workers). Thus, the paper shows that his policy proposition resembles the modern policy concept of flexicurity in such a degree that we can characterize Beveridge as the precursor of the flexicurity phenomenon.
International Journal of Social Economics, Nov 11, 2020
PurposeThe main goal of this paper is to provide us with a more systematic framework for examinin... more PurposeThe main goal of this paper is to provide us with a more systematic framework for examining the moral background of markets.Design/methodology/approachThe paper makes an attempt to put forward a way of market evaluation relying upon the three major moral theories of utilitarianism, deontology (Kantianism) and virtue ethics. Specifically, by using these three basic pillars, an “evaluation triangle” is constructed in order to examine various crucial moral aspects of markets' functioning.FindingsThe paper examines some significant distortions with respect to the three above-mentioned triangle's sides, using also examples from the real world. The paper also discusses the main findings from the previous analysis, stressing also emphasis on some crucial factors with respect to the triangle's functioning, such as the role of culture and time.Originality/valueMainstream economic theory, with a very few exceptions, does not acknowledge the interwovenness of economic behavior and morality, adopting the fact/value dichotomy underlying modern science. Accordingly, most economists usually avoid answering questions concerning ethical topics. The market system, however, has a direct effect on our everyday lives, so it is crucial that a systematic method of moral assessment can be proposed. Thus, this paper seeks to promote the dialogue with respect to the interconnection between economic and moral issues.
History of Economic Thought and Policy, 2012
The introduction of new technology may have significant effects on the level of employment and th... more The introduction of new technology may have significant effects on the level of employment and the real wage rate; effects that have received considerable attention even from the economic thinkers of the classical period. This paper aims to analyze and evaluate the various views and arguments of early classical and neoclassical economists concerning the technological effects on wages and employment. On the one hand, the economists of the early decades of the 19th century (mainly between 1800 and 1840) had recognized and analyzed many of the effects of technology on labourers' welfare. On the other hand, early neoclassical theorists of the period between 1890 and 1935 tried to expand on the classical views and to develop their own theoretical arguments, based on new perceptions like the marginal productivity theory. The main conclusion drawn is that most of early classical and neoclassical economists recognized and specified the temporary adverse effects of new technology on labour (e.g. short-run unemployment), but, at the same time, they argued for the beneficial long-run consequences of technological progress on labourers' welfare.
RePEc: Research Papers in Economics, 2010
Sumner Slichter was "perhaps the most influential industrial economist in America", while Emil Le... more Sumner Slichter was "perhaps the most influential industrial economist in America", while Emil Lederer was "the leading academic socialist of Germany in the 1920's". However, most aspects of their works remain unexplored. This paper analyzes Lederer's and Slichter's central theses. Given the presence of main elements of both economists' visions in the famous Debate on Technological Unemployment which took place in the U.S.A. (1928-1933), it is surprising that so little attention has been paid to their works. After a careful examination of their writings, their theoretical investigations in a great number of thematic areas seem to converge. Analytically, both economists, attempted to explain the apparent inability of the economic system to readjust and absorb the unemployed workers. Also, both economists disputed the assertion of Say's law that full equilibrium would be assured by the functioning of market forces. They both emphasised on the role of technical change. Another interesting aspect of both economists' investigations is their respective theoretical shift around 1930 which could be related to the disastrous consequences of the Great Depression. The paper concludes that, despite some obvious differences between Lederer and Slichter, the parallels are undeniable. * The authors are indebted to Elisabeth Allgoewer and Claude Diebolt for kindly providing useful material.
MPRA Paper, 2017
Psychological ideas had always played a role on the formation of economic thought as can be seen ... more Psychological ideas had always played a role on the formation of economic thought as can be seen in the works of many influential pre-classical and classical authors. Up to the beginning of the 20 th century, there was almost no methodological objection regarding the incorporation of ideas from psychology into economic theories. After this period, a fundamental shift in mainstream economics took place which is also known as the Paretian turn. This conceptual change, initiated mainly by Vilfredo Pareto and completed with the emergence of the theories of choice in the first decades of the 20th century, attempted to expel all psychological notions from economic theory. However, in the last three decades, the increasing appeal of subjective well-being research and especially of the new behavioral economics, re-brought the topic onto the surface. In order to better comprehend and to contribute to the recent discussion concerning the relationship between the two disciplines, the study of relevant views found in history of economic thought is necessary. The paper starts with a brief sketch of the history of the relationship between economics and psychology, focusing also to the recent literature which points to a reconsideration of this relationship. After an examination of psychological ideas found in influential pre-marginalist writers, the paper discusses the arguments supporting the case for the interaction between the two fields. It also suggests that the work of Richard Jennings can be seen as the peak of the early interaction between economics and psychology. Finally, it considers the relevance of these arguments for the current debate concerning the relationship between economics and psychology.
