Tag: BrownEC

M.I.T. Graduate Program in Economics Brochure, 1974-1975

Post author By Irwin Collier
Post date 2024-08-06

It was fifty years ago this September that I entered the graduate program in economics at M.I.T. This is why the brochure outlining the graduate program as of the academic year 1974-75 is something I am particularly delighted to add as the newest digitized artifact to Economics in the Rear-view Mirror.

In other news, I just realized that I am now older than everyone seen on the faculty portrait taken in 1976.

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Most of the faculty members of the MIT department of economics on the steps of the Sloan Building (E52) in 1976.

Names of the assembled have been provided in an earlier post.

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MIT’s 1961 graduate economics brochure has been transcribed and posted earlier.

_______________________

MASSACHUSETTS INSTITUTE OF TECHNOLOGY
The Graduate Program in Economics
1974 – 1975

General Information
The Ph.D. Program in Detail

Schematic Schedule of Typical Entering Student

1. Dissertation
Graduate Subjects in Economics
The Faculty in Economics

MASSACHUSETTS INSTITUTE OF TECHNOLOGY
The Graduate Program in Economics
1974–75

1. General Information
  [Table of Contents]

Graduate study in economics began at M.I.T. in 1941 and has since developed to its present size of some 110 full-time students and 33 faculty members. Its major emphasis is on the training of doctoral candidates in a broad program of advanced study and research for professional careers in universities or colleges, in governmental and private research organizations, or in business or financial concerns. At the present time the demands on a professional economist are such that the depth and breadth of the doctoral program have become indispensable training for a successful career. The Department, therefore, ordinarily admits to full-time graduate study only candidates for the Ph.D. In order to maintain a close and continuing contact between students and faculty, the entering class is normally held to 30.

1. Program of Studies
  [Table of Contents]
  1. Ph.D. in Economics
    [Table of Contents]

The doctorate normally requires the full-time concentration of the student for three or four years. Formal requirements are limited in number. The candidate must (1) demonstrate a mastery in five fields of study in economics, one of which is economic theory, both micro and macro; (2) achieve a specified level of competence in economic history, econometrics, and statistics; (3) submit and defend a dissertation that represents a contribution to knowledge; and (4) be in residence for a minimum of two years.

These requirements are met not merely by passing some appropriate set of subjects, but through an over-all preparation of subject matter and techniques that goes beyond course work. Candidates may differ in their rate of progress toward the satisfaction of these requirements, depending on their background, preparation, and interests. Normally, however, the satisfaction of requirements, other than the dissertation, is completed by the end of the second year.

The dissertation is a test of the candidate’s ability to conduct independent research — to formulate a significant topic and to bring to bear on it the analytic and quantitative tools of economics. The dissertation is prepared under the direction of departmental committee. Upon submission of the completed thesis, the candidate is examined orally by the thesis committee.

The Department has no general foreign language requirements. When a foreign language is essential for full access to the literature in the field of the student’s major interest (for example, European Economic History, Communist Economies) or to his thesis research, a language requirement will be imposed by the Department upon the recommendation of the Thesis Supervisor or the Graduate Registration Officer. Such a requirement will be administered by the Department of Foreign Literatures and Linguistics, and can be met by satisfactory course work at other schools, at M.I.T., or by examination.

1. 1. Interdepartmental Ph.D. Program
    [Table of Contents]

Occasionally students may desire a program that overlaps more than one department, but which in content and depth meets doctoral standards. At the initiative of the student, and with the approval of faculty members of each department, arrangements can be made to have the Dean of the Graduate School appoint a committee to guide the entire Ph.D. program. For details see the Graduate Student Manual. One such program, for instance, has been worked out with the Department of Urban Studies and Planning.

1. 1. Master’s Program
    [Table of Contents]

In very special and rare cases, students are admitted for study programs leading to the M.S. in Economics. This is awarded upon the satisfactory completion of a program, approved by the Graduate Registration Officer, of a year’s full-time study, including the presentation of a satisfactory thesis. The master’s program usually involves completion of the Department’s core requirements (see below), a semester of econometrics, and two semesters of a special field, in addition to the thesis.

1. Admission to the Graduate School
  [Table of Contents]

To be admitted into the program, a student must hold a Bachelor’s degree or its equivalent from an accredited college or university. It is not essential that the undergraduate degree be in economics. Graduate students entering the Department have had a wide variety of major background preparation varying from literature to physics. Some preparation in undergraduate economics, especially in economic analysis, is almost a necessity. Candidates who, upon admission, are deficient in mathematics are strongly urged to take mathematics in the summer before entering the program or work on a recommended self-study program in calculus to prepare for 14.102 Mathematics for Economists.

Completed application forms for admission must be submitted to the Admissions Office at M.I.T. by January 15 of the calendar year in which the applicant wishes to enter. In addition to the Institute application forms, the Department expects each applicant to submit a statement (one or two pages) explaining his interest in economics. An informal questionnaire is provided for his general guidance. Entrance is normally in September. February entrance is granted only under exceptional circumstances, since many subjects given in the spring are continuations of work given in the fall.

All applicants are urged to take the Graduate Record Examinations no later than the January preceding the September in which they wish to enter. They should take the quantitative and verbal aptitude tests as well as the test in economics. (Information can be obtained by writing to Graduate Record Examinations, Educational Testing Service, Box 955, Princeton, New Jersey 08540. Students in western states or in eastern Asia or the Pacific should write to 1947 Center Street, Berkeley, California 94704.)

Decisions regarding admission are the responsibility of the Departmental Graduate Admissions Committee, which bases its judgment on the undergraduate academic record of the applicant, both in general and with respect to particular subjects, on the letters of recommendation, and on the Graduate Record Examinations. Further information may be secured by writing to the chairman of the committee. Notices of acceptance are sent out by April 1, and candidates have until April 15 to notify the Department of their choice.

1. Fellowships, Scholarships, and Financial Assistance
  [Table of Contents]

While in the past virtually all graduate students received financial aid through scholarships, fellowships, or assistantships, the financial situation has changed to such an extent that complete support can no longer be assured. Moreover, the outlook is so uncertain that no definite statement is possible, even about minimum aid. Every effort will be made within the limits of our financial resources to support students who perform effectively. In view of this uncertainty, the Department is making efforts to expand the number of research assistantships, but students should expect to earn or borrow a larger proportion of their support than has been true in the past.

The sources of financial support are varied. (1) Many students are assisted by fellowships for which there is a national competition, such as those given by the National Science Foundation (NSF), the Ford Foundation, the Danforth Foundation, the Canada Council, and by foreign governmental agencies. Applications for such fellowships must be made directly to the appropriate foundation or agency, and an application for admission must also be made to M.I.T. (2) Awards of scholarships or fellowships are also made from M.I.T. funds or endowments. These include the Hicks Fellowship in Industrial Relations, the Graduate Economics Alumni Fellowships, endowed Institute fellowships, and a limited number of departmental awards. (3) A third group of students is supported by part time teaching and research assistantships and instructorships. In the past, research and teaching assistantships have been limited to candidates who have passed their general examination and are engaged in thesis research. However, in the light of the present financial stringency, these rules may be relaxed somewhat with respect to limited research assistantships for second year students. (4) Finally, students in good standing can avail themselves of loans through the Office of Financial Aid. U.S. citizens who are planning to be teachers may avail themselves of an NDEA loan, a substantial portion of which is forgiven upon entry into and continuance in teaching. They are also eligible for government-insured loans that are partially subsidized. Foreign students. however, may borrow only through the Graduate Loan Fund at the prime interest rate.

Entering students should apply for financial aid not later than January 15 of the calendar year in which they plan to enter. First-year awards are made on April 1, and applicants are given until April 15 to accept. Departmental awards for second and subsequent years are made in June. It is entirely appropriate for students to apply both for national awards and to M.I.T., since the outcome of national competitions is known before our awards are announced. Fellowships normally will include some cash payment toward living expenses, up to $2,000 for a single or married person without dependents, made in two equal installments at the beginning of each term. In offering scholarships and fellowships, the Department takes into account need as well as professional promise.

Remuneration for research assistantships varies, but in 1974-75 is normally at the rate of $6,585 per academic year for half-time work, out of which tuition of $3,350 must be paid. A half-time teaching assistantship in 1974-75 covers the tuition and pays $3,510 for the academic year — a total of $6,860. A very few half-time instructorships, for students who have demonstrated conspicuously effective teaching as an assistant, cover tuition plus $4,345 for living expenses — a total of $7,695 for the academic year.

As a supplement to academic-year appointments, both interdepartmental and departmental research groups are possible sources of full-time summer employment.

The academic performance of the student body is periodically reviewed to determine whether or not normal academic progress is being made. Failure to maintain normal progress may result in reduction or withdrawal of financial support. Students are invited at all times to discuss academic problems with their graduate registration officer, and the Department makes every effort to accommodate the needs of individual students.

1. Foreign Students
  [Table of Contents]

The Department has always welcomed foreign graduate students. They have typically constituted a significant portion of the student body. Some M.I.T. fellowships are available to entering foreign students, though the number is limited and the competition severe. Foreign students have an additional burden of transportation expense to cover and for this reason it is highly desirable to try to obtain at least partial support from other sources as well.

General information on scholarships, grants and travel can be obtained from the Institute of International Education, 809 United Nations Plaza, New York, New York, 10017, or from the Cultural Affairs Officer or the United States Information Service Office nearest the student’s place of residence.

