Vanity and the love of system in Theory of Moral Sentiments

Abstract

Some recent writing on Adam Smith's Theory of Moral Sentiments has emphasised the importance of vanity as one of the most important human motivations. This reading leads to a new version of Das Adam Smith Problem, but this is unwarranted. Such a reading tends to conceal the significance that Smith gave to the love of system, which motivates the actions of the philosopher, the man of state, and above all the entrepreneur. This paper shows, by contrast, that by using this conception we can relate Theory of Moral Sentiments to Wealth of Nations, and reject the idea that these works are based upon contradictory assumptions.     

Adam Smith's theory of economic history and economic development

Abstract

The aim of the paper is to show that Smith has a theory of economic history grounded in a politico-economic modeling (as well as a sort of economic theoretical modeling). In terms of the politico-economic approach, in the Wealth of Nations (Book III.ii–iv) Smith tried to offer a systematic account of economic development from feudalism to capitalism in Europe. These lead to suggest that the seeming internal inconsistency between the natural and the actual courses of progress in Book III may be resolved, and that Smith may be treated as a precursor of Douglass North, who stressed an inextricable link between the polity and the economy in economic history.     

Adam Smith's use of multiple references for his pin making example∗

Abstract

At the beginning of The Wealth of Nations Adam Smith describes a pin factory. It is widely accepted that this example comes from Diderot's Encyclopaedia, published in France in the 18th century. The details in the text together with the conferences previously given in Glasgow clearly show that this one reference cannot be the only source. Three other French publications on pin making may also have been used as references for Adam Smith's text. Phrase by phrase these texts are compared to Smith's to support the assertion that he based his work on four previous French publications. The Wealth of Nations unites and synthesizes these different sources and excerpts those parts that confirm his theory. Smith should have listed his sources.     

Jacob Viner on Adam Smith: Development and reception of a theological reading

Abstract

Jacob Viner was one of the most important interpreters of Adam Smith's work, particularly for his emphasis in a classic 1927 article on Smith's theological framework, his discussion of the relationship between the Theory of Moral Sentiments and the Wealth of Nations and dismantling of a popular view of Smith as a doctrinaire advocate of laissez-faire. What is less well known is that Viner's theological reading of Smith developed over the next 40 years through intense study of eighteenth century natural theology, and some of his views changed. This article traces the development of Viner's interpretation of Smith. It assesses the suggestion of D.D. Raphael that Smith moved away from a theological framework over time and that Viner repudiated his theological reading of Smith. I argue instead that Viner's mature work broadened and strengthened the theological reading. Much of the literature on Smith and Viner wrongly assumes that naturalistic explanation and theological frameworks are mutually exclusive. This may be the dominant twentieth century view, but it was not so in the eighteenth century, as Viner well understood.     

The Eisner Puzzle,the Unemployment Threshold and the Range of Equilibria

Using a two-regime model of the inflation-unemployment process for US data 1960:2 to 2000:2, this paper finds strong evidence to support the Eisner puzzle, which occurs when the short-run Phillips curve (SRPC) is flatter at low rates of unemployment than at higher rates. The puzzling aspect of this pattern is the expectation of excess demand to become apparent at very low rates of unemployment causing the SRPC to be steep rather than fairly flat. We show the puzzle can be resolved by estimating a three-regime model which reveals a steep SRPC at very low rates of unemployment. The estimates of the three regime model also reveal a horizontal SRPC at intermediate rates of unemployment, implying the existence of a range of equilibrium rates of unemployment at those intermediate rates.

Trade Costs,Trade Balances and Current Accounts: An Application of Gravity to Multilateral Trade

In this paper we test the well-known hypothesis of Obstfeld and Rogoff (NBER Macroeconomics Annual 7777:339–390, 2000) that trade costs are the key to explaining the so-called Feldstein–Horioka puzzle. Our approach has a number of novel features. First, we focus on the interrelationship between trade costs, the trade account and the Feldstein–Horioka puzzle. Second, we use the gravity model to estimate the effect of trade costs on bilateral trade and, third, we show how bilateral trade can be used to draw inferences about desired trade balances and desired intertemporal trade. Our econometric results provide strong support for the Obstfeld and Rogoff hypothesis and we are also able to reconcile our results with the so-called home bias puzzle.

论亚当·斯密对法律的经济分析

用经济学的概念及方法来研究法律问题,被称之为"法律的经济分析"。在经济学说史上,亚当.斯密第一个把经济学分析扩展到法律制度,成为当代法经济学的真正鼻祖。在《国富论》中,斯密通过对学徒法、谷物法等一系列法律的经济分析,揭示了法律制度对经济系统运行的影响。     

The Retirement Consumption in Korea: Evidence from the Korean Labor and Income Panel Study

Abstract

This paper examines the retirement consumption in Korea using the Korean Labor and Income Panel Study. This paper reports a significant post-retirement consumption fall among elderly households. The empirical results of this paper suggest that a reduction in work-related expenses is an important factor to explain the observed post-retirement consumption fall. In addition, this paper finds that the post-retirement consumption growth rate varies depending on each household's pre-retirement wealth level. The findings of this paper provide empirical evidence on retirement consumption in an emerging market with no matured public pension programmes.     

Smith预估器在过热气温控制中的应用

针对过程控制滞后的问题,介绍Smith预估器的控制原理和应用,把一种改进的Smith预估控制器应用于发电厂过热气温控制。并利用ITAE优化准则给出了改进Smith预估控制器的参数整定方法。以达拉特发电厂#4机组过热汽温控制为例探讨Smith预估器对过热汽温控制时参数的整定方法,并对实施后的效果与常规PID控制效果进行比较和总结。     

Age‐Dependent Increasing Risk Aversion and the Equity Premium Puzzle

We introduce a new preference structure—age‐dependent increasing risk aversion (IRA)—in a three‐period overlapping generations model with borrowing constraints, and examine the behavior of equity premium in this framework. We find that IRA preferences generate results that are more consistent with U.S. data for the equity premium, level of savings and portfolio shares, without assuming unreasonable levels of risk aversion. We find that the relative difference between the two risk aversions (how much more risk‐averse old agents are relative to the middle‐aged) matters more than the average risk aversion in the economy (how much more risk‐averse both cohorts are). Our findings are robust with respect to a number of model generalizations.