International Economics and Economic Policy, May 30, 2016
The institutional framework regulating professions/ economic activities of the service sector in ... more The institutional framework regulating professions/ economic activities of the service sector in Greece has been recently liberalised extensively, to promote competition, conform to European Community regulations and fulfil commitments under the Memoranda of Economic and Financial Policies. This paper aims to capture quantitatively this major structural reform, by measuring for the first time the degree of regulation in 90 professions/ activities affected by the relevant reform laws. The degree of regulation is measured both for the regime before and for that after the laws, and the methodology employed is that of composite regulation indices. The index values obtained are used for evaluating the extent of the reforms and estimating correlations and regressions. The results of the analysis point to the existence of significant barriers to competition before the reforms and extensive liberalisation of the regulatory framework after the adoption of the relevant laws. Moreover, the results suggest that professions/activities characterised by more stringent restrictions before the reforms tend to be characterised by a comparatively higher intensity of regulations after the reforms.
European Journal of The History of Economic Thought, Sep 10, 2012
Abstract This article, by examining the two strands of thought developed during the period 1670-1... more Abstract This article, by examining the two strands of thought developed during the period 1670-1770 in English economic thought with respect to the preferable wage rates, intends to evaluate the theoretical arguments which specify the pre-classical theses for or against low real wages and to analyse how the relationship between wages and individuals' work effort is interpreted according to the pre-classical English economists. In addition, we examine what these writers proposed as regards the formation of the desirable level of wages and what factors influence them to adopt specific views.
Journal of Economic Issues, 2012
Abstract: The pre-WWII approaches to trade unions were mainly based on the theoretical and method... more Abstract: The pre-WWII approaches to trade unions were mainly based on the theoretical and methodological viewpoints of early institutional economics. Trade unions were conceived of as politico-economic organizations whose members were motivated by relative comparisons, and also were concerned with issues of equity and justice. In the post-war period, there was a major theoretical and methodological shift toward the idea of unions as optimizing economic units with well-defined objective functions, which are optimized subject to purely economic constraints. This conceptual transformation took place mainly through the Dunlop -Ross debate, in which John Dunlop conceived of unions as analogous to business firms, as opposed to Arthur Ross’s institutional and political approach. However, after decades of analytical developments, the current state of trade union theory has not produced very impressive theoretical results. We trace the historical development of the economic analysis of trad...
HISTORY OF ECONOMIC THOUGHT AND POLICY
The introduction of new technology may have significant effects on the level of employment and th... more The introduction of new technology may have significant effects on the level of employment and the real wage rate; effects that have received considerable attention even from the economic thinkers of the classical period. This paper aims to analyze and evaluate the various views and arguments of early classical and neoclassical economists concerning the technological effects on wages and employment. On the one hand, the economists of the early decades of the 19th century (mainly between 1800 and 1840) had recognized and analyzed many of the effects of technology on labourers' welfare. On the other hand, early neoclassical theorists of the period between 1890 and 1935 tried to expand on the classical views and to develop their own theoretical arguments, based on new perceptions like the marginal productivity theory. The main conclusion drawn is that most of early classical and neoclassical economists recognized and specified the temporary adverse effects of new technology on labo...
Economic Thought, 2019
This paper seeks to examine the relationship and the interaction between institutions, policy and... more This paper seeks to examine the relationship and the interaction between institutions, policy and the labour market in the light of the ideas of the first generation of institutional economists, who, in contrast to neoclassicals, conceived of the economy as a nexus of institutions, underlining, therefore, the significant role of institutional and non-market factors in the functioning of an economic system. They also criticised those who define (economic) welfare only in terms of efficiency and satisfaction of consumer interests; institutionalists instead focus on issues related to justice, human self-development and labourers' welfare. In addition, early institutionalists paid considerable attention to the institutional framework of the labour market. In particular, the first generation of institutional economists highlighted the importance of institutions and other non-market parameters in determining the level of wages and employment (e.g. the role of the bargaining power of w...
