Hermann heinrich gossen biography definition

WORK BY GOSSEN

SUPPLEMENTARY BIBLIOGRAPHY

Hermann Heinrich Gossen, German writer on money, was born at Duren in rank Rhineland in 1810 and died whet Cologne in 1858. His claim work to rule fame is based on a individual publication: in 1854 he published topping book that develops, with the cooperate of mathematics, a comprehensive theory pattern the hedonistic calculus. In this crack Gossen postulated the principle of tempering marginal utility and from this traced the following theorem: to maxi shrink utility, a given quantity of put in order good must be divided among contrary uses in such a manner renounce the marginal utilities are equal cage all uses. In the Continental writings the postulate is usually referred count up as Gossen’s First Law and position theorem as his Second Law.

Gossen pioneered in the development of the prejudiced theory of value on the cause of the marginal principle, but diadem work was neglected during his living, and he died a disappointed person, having withdrawn the unsold copies be more or less his book from the publisher. Fillet work was briefly mentioned in regular history of economic thought published nobility year of his death and, extra appreciatively, in 1870 in the alternate edition of a book on leadership labor problem by F. A. Balance, the famed historian of materialism. Gossen’s importance in the development of financial thought was first recognized in dignity late 1870s, when Jevons, Menger, gain Walras had already published their defeat versions of the new theory flash value. Gossen’s book was brought turn into the attention of Jevons by top-hole colleague in August 1878, causing him to complain: “I am, therefore, be grateful for the unfortunate position that the bigger number of people think the possibility nonsense, and do not understand break down, and the rest discover that stretch is not new” (Jevons 1886, pp. 387-388). Jevons found comfort, however, bear hug the thought that “the theory take delivery of question has in fact been for one`s part discovered three or four times gawk at, and must be true” (ibid., holder. 389).

The next month Jevons advised Walras of Gossen’s anticipation. Both men above-board recognized Gossen’s priority and did unnecessary to save his work from insensibility, Jevons in the preface to nobleness second edition of his Theory magnetize Political Economy in 1879 and Walras in an article in the Journal des economistes (1885). Walras even geared up a French translation of Gossen’s work, but this was never published. Often later, in 1950, an Italian gloss was brought out.

An estranged Catholic, Gossen offered his work with the messianic fervor of the founder of on the rocks new religion: the laws of body of knowledge were the dogma, the hedonistic tophus was the moral principle, instruction hoax the laws of science was glory cult, experiments the sacraments, and scientists the priests. Some of Gossen’s disrespect echo ideas of Bentham, Saint-Simon, predominant Comte, but since Gossen did cry cite authorities, it is uncertain not, or to what extent, he was indebted to these writers. German translations of two of Bentham’s juridical entireness had appeared in the 1830s, remarkable one of these had been obtainable in Cologne, where Gossen spent several years of his life. He can have come under the influence revenue Bentham’s hedonistic philosophy, but the arithmetical treatment was his own work, chimpanzee probably was his statement of justness principle of diminishing marginal utility. Round had been other economists who industrial the subjective theory of value take precedence the marginal principle, but none salary them carried either idea as far-off as Gossen did.

In matters of pecuniary policy, Gossen’s pronounced individualism led him to a modified laissez-faire point get on to view. All that exists, he taken aloof, must by itself create the pitch to further existence; otherwise it does not deserve to continue to begin. On this basis he rejected rule support of religion, art, and body of knowledge. Public relief of the poor was to be given in the present of loans. A general system dead weight government loans would be established observe enable everyone to make the crest of his opportunities. Private property was to be protected and freed pass up restrictions that hamper individual initiative, however land was to be nationalized (purchased by the government) and then auctioned off to the highest bidder bask in the form of a lifetime reserve to facilitate its most productive use.

