Advanced Topics in Liberty

War Finance as a Threat to Liberty

Conference for Alumni of the IHS Summer Graduate Research Fellowship - Feb 7-9, 2014

Discussion leader: Stephen Davies

Session I - Discussion: Money and War in P. G. M. Dickson’s “The Financial Revolution in England.”

Dickson, P. G. M. The Financial Revolution in England: A Study in the Development of Public Credit 1688-1756. London: Macmillan, 1967. Chapter 1, “The Financial Revolution” (pages 3–14), Chapter 2, “The Contemporary Debate” (pages 15–35), and Chapter 10, “War and Peace 1739–55” (pages 216–245). Proposed Co-Sponsored Project C12-5383 “War Finance as a Threat to Liberty”

Session II - Discussion: Classical Liberal Thought on War Finance.

Silberner, Edmund. The Problem of War in Nineteenth Century Economic Thought. Translated by Alexander Haggerty Krappe. Princeton: Princeton University Press, 1946. Selections from Book One, Part One, Chapter 2, “Ricardo” (pages 29–36), selection from Part Two, Chapter 5, “Jean-Baptiste Say” (pages 69–85), selections from Chapter 6, “Bastiat” (pages 92–100), and Chapter 7, “Molinari” (pages 114–121).

Session III - Discussion: Mises and Robbins on the Economics of War.

Mises, Ludwig von. Nation, State, and Economy. Indianapolis: Liberty Fund, 2006. “War and the Economy” (pages 110–146).

Mises, Ludwig von. Human Action, Volume 3: A Treatise on Economics. Edited by Bettina Bien Greaves. Indianapolis: Liberty Fund, Inc., 2007. Chapter 34, “The Economics of War” (pages 821–832).

Robbins, Lionel. The Economic Problem in Peace and War: Some Reflections on Objectives and Mechanisms. London: Macmillan, 1947. Lecture II, “The Rationale of the War Economy” (pages 29–56).

Session IV - Discussion: Higgs on the Political Economy of War

Higgs, Robert. Crisis and Leviathan: Critical Episodes in the Growth of American Government. New York: Oxford University Press, 1987. Chapter 9, “The Political Economy of War, 1940-1945” (pages 196–236).

Session V - Discussion: From Where Comes the Power?

Bagehot, Walter. Lombard Street: A Description of the Money Market. London: Henry S. King and Co., 1873. Chapter 1, “Introductory” (pages 1–20).

Ferguson, Niall. The Ascent of Money: A Financial History of the World. New York: Penguin Press, 2008. Selections from Chapter 2, “Of Human Bondage” (pages 98–115) and notes (pages 370–372).

Sylla, Richard, Richard H. Tilly, and Gabriel Tortella, editors. The State, the Financial System, and Economic Modernization. Cambridge: Cambridge University Press, 1999. Chapter 11, Richard Sylla’s “Shaping the U.S. Financial System, 1690-1913: The Dominant Role of Public Finance” (pages 249–270).

Session VI - Discussion: What Are the Limits for What the State Can Do in Case of War?

Kennedy, Paul. “American Power is on the Wane.” The Wall Street Journal (January 14, 2009): 1-3.