Frank H. Knight Livres

Exploring the interplay between economics and broader societal themes, this work critiques neoclassical economic theory and its reductionist tendencies. Knight argues that the pursuit of simplistic explanations leads to frustration, impacting liberal democracy and human nature. Key chapters address economic psychology, the limitations of scientific methods in economics, and the fallacies of social cost interpretation. This influential text is essential for economists, political theorists, and philosophers, reflecting Knight's significant contributions as a foundational figure in the Chicago School of Economics.

The book presents a pivotal exploration of economic theory by differentiating between risk and uncertainty. It asserts that risk is quantifiable, allowing for measurement, while uncertainty remains immeasurable and elusive. This distinction has significant implications for understanding profit and decision-making in economic contexts, making it a crucial read for those interested in the foundations of economic thought.

The fifteen essays in this collection, first published in 1947, treat a variety of economic, social, political, and philosophical problems and were written by a legendary professor of economics at the University of Chicago. Professor Knight (1885–1972) wrote from the viewpoint of ethics as well as economics. His own words best describe his objective in this “The basic principle of science―truth or objectivity―is essentially a moral principle. . . . The presuppositions of objectivity are integrity, competence, humility. . . . All coercion is absolutely excluded in favor of free meeting of free minds.”

A timeless classic of economic theory that remains fascinating and pertinent today, this is Frank Knight's famous explanation of why perfect competition cannot eliminate profits, the important differences between "risk" and "uncertainty," and the vital role of the entrepreneur in profitmaking. Based on Knight's PhD dissertation, this 1921 work, balancing theory with fact to come to stunning insights, is a distinct pleasure to read. FRANK H. KNIGHT (1885-1972) is considered by some the greatest American scholar of economics of the 20th century. An economics professor at the University of Chicago from 1927 until 1955, he was one of the founders of the Chicago school of economics, which influenced Milton Friedman and George Stigler.