Paul Rosenstein-Rodan
Encyclopedia
Paul Narcyz Rosenstein-Rodan (1902 – 1985) was an Austrian economists of Polish-Jewish origin born in Kraków
, who was trained in the Austrian tradition
under Hans Mayer in Vienna
. His early contributions to economics
were in pure economic theory — on marginal utility
, complementarity, hierarchical structures of wants and the pervasive Austrian School issue of time.
Rosenstein-Rodan emigrated to Britain in 1930, and taught at University College London
and then at London School of Economics
until 1947. He then moved to the World Bank
, before moving on to MIT, where he was a professor from 1953 to 1968.
He is the author of the 1943 article "Problems of Industrialisation of Eastern and South-Eastern Europe" - origin of the “Big Push Model
” theory - in which he argued for planned large-scale investment programmes in industrialisation in countries with a large surplus workforce in agriculture, in order to take advantage of network effects, viz economies of scale and scope, to escape the low level equilibrium "trap". He thus developed a theme laid out by Allyn Young
in his 1928 article "Increasing Returns and Economic Progress", in which the latter himself expanded a theme formulated by Adam Smith in 1776.
The International Institute of Social Studies
(ISS) awarded its Honorary Fellowship to Paul Rosenstein-Rodan in 1962.
Kraków
Kraków also Krakow, or Cracow , is the second largest and one of the oldest cities in Poland. Situated on the Vistula River in the Lesser Poland region, the city dates back to the 7th century. Kraków has traditionally been one of the leading centres of Polish academic, cultural, and artistic life...
, who was trained in the Austrian tradition
Austrian School
The Austrian School of economics is a heterodox school of economic thought. It advocates methodological individualism in interpreting economic developments , the theory that money is non-neutral, the theory that the capital structure of economies consists of heterogeneous goods that have...
under Hans Mayer in Vienna
Vienna
Vienna is the capital and largest city of the Republic of Austria and one of the nine states of Austria. Vienna is Austria's primary city, with a population of about 1.723 million , and is by far the largest city in Austria, as well as its cultural, economic, and political centre...
. His early contributions to economics
Economics
Economics is the social science that analyzes the production, distribution, and consumption of goods and services. The term economics comes from the Ancient Greek from + , hence "rules of the house"...
were in pure economic theory — on marginal utility
Marginal utility
In economics, the marginal utility of a good or service is the utility gained from an increase in the consumption of that good or service...
, complementarity, hierarchical structures of wants and the pervasive Austrian School issue of time.
Rosenstein-Rodan emigrated to Britain in 1930, and taught at University College London
University College London
University College London is a public research university located in London, United Kingdom and the oldest and largest constituent college of the federal University of London...
and then at London School of Economics
London School of Economics
The London School of Economics and Political Science is a public research university specialised in the social sciences located in London, United Kingdom, and a constituent college of the federal University of London...
until 1947. He then moved to the World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...
, before moving on to MIT, where he was a professor from 1953 to 1968.
He is the author of the 1943 article "Problems of Industrialisation of Eastern and South-Eastern Europe" - origin of the “Big Push Model
Big Push Model
The big push model is a concept in development economics or welfare economics that emphasizes the fact that a firm's decision whether to industrialize or not depends on its expectation of what other firms will do...
” theory - in which he argued for planned large-scale investment programmes in industrialisation in countries with a large surplus workforce in agriculture, in order to take advantage of network effects, viz economies of scale and scope, to escape the low level equilibrium "trap". He thus developed a theme laid out by Allyn Young
Allyn Abbott Young
Allyn Abbott Young was a celebrated American economist. He was born into a middle-class family in Kenton, Ohio on September 19, 1876 and died aged 52 in London on March 7, 1929, his life cut short by pneumonia during an influenza epidemic. He was then at the height of his intellectual powers and...
in his 1928 article "Increasing Returns and Economic Progress", in which the latter himself expanded a theme formulated by Adam Smith in 1776.
Works
- “Grenznutzen”, Handworterbuch der Staatswissenschaften v 4 (1927), p 1190-223.
- “Das Zeitmoment in der Mathematischen Theorie des Wirschaftlichen Gleichgewichtes”, Zeitschrift für Nationalökonomie v1 (1929) #1, p 129-42.
- “La Complementarieta: Prima delle tre etappe del progresso della Teoria Economica Pura”, La Riforma Social (1933).
- “The Role of Time in Economic Theory”, Economica N. S., v 1 (1934) #1.
- “A Coordination of the Theories of Money and Price”, Economica v3 (1936), p 257-80.
- “Problems of Industrialization of Eastern and South- Eastern Europe”, Economic Journal v 53, No. 210/211, (1943), p 202-11.
- “The International Development of Economically Backward Areas”, International Affairs v 20 (1944) #2 (April), p 157-165.
- Disguised Underemployment and Under-employment in Agriculture, (1956).
- “Uwagi o teorii ‘wielkiego pchnięcia’”, Ekonomista #2 (1959).
- “International Aid for Underdeveloped Countries”, Review of Economic Statics v 43 (1961).
- “Notes on the Theory of the Big Push”, in Ellis, editor, Economic Development for Latin America (1961).
- “Criteria for Evaluation of National Development Effort”, Journal of Development Planning v 1 (1969).
- The New International Economic Order (1981).
The International Institute of Social Studies
Institute of Social Studies
The International Institute of Social Studies of Erasmus University Rotterdam in The Hague is a unique, independent and international graduate school in the social sciences...
(ISS) awarded its Honorary Fellowship to Paul Rosenstein-Rodan in 1962.
External links
- Catalogue of Rosenstein-Rodan papers at LSE Archives
- http://www.bu.edu/econ/ied/res03/page11.htm The Rosenstein-Rodan prize is awarded annually for the best paper(s) written by economics graduate students
- Profile at The International Institute of Social Studies (ISS)