EGEI

Austrian price theory is riddled with inconsistencies surrounding the neoclassical income effect and Giffen behavior. It has sometimes been argued that neither the income effect nor Giffen behavior exist. This paper first argues that Giffen behavior is possible and can perfectly well be explained within the framework of Austrian price theory in the tradition of Mses. Moreover, it shows that income effects are real. They are merely an outgrowth of the law of diminishing marginal utility applied to money. The paper also outlines the expenditure approach to income and substitution effects as an alternative conceptualization that does not require any reference to quantifiable and measurable notions of utility, or an unambiguous and objective notion of real income.  

Murray N. Rothbard’s Toward a Reconstruction of Utility and Welfare Economics is the defining contribution outlining the Austrian school’s approach to welfare theory. A recent attack on this approach is by Wysocki and Dominiak (2023a), who argue, contra Rothbard, that whether an exchange is welfare-enhancing is not necessarily related to whether that exchange is just, and therefore the Rothbardian framework is wrong. This paper shows that their argument misconceives how Austrians treat the concept of welfare. They also misunderstand the crucial role of the principle of demonstrated preference. Properly conceived, Rothbard’s reconstruction remains intact.

This paper explores the concept of the value of time within economic decision-making, comparing it with wage rates and evaluating its role in household utility maximization. The study extends Becker’s theory of time allocation by introducing generalizations for multiple opportunity costs of time. Key approaches include Cobb-Douglas and CES utility specifications to determine time values for various activities, supported by empirical analyses across several countries. The findings suggest significant variation in the valuation of time based on activity type, household characteristics, and technological constraints, providing a nuanced understanding of time as an economic resource.

This paper traces the historical development of the opportunity cost of time, beginning with Stanley Jevons. It is only in the recent past that the various factors influencing the opportunity cost of non-market time have been elucidated. However, the literature that highlights the discrepancy between the wage rate and the opportunity cost of time has been largely overlooked by economists, who have instead relied on the leisure-income model for empirical applications. The forgotten literature, which is recovered in this paper, calls for a closer examination of those empirical applications, and it offers a new perspective on labor supply paradigms.

The rise of Bitcoin and similar digital payment systems presents significant challenges to the traditional fiat money system, igniting renewed discourse on the fundamental nature of money. Austrian economists devote considerable attention to the analysis and understanding of cryptocurrencies. This interest stems from three pivotal elements of Austrian monetary theory: Carl Menger’s theory of the origin of money, Ludwig von Mises’ theory of the value of money, and Friedrich August von Hayek’s concept of competitive currencies. This paper explores Bitcoin through the perspective of Austrian monetary theory. In particular, the article analyses key questions, such as whether Bitcoin’s emergence aligns with the evolutionary origins of money and its relationship to Mises’ regression theorem; it explores Bitcoin’s role in the broader context of Hayek’s currency competition.

Cet article présente une synthèse des enseignements de la doctrine sociale de l’Eglise catholique concernant la famille. Il montre en particulier la constance des principes, en particulier sur le rôle central de cette institution dans la société, et les enrichissements constants de cette doctrine depuis ses origines jusqu’aux enseignements des derniers papes.

Cet article propose une illustration concrète de l’instauration d’un chèque éducation, mesure préconisée par Milton Friedman dès 1962, en la mettant dans une perspective internationale afin d’illustrer la diversité des mesures possibles et les avantages et inconvénients des diverses applications envisageables.

L’investissement éducatif au sein de la famille constitue un élément majeur de cette institution, comme l’ont reconnu toutes les écoles économiques, en particulier depuis l’apparition de la théorie du capital humain à la fin du siècle dernier (théorie qui avait été anticipée dès le début de ce siècle). Cet investissement comporte trois dimensions : l’accompagnement scolaire parental, le rôle de la fratrie et la transmission d’un patrimoine éthique.

Cet article propose une synthèse des principaux travaux concernant l’évaluation économique du travail domestique. Il montre qu’il s’agit d’une question assez ancienne dans l’analyse économique et que la valeur économique des activités domestiques représente, selon les méthodes d’évaluation, de 22 à 55% du Produit Intérieur brut (dont environ 35% en France). Une Annexe préparée par Xavier de Yturbe fournit quelques éléments statistiques sur les prestations familiales en France.

L’article examine les implications du plan « climat-biodiversité » du gouvernement français pour l’enseignement supérieur et la recherche.
Après avoir rappelé les raisons d’être de l’université et des libertés universitaires, il montre en quoi le rôle que le gouvernement attribue aux
universitaires dans la promotion de ses politiques de transition écologique est incompatible avec ces libertés et l’idée d’université. L’article montre aussi que, dans ce contexte, le gouvernement promeut et presse les universitaires d’adopter une vision déformée de l’état de l’art dans des disciplines pertinentes et, plus généralement, une conception pervertie de la science.

Using a generalization of Becker’s time allocation model in order to estimate the shadow price of time, we explore the relationship between it and the inter-temporal substitution rate, allowing the endogenization of the time preference from the estimation of the opportunity cost of time. Two models are developped implying a positive relationship between them and an evaluation of the inter-temporal rate at 10%.

The resilience of the German banking system is studied on the semi-aggregated level from 1968 to 2022. We distinguish between Large Banks, Regional Banks, Landesbanken, Sparkassen and Credit Unions and study their z-scores as a measure of resilience in response to the monetary pol- icy stances of the Bundesbank and the ECB, respectively. We estimate two-way fixed effects panel regression models for both periods separately. The results suggest that monetary policy was more effective in enhancing resilience during the period of a national currency controlled by the Deutsche Bundesbank. The effect across bank types is much more heterogeneous after the inception of the ECB. In particular, decreasing resilience of Large Banks is associated with expansionary (un)conventional monetary policy in recent years.