Foreign applicants are required to submit evidence of their ability to carry on studies in English. Applicants whose native language is not English are required to take the test of English as a Foreign Language (TOEFL). Students whose schooling has been in English may request a waiver from the Advisor to Foreign Students at M.I.T. TOEFL is administered by the Educational Testing Service, Princeton, New Jersey, 08540; registration material and information about the test may be obtained by writing to the above address.

1. Living Arrangements
  [Table of Contents]

The Department is located in the Sloan Building, which, along with the adjoining Hermann Building, contains contiguous faculty offices, classrooms and seminar rooms, and student and faculty lounges. This complex also houses the Sloan School of Management, the Department of Political Science, and the Center for International Studies. The Dewey Library occupies two floors of the Hermann Building and contains the social science collection at M.I.T., reading rooms, and carrels to which thesis writers are assigned individually.

On-campus housing for graduate students is limited. Applications should be sent to the On Campus Housing Office, Room E18-307, M.I.T. Help in securing off-campus housing is given by the Community Housing Service, E18-306, M.I.T. Students should be alerted to the fact that Cambridge rental units are limited and in heavy demand. Transportation is convenient; the Sloan Building is located one block from the Kendall Square subway station.

1. Graduate Economics Associations
  [Table of Contents]

The Graduate Economics Association, composed of all graduate students, is a lively organization that sponsors monthly seminars and social events, and is one of the channels through which mutual student-faculty problems are discussed. The seminars permit discussions of current research by distinguished economists and occasional dialogues between faculty members. They are often followed by small dinners to which graduate students and faculty are invited, permitting more discussion among visitors, students and faculty. The Association annually elects nine student representatives to participate as voting members in Department meetings and other Department committees. Student representatives are full participants in all matters except those involving specific, identifiable individuals, or undergraduate matters. This policy at present excludes the discussion of details, but not the general policy, of tenure decisions, review of non-tenure faculty, new appointments, review of student performance, admissions and financial support.

The Black Graduate Economics Association provides a forum for the development and utilization of economic tools for solving the problems faced by Black people, encourages policies and programs which help increase the supply of highly qualified Black economists, opens lines of communication with other Black graduate students, Black economists, and the Black community, stimulates academic excellence, and provides outlets for various social activities. The BGEA has helped develop audio-visual aids now in use in many Black colleges’ economics departments, engaged in Institute recruiting projects, and participated in conferences of Black economists and administrators of Black colleges and universities. An econometric model of income and expenditures in Black communities is in its initial stage of development as a research project.

The Ph.D. Program in Detail
[Table of Contents]
1. General Plan of the Program
  [Table of Contents]

Students who complete the Ph.D. program should have a thorough understanding of the existing principles of economic theory and of the economic structure; an ability to think systematically about, and apply quantitative methods to, economic problems. The program gives roughly equal emphasis to these two goals, with formal courses and examinations to meet the first, and seminars, workshops, papers and the dissertation to meet the second. The student spends most of his first two years attempting to understand the existing ideas of economics. A basic principle of the program is that these ideas are sufficiently worthwhile so that their study is a necessary prelude to their use or criticism.

Throughout the program, there are formal provisions for students to engage in original work. During the first two years, term papers are often required. During the second year each student prepares a research paper as part of the requirement in econometrics. Second-year students are also encouraged to take part in workshops in their fields of primary interest. After passing the general examination, at the end of the second year or earlier, students spend full time in their own independent, original work. Their only formal obligation is to participate actively in the weekly meetings of the workshops in their fields of research.

1. The Core of the Graduate Curriculum
  [Table of Contents]

The Department offers an integrated set of subjects in economic theory, mathematics, econometrics and economic history.

1. 1. Economic Theory
    [Table of Contents]

The core in economic theory consists of two subject-years equally divided between microeconomics (14.121-14.124) and macroeconomics (14.451-14.454). These subjects are described in Section III of this report. The material is divided into half-semester subjects. The microtheory sequence starts in the fall term and runs through the first year, while the macrotheory sequence starts in the spring term and continues through the fall term of the second year. A qualifying examination on these subjects is offered three times a year — in September, December-January, and May — that must be passed in order to satisfy this part of the core requirement. The examination will cover each of the eight portions of the theory core, and a syllabus is available for each.

When a student feels sufficiently well qualified in the subject matter of any of the theory core subjects, he may take the qualifying examination, either before or after a particular set of lectures is offered. Only a passing grade is recorded when the examination is taken in advance of the lectures. If he fails to pass, he can then enroll for that particular section of theory and take the examination again at the end of that term. Should he pass some portion of theory by the preliminary examination, he could substitute a subject in advanced economic theory in the half-term in which he would have taken the basic theory subject. In principle, it is possible to pass all eight units of the theory core in this way and to proceed directly to more advanced work.

The Schedule for the Qualifying Examination in Theory is as follows:

Subject matter covered in:	Preliminary	Regular	Make-up
14.121-122	Sept.-Year I	Dec.-Year I	Sept.-Year II
14.123-124, 14.451-452	Jan.-Year I	May-Year I	Jan. Year II
14.453-454	Sept.-Year II	Dec.-Year II	Sept.-Year III

1. 1. Mathematics
    [Table of Contents]

The minimal core requirement in mathematics is calculus and linear algebra. Calculus is required for Statistics (14.381). While not stated as a formal prerequisite for the core theory subjects, it is virtually a necessity for mastering them.

If a student’s preparation in calculus were inadequate to satisfy the prerequisite for 14.102 Mathematics for Economists, the completion of the statistics and economics core requirements would be postponed a year. Econometrics (14.382 and 14.383 and most advanced theory subjects (14.141-14.149) require linear algebra. Students who have had a year of calculus and who want more mathematical training normally would take Mathematics for Economists (14.102) in the first term.

1. 1. Econometrics
    [Table of Contents]

The econometrics and statistics core requirement can be satisfied by (1) Statistics (14.381); (2) either Econometrics (14.382 and 14.383) or Applied Econometrics (14.388); and the completion of a piece of empirical research the equivalent of a term paper. This paper is due by the end of the fall term of the second year.

Entering students who lack calculus, and cannot take 14.102 in the first term, have two choices: either to postpone the three-term sequence: 14.381, 14.382, and 14.383 — to their third through fifth terms, or to take the two-term sequence, 14.381 and 14.388, in their third and fifth terms.

1. 1. Economic History
    [Table of Contents]

The core requirement in economic history is the satisfactory completion of one subject in American Economic History (14.731), European Economic History (14.733), or Russian Economic History (14.781).

1. Special Fields
  [Table of Contents]

In addition to the satisfactory completion of the core requirements, competence in four special fields must be demonstrated, two by passing a general examination and two by either satisfactory course work or a general examination. Preparation for a field examination normally consists of a year’s course work. Satisfaction of a field by course work alone requires the achievement of a grade of B or better in each of the two terms of subject matter. (The econometrics and history requirements can be satisfied with a grade of B-.) The areas in which the Department offers specialization are: advanced economic theory, international economics, labor economics, economic development, urban economics, monetary economics, fiscal economics, statistics and econometrics, economic history, industrial organization, comparative economic systems, Russian economics, human resources and income distribution, and, outside the Department, finance, production, transportation, and operations research. It is possible to use econometrics as a field without preparation beyond the core requirements. Economic history can be offered as a field by adding a second subject to the one satisfying the core requirement.

Students normally demonstrate competence in all four fields by the end of their second year. That is, they normally finish their required course work and general examinations by that time. In the event that scheduling or other difficulties interfere with this timing, one field other than theory or econometrics (including the paper — see II.B.3 above), or one subject in a field and in history, may be postponed until the third year. Before making such a deferment, students should consult with their Graduate Registration Officer.

Students planning to take the general examination before the end of the second year — the usual time — should consult in advance with their Graduate Registration Officer. In any case, such students would still be held to the above schedule.

Schematic Schedule of Typical Entering Student
[Table of Contents]

	[First year]		[Second year]
	1^st [term]	2^nd [term]	3^rd [term]	4^th [term]
Theory: Micro	14.121-2	14:123-4
Theory: Macro		14.451-2	14-453-4
Statistics and Econometrics	14.381 or 14.381	14.382	14.383 14.388
Mathematics	14.102
Special Fields and History	1 subject	1-2 subjects	2 subjects	4 subjects
Total Number of Subjects	4	4	4	4

*The minimal number of subjects to satisfy the special field and history requirements depends on whether history or econometrics is offered as a special field. If neither are offered, 9 subjects are required; if history, 8 subjects; if econometrics, 7 subjects; if both, 6 subjects.

1. Dissertation
  [Table of Contents]

Upon satisfaction of the core and field requirements, the Ph.D. candidate embarks on original research culminating in a completed dissertation that is defended orally. Thesis writers are required to participate in the workshop most germane to the subject of their thesis over the period of time they are working on it. Upon agreement on a topic with a primary thesis supervisor, a secondary thesis supervisor will be chosen by the student, subject to the approval of the Graduate Committee. A third faculty reader will be appointed by the Graduate Committee in consultation with the candidate when a final draft of the thesis will reasonably be expected to be completed within six months. The third faculty reader will have as his main function the unitary reading of the complete final draft of the thesis. These three faculty members will be the candidate’s thesis committee and are responsible for its acceptance and final defense.

In order to give adequate time for the final thesis review and revision, the completed draft must be submitted for final review a month before the Institute dates for submission of the dissertation. In 1975 the formal Institute dates are January 5, May 2, and August 11.

