michael perelman wrote:
> Keynes' German introduction bears some similarity with
> Arrow'simpossibility theorem, which was written to show how much
> moreeffective Soviet mobilization was relative to that of the US.
> Arrowwas not writing in support of the Soviet system, but just explain
> afact.
> On Fri, Nov 18, 2011 at 3:08 PM, Alan G Isaac<[log in to unmask]>  wrote:
>>     For I confess that much of the following book is
>>     illustrated and expounded mainly with reference to the
>>     conditions existing in the Anglo-Saxon countries.
>>     Nevertheless the theory of output as a whole, which is
>>     what the following book purports to provide, is much
>>     more easily adapted to the conditions of a totalitarian
>>     state, than is the theory of the production and
>>     distribution of a given output produced under conditions
>>     of free competition and a large measure of
>>     laissez-faire.  This is one of the reasons which justify
>>     my calling my theory a *General* theory.  Since it is
>>     based on less narrow assumptions than the orthodox
>>     theory, it is also more easily adapted to a large area
>>     of different circumstances. Although I have thus worked
>>     it out having the conditions in the Anglo-Saxon
>>     countries in view -- where a great deal of laissez-faire
>>     still prevails -- it yet remains applicable to
>>     situations in which national leadership is more
>>     pronounced. For the theory of psychological laws
>>     relating consumption and saving, the influence of loan
>>     expenditure of prices and real wages, the part played by
>>     the rate of interest -- these remain as necessary
>>     ingredients in our scheme of thought under such
>>     conditions, too.
>>
>> So I repeat, you appear to grossly misinterpret Keynes.
>>
>> Alan Isaac
>>
>>
>>
Just for the record, my version of the 1936 Preface to the German 
edition of the /General Theory/ (London and Basingstoke: Macmillan, 
1973, xxv-xxvii) does not have the words "This is one of the reasons 
which justify my calling my theory a *General* theory.  Since it is 
based on less narrow assumptions than the orthodox  theory, it is also 
more easily adapted to a large area of different circumstances. Although 
I have thus worked it out having the conditions in the Anglo-Saxon 
countries in view -- where a great deal of laissez-faire still prevails 
-- it yet remains applicable to situations in which national leadership 
is more pronounced" after "laissez-faire."  Rather, the paragraph 
continues with: "The theory of the psychological laws relating 
consumption and saving, the influence of loan expenditure on prices and 
real wages, the part played by the rate of interest--these remain as 
necessary ingredients in our scheme of thought" (pp. xxvi-xxvii).  BTW, 
this edition is also listed as Volume VII of the /Collected Writings of 
John Maynard Keynes/.  Thus, Alan's charge of "gross 
misinterpre[tation]" by me can not stand.  It lacks a valid basis.

I am well aware that Keynes was capable of saying different things to 
different people on the same issue, but I'm surprised that the preface 
to the German edition is different in English from the one in German!

James Ahiakpor

-- 
James C.W. Ahiakpor, Ph.D.
Professor
Department of Economics
California State University, East Bay
Hayward, CA 94542

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