Category: Economists

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While trying to nail down a few items in the c.v. of the University of Chicago Ph.D. (1915) and first Chairman of the Council of Economic Advisers (under President Harry Truman), Edwin G. Nourse, I stumbled across this history of the early evolution of economics at the University of South Dakota. In addition to being a stepping stone in Nourse’s career, the University of South Dakota also had on its faculty William A. Scott who later went on to become a professor of economics at the University of Wisconsin.

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THE EVOLUTION OF ECONOMICS IN THE UNIVERSITY OF SOUTH DAKOTA

By Frank T. Stockton. Ph.D.
Dean of the College of Arts and Sciences and Professor of Economics.

The history of any university is largely made up of the history of its departments. As an institution grows the character of departmental organization and instruction changes. Departments having wide jurisdiction are divided and new chairs come into existence. Professors of Latin and of Greek displace quondam professors of the classics; professors of physics, of biology and of chemistry supplant omniscient professors of natural science; professors of economics, of sociology and of history drive to cover multi-minded professors of the social sciences. The economic principle of the separation of employments and the division of labor is well exemplified in this aspect of the progress of any growing institution of learning.

Soon after his arrival at South Dakota, the writer became interested in the history of his department since it seemed desirable to know something of its background and traditions. As his investigations progressed, it appeared that their results might be worth while presenting to the readers of the Quarterly in the hope that they would add a small chapter to the history of the University. Most of the material has been gleaned from catalogues and other publications, but much assistance has also been received from older members of the faculty who are familiar with the local situation. Only incidental mention of the courses in “business” or “commerce” will be made in this article.

In the “first annual announcement” of the University of Dakota, published for the year 1882-3, no work in economics was mentioned. At that time the University was only an academy. In the catalogue for 1883-4, however, we note the rather startling fact that political economy, as it was then generally called, was a required subject of study in the third year of the English and classical courses of the preparatory department and in the fourth year of the normal course. College work at this time was scheduled for only two years, yet in the outline of courses for the college classical department, political economy was listed as a Senior subject to be taken in conjunction with civil government. Apparently this work was planned for the time when four years of college study could be given. The texts announced for student use were the well-known books of Francis A. Walker and A. L. Perry, standard works of their time. The catalogue does not name the instructor in political economy, but it is quite likely that the subject was intended to be handled by President John W. Simonds. In the early days of practically every college it was almost invariably the rule for the president to teach economics as a side line to philosophy and ethics.

The 1884-5 catalogue is missing from the University files. The catalogue for 1885-6 did not mention any special courses in social science, but it did state that work in political and social science had to be taken by all Seniors. All courses in this field were doubtless conducted by President J. H. Herrick who was also professor of the mental, moral and social sciences. Surely, President Herrick had his hands full!

In the fall of 1887 some of the social sciences fell from their high presidential estate and lodged in the hands of a professor of history and English literature. The man who handled this combination department was William A. Scott, a classmate of Dean Akeley at the University of Rochester in 1886. In Scott’s first year a course in political economy, described as “Perry, and Lectures,” was given to all Seniors. In 1888 Scott left English to its fate and became professor of history and political science. He then proceeded to add to his work in political economy by offering two new courses dealing with economic problems and the science of finance. It is interesting to observe that a reading knowledge of French was considered essential to the successful prosecution of the latter. Special study for advanced students was also announced. Instead of one course in political economy being required of all Seniors, we find that under the new scheme of things elementary economics and economic problems were made a part of the requirements for the Ph.B. degree from 1888 to 1891. During practically the same period the elementary course was taken by all advanced normal students.

In 1890 Professor Scott obtained leave of absence to study at the Johns Hopkins University. He never returned to South Dakota. After taking his doctorate at the Hopkins in 1892 he migrated to the University of Wisconsin as assistant professor of economics under Richard T. Ely. Since 1900 he has occupied the position of director of the course in commerce and professor of political economy on the Wisconsin staff. He has written widely upon financial topics and he is best known today, perhaps, for his text, “Money and Banking,” which has gone through five editions. His other books are “The Repudiation of State Debts,” “Money,” “Banking,” and “Recent Theories on Interest.” It should be a source of pride to the University of South Dakota that a man of Professor Scott’s ability and reputation has had his name linked with the formative years of the institution.