Graduate Subject in Economics
[Table of Contents]
1. General Economics and Theory
  [Table of Contents]

14.101	Mathematics for Economists Prereq.:—————	Units
14.101	Year: G(1)	3-0-6
Elementary calculus. Applications in economics. (Not offered 1974-75)

14.102	Mathematics for Economists Prereq.: 14.101	Units
14.102	Year: G(1)	3-0-6
Vector spaces and matrices; multivariate calculus and maximization with equality constraints; elementary differential equations.		H. A. Freeman

14.121	Microeconomic Theory I (A) Prereq.: 14.04	Units
14.121	Year: G(1) (1^st half of term)	2-0-4
Monopoly, oligopoly, product differentiation, monopsony. Comparison with pure competition. Comparative statics. Partial equilibrium welfare analysis.		R. L. Bishop

14.122	Microeconomic Theory II (A) Prereq.: 14.121	Units
14.122	Year: G(1) (2nd half of term)	2-0-4
Introduction to the theory of resource allocation and the price system. Emphasis on the use of efficiency prices as a guide to decentralized decision making.		M. L. Weitzman

14.123	Microeconomic Theory III (A) Prereq.: 14.122	Units
14.123	Year: G(2) (1^st half of term)	2-0-4
Theory of the producer and consumer. Cost functions, expenditure functions. Theory of distribution. Introduction to general equilibrium.		H. R. Varian

14.124	Microeconomic Theory IV (A) Prereq.: 14.123	Units
14.124	Year: G(2) (2nd half of term)	2-0-4
Capital theory and welfare economics.		P. A. Samuelson

14.132	Schools of Economic Thought (A) Prereq.:14.122	Units
14.132	Year: G(2)	3-0-6
Economic ideas developed by different groups of economists in recent times.		R. L. Bishop, P. A. Samuelson

14.141	General Equilibrium Theory Prereq.:14.124	Units
14.141	Year: G(1) (2^nd half of term)	2-0-4
General equilibrium. Existence and stability of competitive equilibrium. The core of an economy. (Not offered in 1974-75)		F. M. Fisher

14.142	Mathematical Programming and Economic Theory (A) Prereq.:14.122	Units
14.142	Year: G(2) (1^st half of term)	2-0-4
A rigorous treatment of linear and non-linear programming with applications to economic model building, including activity analysis and input-output.		M. L. Weitzman

14.143	Advanced Theory of the Market III (A) Prereq.: 14.122	Units
14.143	Year: G(2) (2^nd half of term)	2-0-4
Oligopoly and product differentiation, advertising, equilibria with seasonal or cyclical demand shifts.		R. L. Bishop

14.144	Applied Price Theory Prereq.:14.122	Units
14.144	Year: G(1) (1^st half of term)	2-0-4
Applications of price theory treated topically. Selected topics in price theory, with focus changing from year to year. Current emphasis is on the economics of exhaustible and renewable natural resources.		R. M. Solow

14.145	Economics of Uncertainty Prereq.:14.124	Units
14.145	Year: G(2)	3-0-9
Individual behavior under uncertainty. Equilibrium and welfare under uncertainty. Search and information.		J. A. Hausman, P. A. Diamond

14.148	Advanced Topics in Microeconomic Theory (A) Prereq.:14.124	Units
14.148	Year: G(2)	Arr.
14.149	Advanced Topics in Microeconomic Theory (A) Prereq.:14.124
14.149	Year: G(2)	Arr.
Advanced topics in microeconomic theory of current interest.		Staff

14.151	Mathematical Approach to Economics (A) Prereq.:14.122	Units
14.151	Year: G(2)	3-0-6
The use of mathematical methods in all the fields of economics.		P. A. Samuelson

14.191	Economics Seminar (A) Prereq.:14.121, 14.122	Units
14.191	Year: G(1)	3-0-6
14.192	Economics Seminar (A) Prereq.:14.121, 14.122
14.192	Year: G(2)	3-0-6
Special economic problems. In 1974-75, 14.192 — Economics of Public Sector.		J. Rothenberg

14.193	Seminar: Topics in Economics (A) Prereq.:14.121, 14.451	Units
14.193	Year: G(1)	3-0-6
14.194	Seminar: Topics in Economics (A) Prereq.:14.122, 14.452
14.194	Year: G(2)	3-0-6
Topics in economics of current interest.		Staff

14.195	Reading Seminar in Economics (A) Prereq.:14.122	Units
14.195	Year: G(1)	Arr.
14.196	Reading Seminar in Economics (A) Prereq.:14.122
14.196	Year: G(2)	Arr.
Reading and discussion of special topics in economics. (Open to advanced graduate students by arrangement with individual numbers of the staff.)		Staff

14.197	First-Year Graduate Seminar (A) Prereq.: 14.04	Units
14.197	Year: G(1)	2-0-6
Seminar limited to first-year graduate students. Discussion of projects of students, professional literature, methodology, economic policy, extending beyond regular curriculum.		J. N. Bhagwati

1. Industrial Economics
  [Table of Contents]

14.271	Problems in Industrial Economics (A) Prereq.: 14.04	Units
14.271	Year: G(1)	3-0-6
Small and large enterprises in the American economy; market structures; degrees of monopoly and competition; requisites of public policy.		M. A. Adelman

14.272	Government Regulation of Industry (A) Prereq.: 14.271	Units
14.272	Year: G(2)	3-0-6
Follows 14.271. Development of anti-trust policy, generally and in specific cases. “Public utility” price fixing, government ownership as alternative.		P. L. Joskow

14.291	Industrial Economics Seminar (A) Prereq.:14.271	Units
14.291	Year: G(1)	3-0-6
14.292	Industrial Economics Seminar (A) Prereq.:14.271
14.292	Year: G(2)	3-0-6
Readings, discussions, reports on such topics as industrial price policies, government regulation of industry, competitive practices, and similar problems in industrial economics.		Staff

1. Statistics and Econometrics
  [Table of Contents]

14.371

Statistical Inference (A)
Prereq.: 18.02

Units

Year: G(1)

3-0-9

A compact one-term course in elementary probability and statistical Inference. Axiomatic probability, random variables, distribution functions, mathematical expectation, generating functions, transformations of random variables, simple correlation and regression models, the normal distribution, sampling theory, point and interval estimation, maximum likelihood, least squares, testing statistical hypotheses. The exposition is somewhat more mathematical than

14.381.

H. A. Freeman

14.373	Time-Dependent Probability (A) Prereq.: 14.371 or 18.303	Units
14.373	Year: G(2)	3-0-6
Markov chains and Markov processes, the relevant ergodic theorem, Kolmogorov equations, time series theory; spectral density functions, harmonic representation, autoregressive models.		H. A. Freeman

14.374	Design and Analysis of Scientific Experiments (A) Prereq.: 14.381	Units
14.374	Year: G(2)	3-0-6
Application of statistical theory to the design and analysis of scientific experiments. Factorial and fractional factorial designs. Applications to experimentation in the physical, chemical, biological, medical, and social sciences.		H. A. Freeman

14.381	Statistical Method in Economics (A) Prereq.: 14.101 or 18.02	Units
14.381	Year: G(1)	4-0-8
Self-contained introduction to probability and statistics which serves as a background for advanced econometrics. Elements of probability theory, sampling theory, asymptotic approximations, decision theory approach to statistical estimation focusing on regression, hypothesis testing and maximum likelihood methods. Illustrations from economics and application of these concepts to economic problems.		J. A. Hausman

14.382	Econometrics I (A) Prereq.:14.102, 14.381	Units
14.382	Year: G(2)	4-0-8
14.383	Econometrics II (A) Prereq.:14.382
14.383	Year: G(1)	4-0-8
Theory and economic application of the linear multiple regression model. Identification and structural estimation in simultaneous models. Analysis of economic policy and forecasting in macroeconomic models. A term paper involving substantive original empirical research is required in 14.383.		R. F. Engle, R. E. Hall, J. A. Hausman

14.386	Advanced Topics in Econometrics (A) Prereq.: 14.383	Units
14.386	Year: G(2)	3-0-6
Selected topics including specification error, non-linear estimation, simulation, aggregation, and the derivation of economic policy models. (Not offered in 1974-5)		R. F. Engle, R. E. Hall, J. A. Hausman

14.388	Applied Econometrics (A) Prereq.: 14.102, 14.381	Units
14.388	Year: G(1)	3-0-9
Theory and practice of econometrics. The linear regression model, tests of hypotheses, generalized least squares, distributed lags, and simultaneous equations. Emphasis on applications. A term paper required.		R. F. Engle

14.391	Workshop in Economic Research (A) Prereq.:14.124, 14.454	Units
14.391	Year: G(1)	2-0-10
14.392	Workshop in Economic Research (A) Prereq.:14.124, 14.454
14.392	Year: G(2)	2-0-10
Designed to develop research ability of students through intensive discussion of dissertation research as it proceeds, carrying out of individual or group. research projects, and critical appraisal of current reported research. Workshops divided into various fields, depending on interest and size.		Staff

1. National Income and Finance
  [Table of Contents]

14.451	Macroeconomic Theory I (A) Prereq.: 14.06	Units
14.451	Year: G(1) (1^st half of term)	2-0-4
Macroeconomic analysis of general equilibrium. Financial markets and investment. Intertemporal equilibrium and growth models.		S. Fischer