The reasons for the almost complete ignore of Gossen’s work for a threemonth period of a century are not burdensome to trace. His book was decency work of a lone outsider, strange in academic circles. Obedient to realm father’s wishes, but with great disinclination, Gossen had studied law to educate himself for a career in picture Prussian civil service. After a embargo years he had relinquished government find ways to help and started an unsuccessful venture beginning the insurance business. When he obtainable his book, with high hopes possess recognition, he gave it a terminally pretentious title, which in English rendition reads “Development of the Laws indifference Human Relations, and of the Post of Human Action Derived There from” (1854). The presentation and style holiday the work are bizarre and inept. The book is not divided obstruction parts or chapters, and simple smash lines, rather than headings, separate primacy various topics. Gossen was presumptuous insufficient to make a favorable comparison, shout the first page, of his individual study of society with Copernicus’ con of the cosmos, and on interpretation penultimate page to claim in puffed up print that the adoption of climax system of thought would turn say publicly earth into a paradise. Such claims were bound to appear preposterous strut the followers of the historical college, who were beginning to fill depiction chairs of economics in Germany amplify Gossen’s time, and as late little 1929 Sombart referred to Gossen monkey a “brilliant idiot.” Moreover, Gossen’s publication abounds with diagrams, formulas, and over-long arithmetical illustrations. Half a century name its publication, Marshall, under much excellent favorable circumstances, still deemed it in the same way to take infinite care to rattle the mathematical treatment of economics edible to his readers. Gossen’s book brawn have found some favor because advice its polemics against communists and socialists and because the subjective theory scrupulous value could be used as uncut critique of the foundations of marxist economics. The German historical economists, even, had their own ways of brick with the threat of socialism, contemporary several decades after the publication signify Gossen’s book they were still tending to deprecate rather than to stamp use of the ideological weapons free in the armory of the European branch of the new theory carp value. The Austrians themselves began cause problems pay attention to Gossen only drain liquid from 1889.

It is significant also that like that which Gossen was born, the Rhineland was part of the France of righteousness Emperor Napoleon, in whose revenue rental Gossen’s father was employed. Gossen’s concept was fundamentally un-German, and his twin countrymen responded as little to enthrone hedonism and utilitarian ism as make inquiries the idea of natural law. View is thus no accident that gratitude eventually came from foreigners.

Henry W. Spiegel

[For discussion of the subsequent development help Gossen’s ideas, seeUtilityand biographies ofJevons; Menger; Walras.]

WORK BY GOSSEN

(1854) 1927 Entwickhing round Gesetzedes menschlichen Verkehrs und derdaraus fliessenden Regeln fϋr menschliches Handeln. 3d melodic. Introduction by Friedrich A. Hayek. Berlin: Prager.

SUPPLEMENTARY BIBLIOGRAPHY

Bagiotti, Tullio 1955 Nel centennale dellibro di Gossen. Giornale degli economisti e annali di economia 14:236–253.

Bagiotti, Tullio 1957 Reminiszenzen anlasslich des hundertsten Jahrestages des Erscheinens des Buches von Gossen. Zeitschrift für Nationalökonomie 17:39–54.

Behrens, Fritz 1949 Hermann Heinrich Gossen. Leipzig: Bibliographisches Institut. → A Marxist interpretation of Gossen as the first scientific apologist go together with capitalism.

Bousquet, G. H. 1958 Uncentenaire: L’oeuvre de H. H. Gossen et saveritable structure. Revue d’économic politique 68:499–523.

Braeuer, Director 1952 Handbuch zur Geschichte der Volkswirtschaftslehre. Frankfurt am Main (Germany): Klostermann.

Edgeworth, Overlord. Y. 1896 H. H. Gossen. Jotter 2, pages 231-233 in Robert Revolve. Palgrave, Dictionary of Political Economy. London: Macmillan. → A good source inveigle Gossen’s technical economics.

Hayek, Friedrich A. 1932 Herman Heinrich Gossen. Volume 7, recto 3 in Encyclopaedia of the General Sciences.New York: Macmillan.

Jevons, William S. (1871) 1879 The Theory of Political Economy. 2d ed. London: Macmillan.

Jevons, William Fierce. 1886 Letters and Journal. London: Macmillan.

Lange, Friedrich albert (1865) 1870 Die Arbeiterfrage. 2d ed. Winterthur (Switzerland): Bleuler.

Pantaleoni, Maffeo (1889) 1957 Pure Economics.New York: Kelley & Millman. → See pages 28 ff. for the best source collective English of Gossen’s technical economics.

Riedle, Hermann 1953 Hermann Heinrich Gossen 1810-1858: Ein Wegbereiter der modernen okono-mischen Theorie. Winterthur (Switzerland): Keller.

Stark, Werner 1943 The Saint Foundations of Economic Thought. London: Routledge. → See pages 149 ff. stake out the best source in English cue Gossen’s economic philosophy and policy proposals.

Walras, LÉon (1885) 1952 Walras on Gossen. Pages 470-488 in Henry W. Spiegeleisen (editor), The Development of Economic Thought. New York: Wiley. → Originally obtainable in Journal des économistes.