Clark M. Young, a graduate of Hiram College, was elected acting professor in Scott’s place, but he did not accept the appointment. Fred W. Speirs, A.M., was then selected for the post. Under his regime the two advanced courses in political economy were dropped and in their place was substituted the first work in sociology, a course entitled “Social Science.” Professor Speirs left the University with practically all the rest of the faculty at the conclusion of President Grose’s meteoric administration. With the restoration of stable government, Professor Young became head of the Department of History and Political Science in the spring of 1892. He made no changes in the courses inherited from his predecessor until 1896 when the course in sociology was dropped. He devoted no time to sociology thereafter until 1899, and from 1892 until he surrendered control over political economy he gave only one elementary course in the latter field.

In 1899 Garrett A. Droppers (A.B., Harvard, 1887) who had been a graduate student at Berlin under Wagner and Schmoller, became president of the University and professor of political economy and finance. For the first time economics attained the rank of a separate department. Sociology emerged from retirement and was placed under Young’s jurisdiction as an adjunct to history and political science. Droppers, it appears, had considerable interest in the history of economic thought as he immediately organized a class in this field, admitting to it those who had one year of elementary economics. He also offered courses in public finance, in economic history, in money and in banking. Elementary economics, for a year or two, was made a required study for all Juniors. Apparently at Droppers’ direction, certain economics courses were also introduced into the curriculum of the College of Business, a branch of the University originally known as the Commercial department which had been established in 1887. These courses dealt with such subjects as transportation, insurance, commercial geography and commercial legislation. In 1905, when Carl W. Thompson, a graduate of Valparaiso, was made assistant professor of economics and director of the School of Commerce, the new name for the College of Business, the courses just mentioned were brought forward in the catalogue and announced as political economy courses rather than as business courses. Accounting was the only work now classified as economics which was then left in the School of Commerce.

President Droppers resigned in 1906. While he was at the University he gained the reputation of being an excellent instructor in his field. Many of his old students now pay tribute to him for the stimulating influence he had upon their mental processes. During his regime he succeeded in raising economics from the level of a side issue to the dignity of a major line. After leaving South Dakota he became professor of economics in 1908 at Williams College where he also achieved an enviable reputation as a teacher. During his stay at Williams he was selected to serve upon some of the public commissions of the state of Massachusetts. In 1914 he was appointed by President Wilson as minister to Greece and Montenegro, a position which he now holds. He has contributed several journal articles on specific questions in economics.

Upon the resignation of President Droppers, Mr. Thompson was appointed professor of economics. It will be noted that the term “political economy” was dropped from the title. “Economics” it has been since that day. Altogether some fourteen courses were announced under Thompson, including work in accounting which was transferred from the School of Commerce. Professor Thompson had a part in establishing the Socio-Economic club, an organization composed of advanced students in economics, sociology and history. Except for a few years it would appear that this club existed only on paper. It continued to be announced in the catalogues, however, until 1918. When the long and successful work of Dean Young came to its close with his death in 1908, the courses in sociology were transferred to Professor Thompson who then became the head of a new department, that of economics and sociology. Dean Young, it should be noted, never wrote any articles or books on economics, although he published matter of considerable importance in history, government and education.

Thompson resigned from the staff of the University in 1910. After serving for a time with the University of Minnesota, he accepted a position with the federal Department of Agriculture. At present he is one of the department’s specialists in rural organization. He was succeeded at South Dakota by Edwin G. Nourse, a graduate of Cornell, who came here from the Wharton School of Commerce and Finance of the University of Pennsylvania. Mr. Nourse was primarily interested in agricultural economics and it was his ambition to promote courses in that field. He discovered, however, that there was a greater demand among the student body for work of a commercial character, so he was compelled to surrender his plans and continue, in general outline, what his predecessors had been offering in corporations, insurance, banking, money, labor problems, transportation, and the like. Certain courses, such as those dealing with public finance, the problems of distribution, the economics of agriculture and corporations were set off as being “primarily for Seniors and graduates.” Four courses in sociology were offered. The name of the School of Commerce was changed to that of the Department of Commerce and Finance. Professor Nourse resigned in 1912. After leaving Vermillion he took his doctor’s degree at Chicago, then served for three years as professor of economics at the University of Arkansas and then, in 1918, he became professor of agricultural economics at Iowa State College. He has written extensively upon agricultural economics, his chief publication doubtless being his “Readings in Agricultural Economics.” His other books are “Brokerage,” “Outlines of Agricultural Economics,” and “The Chicago Produce Market.” The last named publication has been awarded the Hart, Schaffner & Marx prize. He has also published valuable journal articles on agricultural economics and taxation. It is not too much to say that he is gaining recognition today as one of the leading authorities in his special line.