14.452	Macroeconomic Theory II (A) Prereq.: 14.451	Units
14.452	Year: G(2) (2^nd half of term)	2-0-4
Determination of aggregate output, employment, and prices under static conditions. Keynes and alternate theories. The Phillips Curve. Inflation in the short and long run.		R. E. Hall

14.453	Macroeconomic Theory III (A) Prereq.: 14.452	Units
14.453	Year: G(1) (1^st half of term)	2-0-4
Quantitative macroeconomics. Consumption, investment, and other components of aggregate demand. Structure of complete econometric models of the U.S. economy		R. E. Hall

14.454	Macroeconomic Theory IV (A) Prereq.: 14.453	Units
14.454	Year: G(1) (2^nd half of term)	2-0-4
Growth models. Capital theory.		R. M. Solow

14.458	Advanced Topics in Macroeconomic Theory (A) Prereq.: 14.454	Units
14.458	Year: G(1)	Arr.
14.459	Advanced Topics in Macroeconomic Theory (A) Prereq.: 14.454
14.459	Year: G(2)	Arr.
Advanced topics in macroeconomic theory of current interest.		Staff

14.462	Monetary Economics I (A) Prereq.: 14.122, 14.452	Units
14.462	Year: G(2)	3-0-6
Examination of sources and determinants of supply of money with special attention to roles of commercial banks, Federal Reserve System, and Treasury. Discussion of nature of demand for money. Role of monetary policy in determination of level of economic activity. (Not offered in 1974-5; substitute 15.432 Capital Markets and Financial Institutions)		F. Modigliani

14.463	Monetary Economics II (A) Prereq.: 14.122, 14.452	Units
14.463	Year: G(1)	3-0-6
General equilibrium theory of money, interest, prices, and output; portfolio problems, cost of capital, and the effects of monetary phenomena on investment and accumulation of wealth with special reference to problems arising from uncertainty.		S. Fischer

14.471	Fiscal Economics I (A) Prereq.:14.122, 14.452	Units
14.471	Year: G(1)	3-0-6
14.472	Fiscal Economics II (A) Prereq.:14.122, 14.452
14.472	Year: G(2)	3-0-6
Examination, both theoretic and quantitative, of governmental fiscal institutions and behavior: the budget process, taxation, expenditure, pricing, and debt activities.		P. A. Diamond, A. F. Friedlaender

14.482	Income Distribution Economics (A) Prereq.: 14.124	Units
14.482	Year: G(1)	3-0-9
Modern theories and empirical studies of the determinants of the distribution of income and wealth.		L. C. Thurow

1. International, Interregional, and Urban Economics
  [Table of Contents]

14.572J	Regional Economic Analysis (A) Prereq.: 14.03 or 14.05	Units
14.572J	Year: G(2)	3-0-6
Analysis of regional economies with emphasis on the sources, characteristics, and implications of spatial concentrations of economic activities. Urban development in its regional setting is examined and the special problems of lagging areas in both developing and developed countries. Methods of integrating national and regional planning.		J. R. Harris

14.573J	Urban Economic Analysis I (A) Prereq.: 14.03 or 14.05	Units
14.573J	Year: G(1)	3-0-6
Patterns and processes of growth and structural change within metropolitan areas. The land use market and the spatial structure of the metropolitan community. The housing market: demand and supply, growth, aging, and renewal. The urban transportation system and its problems. Models of the metropolis. In each of these topics, emphasis on the resource allocation process, its efficiency and implications for income distribution.		W. C. Wheaton

14.574J	Urban Economic Analysis II (A) Prereq.: 14.573J	Units
14.574J	Year: G(2)	3-0-6
Continuation of 14.573J. The nature and problems of government decision-making in metropolitan areas. The economies of segregation, congestion, and pollution in the metropolitan area. Urban-suburban relations; market and government. Welfare economics and the normative theory of local public policy. Applied normative analysis: criteria for public expenditures; cost benefit analysis. Examination of public policy issues in current urban problems; poverty, race, the spatial form of the city, optimal land use patterns, growth and renewal, development and new communities.		J. Rothenberg

14.581	International Economics I (A) Prereq.: 14.04, 14.06	Units
14.581	Year: G(1)	4-0-8
Theory of international trade and applications in commercial policy.		J. N. Bhagwati

14.582	International Economics II (A) Prereq.: 14.581	Units
14.582	Year: G(2)	4-0-8
Adjustment in international economic relations with attention to foreign exchange markets, balance of payments, and the international monetary system.		C. P. Kindleberger

1. Labor Economics and Industrial Relations
  [Table of Contents]

14.671J	Labor Economics (A) Prereq.: 14.64 or 15.663	Units
14.671J	Year: G(1)	3-0-6
Primary emphasis on the structure of labor markets and the determinants of wage levels, unemployment, the distribution of income and employment opportunity. Special attention will also be given to the impact of unions on both wage and non-wage elements of collective bargaining in the light of the characteristics and objectives of particular unions. Other special topics growing out of recent research in labor economics.		M. J. Piore, C. A. Myers

14.672J	Public Policy on Labor Relations (A) Prereq.: 14.64, 15.663	Units
14.672J	Year: G(1)	3-0-6
Major trends in legislation and other government activities affecting the work place. Topics include wage and price controls, equal opportunity employment, and government regulation of union organization, collective bargaining, industrial disputes, wages and hours of work, and work-place health and safety. The broad economic and social questions raised by these trends also explored.		M. J. Piore D. Q. Mills

14.674J	Comparative Systems of Industrial Relations and Human Resource Development (A) Prereq.: 14.64, 15.663	Units
14.674J	Year: G(2)	3-0-6
International and comparative analysis of industrial relations systems and systems of human resource development. Concentration on an examination of selected issues involving interest groups and the strategies of economic development, including discussion of the nature and functions of labor and management organization in different contexts; the role of the state in establishing procedures and in shaping the substance of industrial relations; the participation of interest groups in the formulation of economic and social policy: manpower and economic growth in the context of comparative systems of human resource development; worker participation in management, and other topics.		C. A. Myers E. Tarantelli

14.691J	Research Seminar in Industrial Relations (A) Prereq.:14.671J or 14.672J	Units
14.691J	Year: G(1)	3-0-6
14.692J	Research Seminar in Industrial Relations (A) Prereq.:14.14.691J
14.692J	Year: G(2)	3-0-6
Discussion of important areas for research in industrial relations, frameworks for research, research techniques, and methodological problems. Centered mainly on staff research and the thesis research of advanced graduate students		C. A. Myers

14.672J	Public Policy on Labor Relations (A) Prereq.: 14.64, 15.663	Units
14.672J	Year: G(1)	3-0-6
Major trends in legislation and other government activities affecting the work place. Topics include wage and price controls, equal opportunity employment, and government regulation of union organization, collective bargaining, industrial disputes, wages and hours of work, and work-place health and safety. The broad economic and social questions raised by these trends also explored.		M. J. Piore D. Q. Mills

1. Economic History
  [Table of Contents]

14.731	American Economic History (A) Prereq.: 14.121	Units
14.731	Year: G(1)	3-0-6
Survey of the beginnings of American industrialization, emphasizing a quantitative approach and the nineteenth century. Topics include effects of government economic policies, such as land distribution and tariffs, the importance of railroads, profitability of slavery.		P. Temin

14.732	Russian Economic History (A) Prereq.: 14.122	Units
14.732	Year: G(2)	3-0-9
A comparative study of the major problems in Russian economic history prior to 1917 both for their own sake and as a background for understanding of the events of 1917 and of the Soviet policies since. The topics covered vary yearly depending on the interests of the participants, but the land and peasant problems and industrialization methods emphasized.		E. D. Domar

14.733	European Economic History (A) Prereq.: 14.121	Units
14.733	Year: G(1)	3-0-6
Development of the European economy since 1750 and, especially since 1850, with emphasis on growth and slowdown, the transition from local to national and European-wide institutions, and extra-European relations.		C. P. Kindleberger

14.734	Problems in Economic History (A) Prereq.: 14.731, 14.732, or 14.733	Units
14.734	Year: G(2)	3-0-6
Analysis of problems of industrial society, concentrating on the century after 1860 and on the American experience. Topics vary yearly and include effects of wars on welfare and growth, the nature of the long deflation of the late nineteenth century, the contrast in international relations before and after 1914, the depression of the 1930’s.		P. Temin

1. Economic Development
  [Table of Contents]

14.771	Problems of Economic Development (A) Prereq.: 14.122, 14.452	Units
14.771	Year: G(1)	3-0-6
Analysis of problems of the rural sector in developing countries, urban-rural migration, unemployment, sectoral balance and efficiency of private resource allocation.		R. S. Eckaus

14.772	Theory of Economic Development (A) Prereq.: 14.122, 14.452	Units
14.772	Year: G(2)	3-0-6
Analysis of problems of international trade and development; study of structure and use of planning models for development policy and use of cost benefit analysis.		J. N. Bhagwati

14.773	Optimal Growth Theory (A) Prereq.: 14.124, 14.454	Units
14.773	Year: G(2)	3-0-9
The optimal growth problem, duality theory, development and application of the maximum principle. The behavior of optimal trajectories for a variety of situations. (Alternate years. Offered 1974-75.)		M. L. Weitzman

14.774J	Transfer and Adaptation of Technology in Developing Countries (A) Prereq.: Permission of Instructor	Units
14.774J	Year: G(2)	3-0-6
Consideration of the problems of transferring and adapting technologies originating and used in the richer countries of the world to the developing nations. Specific topics include: political, institutional, economic, and engineering issues involved in the transfer of technology.		R. S. Eckaus, F. Moavenzadeh, N. Choucri

14.782	Capitalism, Socialism and Growth (A) Prereq.: 14.122, 14.452	Units
14.782	Year: G(1)	3-0-6
A comparative study of capitalist and socialist economies mainly from the point of view of development and growth, and with major emphasis on the economy of the Soviet Union.		E. D. Domar

14.783	Theory of Central Planning (A) Prereq.: 14.124	Units
14.783	Year: G(2)	3-0-9
Multilevel planning. Decomposition principles and their application. Planning with prices and with quantities. Materials balancing and input-output. Applications of inventory theory. The problems posed by non-convexities. (Alternate years. Not offered 1974-75.)		M. L. Weitzman

The Faculty in Economics
[Table of Contents]

Morris A. Adelman, Ph.D., Harvard; Professor of Economics.