HISTORY OF ECONOMIC THOUGHT AND POLICY, 2014
The modern labour market policy of flexicurity has been adopted as a leitmotiv of the European em... more The modern labour market policy of flexicurity has been adopted as a leitmotiv of the European employment strategy and the revised Lisbon Strategy for Growth and Jobs. This paper examines the two main influences behind the concept of flexicurity, namely the New Keynesian active labour market policies and the early ideas of William Beveridge. In particular, we contend that the flexicurity agenda originated from the New Keynesian employment policy agenda, which incorporates active measures for employment, aiming at both flexibility and security in the labour markets. These ideas and proposals can be traced back to William Beveridge’s work on labour market policy. Beveridge proposed a progressive and forward-looking labour policy, which combined flexibility and security together with active labour market measures, without disregarding the weaker labourers’ groups (e.g. casual workers). Thus, the paper shows that his policy proposition resembles the modern policy concept of flexicurity in such a degree that we can characterize Beveridge as the precursor of the flexicurity phenomenon.
Journal of Economic Issues, 2011
This paper presents and evaluates Don Lescohier's contribution to labor economics, and specif... more This paper presents and evaluates Don Lescohier's contribution to labor economics, and specifically to labor market policy. Lescohier, a prominent member of the Wisconsin Institutional School, put the labor market in the center of his investigations and tried to examine many of the factors that determine its efficient functioning, differentiating his study from the labor studies that focused on the individual — mainly union — worker. His analysis was essentially influenced by the progressive political climate of his time, the heterodox thought of some "non-Marshallian" British economists like Beveridge, and the newly emergent field of personnel management. Lescohier ardently proposed the creation of a federal-state centralized system of employment offices, which would undertake the difficult task of organizing the American labor market after the end of World War I. His work constituted both an interesting and significant case study, and thus deserves a higher position in the history of labor economics.
The European Journal of the History of Economic Thought, 2014
Abstract This article, by examining the two strands of thought developed during the period 1670-1... more Abstract This article, by examining the two strands of thought developed during the period 1670-1770 in English economic thought with respect to the preferable wage rates, intends to evaluate the theoretical arguments which specify the pre-classical theses for or against low real wages and to analyse how the relationship between wages and individuals' work effort is interpreted according to the pre-classical English economists. In addition, we examine what these writers proposed as regards the formation of the desirable level of wages and what factors influence them to adopt specific views.
Journal of Economic Methodology, 2015
Although most of the marginalist economists' methodology was influenced by 19th century classical... more Although most of the marginalist economists' methodology was influenced by 19th century classical physics, the work of second generation marginalist Francis Ysidro Edgeworth represents the highest point of classical physics influence to the development of mainstream economic methodology. Edgeworth's close parallelism between celestial and social mechanics expressed in his analogies between utility and energy and the principle of utility maximization to maximum energy, are important indications of the physics scientific ideal for economics. Subsequent leading theorists were not as explicit, although economic theory continued to be influenced by physics scientific ideal as the work of Pareto, Fisher and Samuelson indicates. However, the physics methodological framework has made a recent reappearance in the relatively new field of econophysics. Although there are methodological similarities, there are also important differences between mainstream economics and econophysics. Econophysicists' emphasis to statistical mechanics rather to mechanical models, their reservations towards rational agent theory and their rejection of many standard assumptions of mainstream economics, are examples of such differences. This might also explain the resistance of mainstream economic theorists to incorporate econophysics into economics. The paper examines the above from a methodological viewpoint. It also discusses the possible reasons for this historical development and its implications for economic methodology.
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Papers by Ioannis Katselidis
Particular emphasis is attributed to the societal relevance of this comprehensive worldview that is in a position to harmonize the goals of individuals, organizations, and the society. In this respect, it is argued that Greek Orthodoxy’s personalist ethos informs binding principles that have to be examined in their relationship to cohesive communities that foster human flourishing and promote a conception of common good defined in terms of ultimate human ends. In the last section devoted to the historical framing of such communities, the paper demonstrates that there is a rationale in viewing Greek Orthodoxy’s person-centered ontology as manifested in community good that serves as a condition for the realization of personal good. Implications of the present study, as well as areas of prospective research, are equally taken into consideration.
Most of the current and past academic controversies in economics are, explicitly or implicitly, centred around the application and form of economic policy. This is particularly evident in the post-WWII period, with the appearance of economic policy as a distinguishable subfield, but important elements of various economic policy issues can be found throughout the history of economic thought. This book discusses various topics in economic policy – such as questions over state spending and taxation, income redistribution, and the role of money – with each chapter focusing on a particular period or major school of economic thought ranging from the ‘prehistory’ of economics up to the present day. Specific chapters of the volume cover the main schools of economic thought from different national and theoretical traditions, incorporating mercantilism, the Physiocratic School, the German Historical School, Marxism, the Austrian School, institutional economics, Keynesian economics, behavioural economics and more.
This book will be of great interest to readers of the history of economic policy as well as the history of economic thought, macroeconomics and economic history more broadly.