The Debate Widens - Introduction

Abstract

Shortly after Don Patinkin’s initial assault on Milton Friedman, Thomas Humphrey (chapter 14 [1971], 12) highlighted the importance of the contributions (“overlooked by both Patinkin and Friedman”) made to the quantity theory between 1930-50 by four non-Chicagoan economists: Carl Synder, Lionel Edie, Lauchlin Currie and Clark Warburton. There are similarities between Friedman’s version of the Chicago monetary tradition and Currie’s Supply and Control of Money in the United States (1934). Also, Currie’s (1962 [1934]) essay on ‘The Failure of Monetary Policy to Prevent the Depression of 1929-32’ interpreted the Great Depression as a Great Contraction in a manner which foreshadowed the later work by Friedman and Anna Schwartz (1963). Humphrey commented that “oddly enough, however, [Lloyd] Mints and Friedman do not seem to be aware of the extent to which their criticisms were anticipated by Currie, for they cite him infrequently”. In the exchange that followed two further names were added to the list of overlooked quantity theorists: Arthur Marget and James Angell (Patinkin chapter 16 [1974], 28; Humphrey chapter 17 [1973], 462). Both Patinkin and Humphrey expressed curiosity about these omissions. Currie (chapter 15 [1972]) provides an additional perspective on Humphrey’s contribution in a note that is published here for the first time. ISBN: 185196767