Sidney S. Alexander, Ph.D., Harvard; Professor of Economics.

Jagdish N. Bhagwati, Ph.D., M.I.T.; Professor of Economics.

Robert L. Bishop, Ph.D., Harvard; Professor of Economics; Chairman, Graduate Admissions Committee.

E. Cary Brown, Ph.D., Harvard; Professor of Economics; Head of Department.

Peter A. Diamond, Ph.D., M.I.T.; Professor of Economics; Graduate Registration Officer; Chairman, Department Graduate Committee.

Evsey D. Domar, Ph.D., Harvard; Professor of Economics; Graduate Placement Officer.

Richard S. Eckaus, Ph.D., M.I.T.; Professor of Economics; Graduate Registration Officer; Chairman, Committee on Economic Research.

Robert F. Engle, III, Ph.D., Cornell; Associate Professor of Economics.

Stanley Fischer, Ph.D., M.I.T.; Associate Professor of Economics.

Franklin M. Fisher, Ph.D., Harvard; Professor of Economics (on leave).

Harold A. Freeman, S.B., M.I.T.; Professor of Statistics.

Ann F. Friedlaender, Ph.D., M.I.T.; Professor of Economics.

Robert E. Hall, Ph.D., M.I.T.; Professor of Economics; Graduate Registration Officer.

John R. Harris, Ph.D., Northwestern; Associate Professor of Economics.

Jerry A. Hausman, Ph.D., Oxford; Assistant Professor of Economics.

Karl G. Jugenfeldt, Ph.D., Visiting Professor of Economics (Spring Term).

Paul L. Joskow, Ph.D., Yale; Assistant Professor of Economics.

Charles P. Kindleberger, Ph.D., Columbia; Professor of Economics.

Edwin Kuh, Ph.D., Harvard; Professor of Economics.

Franco Modigliani, D.Jur., Rome, and D.Soc.Sci., New School of Social Research; Institute Professor; Professor of Economics.

Charles A. Myers, Ph.D., Chicago; Professor of Industrial Relations.

Michael J. Piore, Ph.D., Harvard; Associate Professor of Economics (on leave, Spring Term).

Jerome Rothenberg, Ph.D., Columbia; Professor of Economics.

Paul A. Samuelson, Ph.D., Harvard; Institute Professor; Professor of Economics.

Abraham J. Siegel, Ph.D., California (Berkeley); Professor of Industrial Relations; Associate Dean of Management.

Robert M. Solow, Ph.D., Harvard; Institute Professor; Professor of Economics.

Lance J. Taylor, Ph.D., Harvard; Professor of Nutritional Economics.

Peter Temin, Ph.D., M.I.T.; Professor of Economics.

Lester C. Thurow, Ph.D., Harvard; Professor of Economics (on leave, Spring Term).

Hal R. Varian, Ph.D., California (Berkeley); Assistant Professor of Economics.

Martin L. Weitzman, Ph.D., M.I.T.; Professor of Economics.

William C. Wheaton, Ph.D., Penn.; Assistant Professor of Economics.

Source: M.I.T., Institute Archives. MIT Department of Economics Records, Box 2, Folder “Department Brochures”.

Tags Adelman, Alexander, Bhagwati, Bishop, BrownEC, Diamond, Domar, Eckaus, Engle, Fischer, FisherFM, FreemanHA, Friedlaender, HallR, HarrisJR, Hausman, Joskow, Kindleberger, Kuh, MillsDQ, Modigliani, Myers, Piore, Rothenberg, Samuelson, Siegel, Solow, Tarantelli, TaylorLJ, Temin, Thurow, Varian, Weitzman, Wheaton

Economics Programs Economists M.I.T.

M.I.T. Department of Economics Annual Report by E. Cary Brown, 1975-1976

Post author By Irwin Collier
Post date 2024-04-20

The following annual report of the M.I.T. department of economics was most likely written for the care and feeding of administrators and the members of the department’s visiting committee. This report covers what was my second year of graduate school, so for folks from that time it reads like an annual Holiday newsletter to the family.

_______________________

Department of Economics
1975 – 76

Undergraduate Program

The long-run impact of the past year’s changes in the Institute Requirement in the Humanities, Arts, and Social Sciences is not yet clear. Unquestionably they have increased the Department’s enrollment, but the precise amount is uncertain because simultaneously a major revision was made in the two introductory economics subjects. In the past year enrollments were larger than previously, but smaller than in the transition of the previous year. Nearly 200 of the Class of 1976 concentrated in economics for their Humanities, Arts, and Social Sciences Requirement. Of all students presently enrolled, 327 (primarily juniors and seniors) have elected to concentrate in economics.

Undergraduate majors remain steady in numbers. As in 1974-75, 20 degrees were awarded. In the spring term the Undergraduate Economics Association was reactivated. Its weekly meetings with faculty led to several proposals for revision of the undergraduate program, and several student-faculty socials were organized.

Graduate Program

Enrollment has been remarkably steady in the graduate program. The number of applications for admission was virtually identical to the average of the previous six years. Next year’s entering class of 32 will be slightly larger than average, and will have fewer foreign students and more women, reflecting a shift in the percentage of applications from these groups. Four students from minority groups are expected to be in this class.

Financial support for the graduate student has changed very little over the last several years. We are still fortunate in having from one-third to one-half of the entering students on National Science Foundation Fellowships. For the whole student body, there has been an increase in the support by US foundations (other than NSF) and a decrease in support provided by M.I.T.

The number receiving the Doctor of Philosophy increased somewhat in the past year to 21. For the first time, two American blacks received degrees.* The class fared well in placement, their median salary offer totaling 24 percent above that of 1971. Like the past average, 86 percent went into teaching and 14 percent into non-teaching positions.

*Samuel Myers, Jr. Ph.D. thesis: “A Portfolio Model of Illegal Transfers”, supervised by Robert Solow.
Glenn Loury. Ph.D. thesis: “Essays in the Theory of the Distribution of Income”, supervised by Robert Solow.
See: William Darity Jr. and Arden Kreeger, “The Desegregation of an Elite Economics Department’s PhD Program: Black Americans at MIT“, History of Political Economy 46 (annual suppl.)

The Graduate Economics Association awarded the outstanding teacher in the Department prize to Professor Stanley Fischer.

PUBLIC SERVICE ACTIVITIES

The faculty has always been involved in public service activities tying research to the public interest. In connection with M.I.T.’s participation in the Bicentennial Celebration, Professor Jagdish N. Bhagwati set up a recent conference on the New International Economic Order: Professor Ann F. Friedlaender is planning one for this fall on Air Pollution and Administrative Control. Through the German Marshall Fund, Professor Richard S. Eckaus is organizing a fall conference on economic problems of Portugal. Professor Franco Modigliani arranged a conference through the Bank of Finland on International Monetary Mechanisms.

Various Congressional committees and government agencies have been advised. Professor Peter A. Diamond served on the Consultant Panel on Social Security for the Congressional Research Service. Professors Rudiger Dornbusch and Fischer and Institute Professor Paul A. Samuelson prepared a report for the US Department of Commerce on international financial arrangements. Professor Robert E. Hall was a member of the Advisory Committee on Population Statistics, Bureau of the Census. Professor Jerry A. Hausman served on the Econometrics Advisory Committee to the Federal Energy Administration. Institute Professor Modigliani was a consultant and member of the Committee on Monetary Statistics, Board of Governors of the Federal Reserve System. Institute Professor Samuelson consulted with the Board of Governors of the Federal Reserve System, the US Treasury, and the Congressional Budget Office. Professor Charles A. Myers was a member of the National Manpower Policy Task Force. Institute Professor Robert M. Solow served as Deputy Chairman, Federal Reserve Bank of Boston.

Several faculty members have been involved with the National Academy of Sciences and its related organizations. Professor Eckaus prepared a report, Appropriate Technology for Developing Countries, for the Board on Science and Technology for Developing Countries of the National Academies of Science and Engineering. Professor Franklin M. Fisher served on a National Academy panel on the Effects of Deterrence and Incapacitation; Professor Friedlaender was on the Executive Committee, Assembly of Behavioral and Social Sciences, National Research Council; Institute Professor Modigliani was on the Finance Committee; Institute Professor Samuelson served on the Editorial Board of the Proceedings; and Institute Professor Solow chaired the Steering Committee on Environmental Studies.

Professor Eckaus led an OECD Mission to Portugal that included Professors Lance Taylor and Dornbusch.* Professor Paul L. Joskow was a consultant to OECD in energy. Professor Evsey D. Domar was a member of a delegation of economists sent by the American Economic Association to the Soviet Union. Institute Professor Modigliani, who gave much time to the problems of stabilization in Italy, was a member of the Board of Directors of the Italian Council for Social Sciences.