Following Nourse came Frederick W. Roman (A.B., Yale, 1902; Ph.D., Berlin, 1910) who remained two years. Very little change was made in the departmental announcements during his stay. In 1913 Dr. Roman was one of the prime movers in a reorganization of the Socio-Economic club under the title of the Social Science club. Upon his resignation in 1912, Professor Roman accepted a position with Syracuse University where he is now located.

Elmer K. Eyerly followed Roman as professor of economics and sociology in 1914. He was also made dean of the College of Arts and Sciences. Dean Eyerly was an 1888 graduate of Franklin and Marshall who had spent several years in the state of South Dakota as a member of the Redfield, Yankton and South Dakota State faculties. Immediately prior to his coming to Vermillion he was associate professor of agricultural economics at the Massachusetts Agricultural College. The most important change made during his regime was the calling of Dr. Craig S. Thoms (A.B., Northwestern, 1888; Ph.D., Shurtleff, 1901) to be professor of applied sociology. Although Professor Thoms handled the elementary course in economics for three years and although Dean Eyerly continued to give courses in rural sociology and in social organization and control after the former’s appointment, Professor Thoms had the distinction of being the first instructor in the University’s history to be nominated as a sociologist. He is the author of two volumes: “The Workingman’s Christ,” and “The Bible Message for Modern Manhood.”

Another noteworthy thing done by Dean Eyerly was to discontinue the announcement of any courses under the Department of Commerce and Finance. All work in accounting and even the uncredited work in stenography and typewriting was brought forward in the catalogue for listing along with economics and sociology. However, a “suggested course in commerce and finance” was published and mention was also made under the head of University organization that there was a Department of Commerce and Finance. To all intents and purposes, however, that department was discontinued. In 1916 courses in economics and sociology were offered for the first time in the summer session. On account of his administrative duties Dean Eyerly was able to handle but a small amount of classroom work. Consequently, an instructor, Archie M. Peisch (A.B., Wisconsin, 1915) was engaged from 1915 to 1917 to handle courses in accounting, public finance, business barometers and commercial geography. Several correspondence courses were offered by the department at that time.

In the spring of 1917 Dean Eyerly resigned to devote his time to research. In this field he had already gained some notice through the publication of various articles on agricultural economics. Before long, however, he responded to the government need for trained men in his field and accepted a post as supervising farm help specialist with the U. S. Department of Agriculture. He was succeeded in the University by the writer. It is not the intention of the latter to expand upon his own times, but one or two facts should be stated to make our story complete. In the fall of 1917 economics was divorced from sociology and Professor Thoms was created the head of a separate department. Economics, likewise, was made to stand by itself. For the first semester of 1917-18, however, Professor Thoms continued to handle elementary economics. Since that time his work has been limited to sociology and Bible. It should also be mentioned that in the catalogue announcements for the year 1918-19 all reference to a Department of Commerce and Finance was omitted since, in fact, such a department had ceased to exist. Courses in accounting were listed in the catalogue as economics 21, economics 22, and so on, rather than accounting 1 and accounting 2, thus emphasizing the idea that accounting was to be handled from the economic rather than from the commercial or bookkeeping viewpoint. In February, 1918, Burton E. Tiffany (B. S., Greenville College, 1912) was appointed instructor in charge of accounting. Fifteen courses were announced by the department in the 1917-18 catalogue.

In conclusion, it is interesting to note that at least three of the men in charge of economics at the University have been primarily interested in agricultural questions. Yet not one of these men was able to create much demand for agricultural economics among his students, even though South Dakota is primarily an agricultural state. Again, it is rather remarkable to what extent the economists of the University have filled its administrative posts, either as presidents or as deans. Finally, attention should be called to the fact that practically all of the men named above have achieved distinction in the economic world as teachers, as writers, or as members of the public service. A heavy responsibility rests upon the existing departmental personnel in living up to the standards set by those who have, in times past, guided the department along its winding path.

Source: The Alumni Quarterly of the University of South Dakota. Vol. XIV, No. 4 (January, 1919), pp. 99 -105.