*Along with several graduate students among whom were Paul Krugman, Andrew Abel and Jeffrey Frankel. Paul Krugman has written a short note about this experience with a picture!

The Brookings Institution Panel for Economic Activity included Professors Dornbusch and Hall, with Institute Professors Modigliani, Samuelson, and Solow as senior advisors to it. Professor Friedlaender served on the examining committee, Graduate Records Examination, Educational Testing Service. Institute Professor Modigliani served on the Committee on Economic Stabilization, Social Science Research Council. Professor Fisher is a member of the Board of Governors of Tel Aviv University. Institute Professor Solow continues as Trustee for the Institute of Advanced Study.

RESEARCH

International topics seem to dominate the research interests of the faculty. Professor Bhagwati, in addition to his work in developing countries and international trade theory, has given attention to a proposal for applying taxation to the brain drain. Professor Eckaus studied the role of financial markets and their regulation and the behavior of income distribution in economic development. Professor Taylor had three major areas of research: the development of nutrition planning models in Pakistan, international food aid and reserve policies, and growth and income distribution in Brazil.

Professor Morris A. Adelman’s continuing research on the world oil market, Professor Joskow’s analysis of the international nuclear energy industry, and Professor Martin L. Weitzman’s examination of OPEC and oil pricing involve applied microeconomics with international implications.

Research in various applied microeconomics areas was responsible for the second largest fraction of faculty effort. Institute Professor Solow continued to research the economics of exhaustible resources, and Professor Weitzman completed his analysis of the optimal development of resource pools. Professor Joskow has explored the future of the electric utility industry and its financing, the future of the US atomic energy industry, and the pattern of energy consumption in the US. He is developing a simulation model of the energy industry, and is reviewing the regulatory activities of government agencies in general and the health care sector in particular. Professor Hausman examined the Project Independence Report and is analyzing the choice of new technologies in energy research.

In the transporation field, Professor Friedlaender surveyed the issues in regulatory policy for railroads and alternative scenarios in federal transporation policy. Professor Jerome Rothenberg examined such problems in urban transportation as pricing policies, demand sensitivity to price, and modeling locational effects. Professor William C. Wheaton considered an optimal pricing and investment policy in highways under a gasoline tax.

Inextricably intertwined with urban transportation are questions of urban location and housing. Professor Rothenberg carried out research in such aspects of this problem as microeconomics of internal migration, supply-demand for housing in multizoned areas, the impact of energy costs on urban location, and the development of a model of housing markets and of metropolitan development and location that can be applied to general policy questions. Professor Wheaton developed an equilibrium model of housing and locational choice based on Boston experience.

Institute Professor Modigliani also conducted research on the housing market, but his interest comes primarily from the side of stabilization policies and similar macroeconomic problems. He also participated in a review after 20 years of his life cycle hypothesis of saving, made monetary policy prescriptions for both the US and Italy, reflected on the description of financial sectors in econometric models, and explored more deeply the application of optimal control to the design of optimal stabilization policies in economic models. Institute Professor Samuelson reviewed the art and science of macromodels over the 50 years of their development. Professor Friedlaender completed a quarterly macromodel of the Massachusetts economy. Professor Hall developed a model to deal with income tax changes and consumption.

Public economics has both macro and micro aspects, both of which are represented in the Department’s research. With Visiting Professor James A. Mirrlees, Professor Diamond theorized about public shadow prices with constant returns to scale, and about the assignment of liability. He also has generalized the Ramsey tax rule and continued his research into an optimal Social Security system. Professor Hausman is reexamining the cost of a negative income tax; Professor Rothenberg analyzed the distributional impact of public service provision; and Professor Wheaton explored intertemporal effects of land taxes, fiscal federalism in practice, and the financial plight of American cities.

Besides such theoretical research, there was significant research of an entirely pure nature. Professor Robert L. Bishop reexamined the measurement of consumer surplus. Professor Fisher extended his exploration of the stability of general equilibrium and of aggregate production functions. Professor Weitzman investigated the welfare significance of national product in a dynamic economy. Professor Hal R. Varian further explored the theory of fairness, non-Walrasian equilibria, and macromodels of unemployment and disequilibrium. Professor Hausman examined the econometric implications of truncated distributions and samples, of probit models, and of simultaneous equation models. In historical research, Professor Domar was concerned with serfdom, while Professor Charles Kindleberger investigated the role of the merchant in nineteenth-century technologic transfer.

Publications

Professor Bhagwati edited Taxing the Brain Drain: A Proposal and Brain Drain and Taxation: Theory and Empirical Analysis, and coauthored Foreign Trade Regimes and Economic Development: India. Professors Dornbusch and Kindleberger published numerous papers on implications of the new international monetary exchange structure for exchange rates, price stability, international trade, and international capital movements. Professor Weitzman continued his study of the Russian economy with a paper on the new Soviet incentive model.

With Visiting Professor of Management Ezio Tarantelli*, Institute Professor Modigliani published Labor Market, Income Distribution and Private Consumption (in Italian) and various papers on stabilization policy in Italy. He also wrote papers on inflation and the housing market and edited New Mortgage Designs for Stable Housing in an Inflationary Environment. Professor Hall’s labor market research resulted in papers on persistence of unemployment, occupational mobility, and taxation of earnings under public assistance. Professor Michael Piore wrote on labor market stratification and the effect on industrial growth of immigration from Puerto Rico to Boston. Professor Fisher had several publications on indexation and adjustment of mortgages to inflationary episodes. In the realm of economic history, Professor Temin published Reckoning with Slavery and Did Monetary Force Cause the Great Depression?

*Ezio Tarantelli was the victim of a Red Brigades’ assassination in 1985.

Institute Professor Samuelson published theoretical papers on factor price equalization and trade pattern reversal. In the realm of pure research, he put out papers on nonlinear and stochastic population analysis, optimal population growth, and the optimal Social Security system implied in a lifecycle growth model. He also brought out the tenth edition of his famous text, Economics: An Introduction Analysis.

FACULTY

Visiting Professor John R. Moroney was here from Tulane University; Visiting Professor Mirrlees came in the spring term from Nuffield College, Oxford University. Regular faculty on leave were Professors Fisher and Joskow in the fall and Professor Weitzman in the spring.

It is a pleasure to report the promotion to Associate Professor of Jerry A. Hausman. A new appointee, Professor Jeffrey E. Harris, with the unusual background of an M.D. and a Ph.D. in economics, will provide long-sought coverage in health economics.

Professor Kindleberger will retire as Ford Professor and become a Senior Lecturer on a half-time basis. Since 1948, when he came as an Associate Professor, Professor Kindleberger has been an effective teacher, scholar, participant in faculty governance, and counselor to governments and the public. He has trained the leading international economists of the next generation; he has produced a dozen books and more than a hundred articles in international trade and finance and in economic history. He epitomizes the highest kind of academician.

Several honors were bestowed on members of the Department. Institute Professor Modigliani will complete his year as President of the American Economic Association. Professor Myers received a Distinguished Alumni award from Pennsylvania State University. Professor Fisher was F.W. Paish Lecturer to the Association of (English) University Teachers of Economics. Institute Professor Solow received a D. Litt. from Warwick University, and Institute Professor Samuelson, a D.Sc. from the University of Rochester.

EDGAR CARY BROWN

Source: MIT Libraries, Institute Archives and Special Collections. MIT Department of Economics Records, Box 1, Folder “Annual Report 1975-6”.

Image Source: Building E52, Alfred P. Sloan Jr. Building, later Morris and Sophie Chang Building

https://mitmuseum.mit.edu/collections/subject/building-e52-alfred-p.-sloan-jr.-building-later-morris-and-sophie-chang-building-52

Tags Adelman, Bhagwati, Bishop, BrownEC, Diamond, Domar, Dornbusch, Eckaus, Fischer, FisherFM, Friedlaender, Hall, HarrisJE, Hausman, Joskow, Kindleberger, Mirrlees, Modigliani, MoroneyJR, Myers, Piore, Rothenberg, Samuelson, Solow, Tarantelli, TaylorLD, Temin, Varian, Weitzman, Wheaton

Economics Programs M.I.T. Undergraduate

M.I.T. Economics department committee (re-)organization. 1976-78

Post author By Irwin Collier
Post date 2022-05-19

During my second year in graduate school at M.I.T. (1975-76), the economics department professors were engaged in a discussion about reforming the administration of their department. At the time I was completely unaware of this discussion that had been provoked by the following memorandum written by then Department Head, Professor E. Cary Brown, based on his experience with the growing overload of administrative chores and responsibilities in a department with the scale of that attained by M.I.T.’s economics department.

Brown’s memo to the faculty is followed by a transcription of a copy of the letter Brown wrote to Robert Solow, who as an administrative reorganization committee member, must have been asked for some further testimony. The entire committee’s (Peter A. Diamond, Stanley Fischer, Jerry Hausman, Paul Joskow, Robert M. Solow) report was completed two months after Brown’s memo. In the same departmental file from the M.I.T. archives, one finds a copy of the actual assignment of administrative responsibilities for the academic year 1977/78.

Many, if not most, of the administrative tasks had been allocated and faithfully executed before this “reorganization”. I know that Evsey Domar had long been covering the placement of new Ph.D.’s and also proudly serving as the departmental representative for library-related affairs. I sense reading these documents that the truly neglected child all along was the undergraduate program for which some arm-twisting was required to achieve equitable burden-sharing among the faculty. But perhaps there were other specific items that had been sore points too. Maybe Brown simply wanted an explicit organization chart to forestall “whataboutism” from the mouths of relatively uncooperative colleagues. But like I wrote above, this was a discussion that was invisible to me (appropriately so) at the time.

Cf. The committee assignments in the Harvard economics department during the 1972-73 academic year.

__________________________

MASSACHUSETTS INSTITUTE OF TECHNOLOGY
DEPARTMENT OF ECONOMICS
CAMBRIDGE, MASSACHUSETTS 02139

March 12, 1976

Economics Department Faculty

Dear [blank]

For some time I have become increasingly dismayed at the increase in the administrative burden in the Department, and now find the present job as Head to be a nearly impossible one. If the job is to be made tolerable, it must have substantial additional faculty support in some form to cut it down to a scope manageable either by me or a successor.

There are two basic ways that this can be achieved: (1) by spreading the administrative activities and responsibilities more widely among the faculty; or (2) placing these tasks on essentially an associate departmental head, whose precise title could take various forms Executive Officer, Academic Officer (e.g., Tony French in Physics), or Associate Head. I personally would favor the Associate Head route, but regard it as an open question subject to further discussion and consideration, and to Administration approval. This new structure should be treated as an experiment, to last no longer than until the next Head is chosen, and to be reconsidered at that time.

My own thinking about the administrative tasks of the Department separates them into four major areas: undergraduate programs, graduate programs, research programs, and personnel and budgeting. While these can be headed by an administrator or by faculty, it seems to me that the first two programs should have formal faculty control regardless of the form the administrative reorganization takes. The graduate program nearly has that form now and largely runs itself, with the exception of a few odds and ends that now lie outside the responsibility of the graduate registration officers. The undergraduate program is a long way from this structure and will require a good deal of imagination, initiative and effort to resuscitate the Undergraduate Economics Association and provide more guidance and support for majors. The research programs (student and faculty) focus more or less clearly under the Committee on Economic Research. Personnel and budgeting are an administrative responsibility. They have involved increasing amounts of time as budgets have tightened, space has tightened, and the search for new faculty has expanded.

The administrative structure is an important matter to the Department. Because it involves departmental administration and the role of the Department Head, it concerns the Administration through Dean Hanham. He has asked me to appoint the following committee to consider these questions of reorganization and to make recommendations: Bob Solow, Peter Diamond, Stan Fischer, Paul Joskow, and Jerry Hausman. Please give your views to members of the committee as soon as you can.

Sincerely,
[signed “Cary”]
E. Cary Brown, Head

ECB/sc

__________________________

Brown to Solow

March 16, 1976

Professor Robert Solow
E52-383

Dear Bob:

I shrink from making organization charts, but the following diagram is intended to give some idea of the orders of magnitude of faculty involvement in departmental chores.

Chairman, Committee on Undergraduate Studies

Faculty counselors (we have agreed with the UEA to keep members to 10 or less, and let faculty build up expertise by staying adviser for freshman, sophomore, junior, or senior year).

—10 faculty: 2 for each class. 4 for seniors

Faculty adviser for humanities concentration in economics (advises and signs up students); also considers the eligibility of economics subjects, what we consider concentration, etc.
Closely related to (2) is possible membership on the so-called Humanities Committee that approves and reviews the whole Humanities, Arts, and Social Science requirement and program. (We have no one on this year but as the largest concentration will surely need to have a presence.)
Approval of transfer of credits from other schools to M.I.T.
Advising with Undergraduate Economic Association in matters academic, professional, social.
Undergraduate placement, while an Institute responsibility, could be supervised and assisted by a faculty member who would keep up to date on summer placement, interning possibilities, salaries. The experience our students have applying to graduate schools, actual jobs offered and taken.
Design of curriculum, cooperative program, etc.
Various activities, such as providing information to undergraduates in their choice of major (Midway in fall, seminar in spring), Open House activities, Alumni activities, etc.
Relations with other Departments at undergraduate level, such as subject offerings, subject content, etc.
Supervision and staffing of undergraduate subjects with multiple sections — 14.001, 14.002, 14.03, 14.04, 14.06, 14.30, 14.31.
Catalog copy.

Chairman, Committee on Graduate Studies

Graduate Registration Officers, so far one each for first two years, and one for thesis writers. Has been suggested that we have an additional adviser for foreign students and minority and women?
Admissions Committee has, in the past, had three members.
Placement, both summer and permanent.
Supervision of core subjects.
Ph.D. and M.S. requirements, program, size.
Financial aid — coordinating various GRO; Admissions Committee, and Budget limitations.
Graduate School Policy Committee meetings.
Annual revision of brochure.
Graduate Economics Association, Black Graduate Economics Association.
Catalog copy.
Various activities — professional and social that are not contained within a particular class.

Chairman, Committee on Economic Research (I faculty)

Organized list of faculty projects requiring research assistants and the supply of them (both graduate and undergraduate). Assignment of R.A.’s.
Assistance in research proposals.
Inventory of internships and off-campus research.
Supervision of unscheduled subjects, such as UROP, Undergraduate Seminar, and thesis.
Supervision of M.I.T. Working Paper Series.
Allocation of computer funds, developing rules, developing alternative sources.

Personnel and Budgeting (Administrative Officer and a large chunk of my time)

Personnel
1. Nonfaculty is supervised by the Administrative Officer.
2. Faculty Personnel

(1) Employment — new Ph.D.’s and senior faculty
(2) Review and promotion
(3) Assignments, leaves, research

1. Postdoctoral personnel
Space allocations, revisions.
Budget Proposals
a. Proposals
b. Implementation

Telephone
Xerox & Ditto
Supplies
Equipment

There may be other matters that I am leaving out – routine meetings average probably a day a week, and things like that. Consultations with faculty, students, and other Departments, would probably add a couple more days.

If there are questions, I’ll oblige, of course.

Sincerely,
E. Cary Brown, Head

ECB/sc

__________________________

MEMORANDUM

May 10, 1976

TO: Department Faculty
FROM: Committee on Reorganization (PAD, SF, JH, PJ, RMS) [Peter A. Diamond, Stanley Fischer, Jerry Hausman, Paul Joskow, Robert M. Solow]

SUBJECT: Reorganization

ECB’s [E. Cary Brown] letter of March 12, which created this committee, starts from the premise that the administrative burden on the Department Head has become essentially impossible. This seems clearly to be the case. It has happened because the department has increased in size and complexity without any corresponding adaptation of its administrative arrangements. Every new function has fallen into the Head’s lap. (Top that, anyone.) Apart from the sheer burden of work thus created, another problem is the difficulty of communications, because that is also time-consuming.

After some palaver and negotiation, we have a reorganizational package to suggest. It rests on two conditions; since it is something of an interconnected web, it will probably unravel if the two conditions can not be met. (1) Since the only way to correct an excessively centralized structure is to decentralize it, we propose to diffuse administrative responsibility more widely through the department; there will be at least one serious administrative post for everyone, or perhaps two minor posts instead, but everyone will have to participate. (2) The administrative load attached to the undergraduate program has increased with the size of the enrollment and the improvement of the curriculum; no one wants to manage an inadequately staffed program. We propose, therefore, that the normal teaching load for everyone in the department be agreed to be half graduate and half undergraduate teaching. This definition should be extended to everyone on the departmental budget: joint appointees, visiting professors, etc. As soon as there are a couple of exceptions to this understanding, there will be more. Then the management of the undergraduate program will break down, and it will revert or default to the Department Head, and that is what we are trying to stave off.

The particular organization we have in mind is as follows.

The central functions (budgeting, space, leaves, relations with the MIT hierarchy, etc.) will be in the hands of the Department Head and an Associate Head namely PAD [Peter A. Diamond]). In addition, one of them (probably ECB [E. Cary Brown]) will be an ex officio member of the Committee on Undergraduate Studies to be proposed below, and the other will be an ex officio member of the Committee on Graduate Studies. The precise division of labor is obviously a matter of taste; for the moment, ECB [E. Cary Brown] will probably do most of the relations with the MIT structure and PAD [Peter A. Diamond] will concentrate on intra-departmental matters.
There will be a Director of Undergraduate Studies (PT [Peter Temin]), who will be chairman of a Committee on Undergraduate Studies (with 2 or 3 additional members, possibly RD [Rudiger Dornbusch], PJ [Paul Joskow] and one other). This committee will be responsible for revisions of the undergraduate curriculum adding and subtracting subjects, staffing them, degree requirements, etc. In recent discussions with the Undergraduate Economics Association, the proposal has merged that there should be a larger number of Undergraduate Advisors (i.e., registration officers) than there is now, with each taking care of at most 10 students. That suggests we would need about 8 such advisors. The members of the Committee might serve as advisors, plus others. Merely serving as registration officer for 10 undergraduates is by itself not an onerous job.
There seems to be no need for change in the organization of graduate studies in the department. We suggest that there be a Director of Graduate Studies (RSE [Richard S. Eckaus]) and a Committee on Graduate Studies which would, as now, consist of the other two Graduate Registration Officers. Things are going very well now with REH [Robert E. Hall] handling the first-year students. MJP [Michael J. Piore] the second-year students and RSE [Richard S. Eckaus] the thesis-writers. REH [Robert E. Hall] is prepared to take on the task or devising a scheme to keep track of post-generals students, and see that they find themselves a reasonable thesis topic in a reasonable amount of time. The scheme may need another person to look after it.
We suggest the creation of Committee on Staffing whose functions would include looking after the hiring of assistant professors, the dovetailing of visiting professors with faculty leaves, and the rationing of visiting scholars. The picture we have is that the members of committee would do the interviewing and preliminary screening of new Ph.D.’s at the annual meetings, and decide which of them to invite to come and give seminars. At that stage and thereafter, the whole department faculty would be in on the act, and final decisions would be made, as they are now, in a department meeting. The main time-consumer for this committee would be the correspondence in connection with hiring. Since that would fall on the Chairman, that post would be a major one. For the other members of the committee, the burden would be relatively light. We suggest REH [Robert E. Hall] as chairman, plus perhaps 3 others.
There seems to be no reason to change the way the Admissions Committee now functions.
We see no need for major change in the Placement process. Our only suggestion are (a) perhaps to provide EDD [Evsey D. Domar] with another person to share the load, and (b) to have a pre-season department meeting, analogous to the post-generals meeting, at which each graduate student entering the market could be discussed by the full facuIty, and information and ideas collected.
There are other details. RLB [Robert L. Bishop] is functioning as advisor to MIT undergraduates thinking about economics as part of their Humanities requirement, and we are happy to preserve that human capital. MAA [Morris A. Adelman] who has been our representative to CGSP is to begin a term on the CEP, which should count as a major administrative burden. We need his successor on CGSP.

One last point: we hope that each committee chairman will promptly send a written notice of each substantive decision to the Head and Associate Head for distribution to the department faculty, so that communications are well looked after. That plus rational expectations should do the trick.

Source: MIT Archives. MIT Department of Economics Records. Box 2, Folder “Department Organization”.

__________________________

DEPARTMENTAL ADMINISTRATIVE RESPONSIBILITIES:
ECONOMICS DEPARTMENT 1977-78

UNDERGRADUATE COMMITTEE

Chairman:	Peter Temin
Members:	Cary Brown	Senior Faculty Counsellor, Ex Officio
	Jerry Rothenberg	Senior Faculty Counsellor
	Peter Temin	Senior Faculty Counsellor
	Rudiger Dornbusch	Junior Faculty Counsellor
	Jeffrey Harris	Junior Faculty Counsellor
	Jagdish Bhagwati	Sophomore Faculty Counsellor (Fall)
	Henry Farber	Sophomore Faculty Counsellor (Spring)

Summer Jobs: Jeffrey Harris
Humanities Adviser: Robert Bishop
Transfer of Credits: Cary Brown

GRADUATE COMMITTEE

Chairman:	Richard Eckaus	Thesis, Graduate Registration Officer
Members:	Paul Joskow/Mike Piore	Second Year Graduate Registration Officer
	Marty Weitzman	First Year Graduate Registration Officer
	Jerome Rothenberg	CGSP Representative
	Stan Fischer, Ex Officio

Admissions Committee:

Chairman: Robert Bishop
Members: Frank Fisher and Lance Taylor

Placement: Evsey Domar
Harvard-MIT Theory Seminar: Eric Maskin
Theory Workshop: Kevin Roberts

OTHER DEPARTMENTAL ACTIVITIES

Staffing Committee: Chairman: Rudiger Dornbusch

(For New Ass’t Profs.) Members:

Paul Joskow
Jerry Hausman
Stan Fischer, Ex Officio
(Added for Temporary Visitors: Robert Solow)

Independent Activity Period: Jeffrey Harris/Marilyn Simon
Unstructured Subjects Committee: Peter Temin, Undergraduate; Richard Eckaus, Graduate
Computer Allocation: Richard Eckaus

ADDENDUM: INSTITUTE COMMITTEES

CEP: Morris Adelman
Associate Chairman of the Faculty: Michael Piore
Visual Arts: Jerry Rothenberg
Library System, Chairman: Evsey Domar

Image Source: For this portrait of members of the M.I.T. economics department in 1975 see the Economics in the Rear-view Mirror post that provides identifications.

Tags Adelman, Bhagwati, Bishop, BrownEC, Diamond, Domar, Dornbusch, Eckaus, Farber, Fischer, FisherFM, HallR, HarrisJE, Hausman, Joskow, Maskin, Piore, RobertsK, Rothenberg, Solow, TaylorLD, Temin, Weitzman

Economics Programs M.I.T. Regulations

MIT. Revising Economics Ph.D. General Examinations. E.C.Brown, 1975

Post author By Irwin Collier
Post date 2021-02-12

What makes this memo from E. Cary Brown particularly useful is that it provides us with a list of the graduate economics fields along with the participating faculty members as of 1975. Also the major revision proposed was to have a system of two major fields (satisfied with general examinations) and two minor fields (satisfied by course work). Interesting to note that graduate student input was clearly integrated into the revision procedure.

________________________

Memo from Chairman E. Cary Brown
on a Revision of General Exams, 1975

April 28, 1975

To: Economics Department Faculty and Graduate Students
From: E. C. Brown
Re: Revision of General Examinations

While it has been left that a Committee would be appointed to review the procedures of the general examination (see minutes of the Department Meeting of April 23, 1975), further informal discussion has moved toward a proposed concept of these examinations that I am submitting for consideration and agreement.

There seems reasonable satisfaction about the structure of the present examinations, subject to clarification of the final 2 field examinations and their relationship to the 2 field write-offs.
It is proposed that the 2 fields satisfied by passing the “general” examinations be designated major The examination will be offered in a field, will cover the field in a general way, and will be separated from course examinations. Minor fields will be satisfied by course work. A somewhat lower standard will be imposed in minor fields than in major fields. The “generals” examination, therefore, would apply to the fields of the candidate’s expected expertise, and emphasis would be on a broad coverage of the field.
Each field should, therefore, describe its general requirements for the field as a major one, and list the subjects that may reasonably be offered as a write-off to satisfy the field as a minor one. There should also be some details on the requirements when fields are closely linked (e.g., the proposal for the transportation field and its relationship to urban economics).
Assuming this proposal to be agreeable, the question of term papers still needs settling.

I propose, therefore, the following procedures:

Would each of you give Sue Steenburg a list of your graduate subjects for this academic year, with an indication of whether or not a term paper was required and, if so, the percentage of final grade it represented.
Would faculty in each field submit a list of subjects that may be used to satisfy major and minor requirements in their field as it would ultimately appear in the brochure. The fields to be covered are as follows, the faculty in the field are listed, and the responsible member underlined.

Advanced Economic Theory	Bishop, Diamond, Solow, Fisher, Samuelson, Varian, Hausman, Weitzman
Comparative Economic Systems	Domar, Weitzman
Economic Development	Eckaus, Bhagwati, Taylor
Economic History	Kindleberger, Temin, Domar
Finance	Merton
Fiscal Economics	Diamond, Friedlaender, Rothenberg, Brown
Human Resources and Income Distribution	Thurow, Piore
Industrial Organization	Adelman, Joskow
International Economics	Kindleberger, Bhagwati
Labor Economics	Piore, Myers, Siegel
Monetary Economics	Fischer, Modigliani
Operations Research	Little, Shapiro
Russian Economics	Domar, Weitzman
Statistics and Econometrics	Hall, Hausman, Fisher, Kuh
Transportation	Friedlaender, Wheaton
Urban Economics	Rothenberg, Wheaton

If there are any difficulties with these suggestions, let me know right away. If we can proceed along these lines, it appears to be simply a clarification of our recent past and a substantial timesaver. The reports can be looked at this summer by a student-faculty group, with responsibility for faculty on me and for students on Dick Anderson.

Source: M.I.T. Archives. Department of Economics Records, Box 2, Folder “Grad Curriculum”.

Image with identifications: Economics Faculty group portrait, 1976.

Tags Adelman, Bhagwati, Bishop, BrownEC, Diamond, Domar, Eckaus, FisherFM, Friedlaender, HallR, Hausman, Joskow, Kindleberger, Kuh, MertonRC, Modigliani, Myers, Piore, Rothenberg, Samuelson, Shapiro, Siegel, Solow, Soloway, TaylorFW, Temin, Thurow, Weitzman, Wheaton

Economics Programs M.I.T.

M.I.T. Minutes of the Visiting Committee of Department of Economics and Social Science, 1958

Post author By Irwin Collier
Post date 2021-01-25

From a cover letter, dated March 25, 1959, written by R. T. Haslam, Chairman of the Visiting Committee for the Department of Economics and Social and Science at M.I.T., it appears that the mimeographed document transcribed below was described as “the full transcript of the Meeting” sent by the Department of Economics for the report to be submitted by the visiting committee to the M.I.T. Corporation. At that time the department of economics and social studies included sections for economics, industrial relations, psychology, and political science together with a center for international studies.

_______________________

DEPARTMENT OF ECONOMICS AND SOCIAL SCIENCE
Meeting of the Visiting Committee
October 7, 1958

Present: Visiting Committee

Robert T. Haslam, Chairman
Consultant and Director, W. R. Grace and Company

James A. Lyles
Senior Vice President, Frist Boston Corporation
Robert L. Moore
Chairman of the Board, Sheraton Corporation of America

Robert V. Roosa
Vice President, Federal Reserve Bank of New York

Willard L. Thorp
Professor, Merrill Center for Economics, Amherst College

Max L. Waterman
Vice President and Director, Singer Manufacturing Company

Clarence Wynd
Eastman Kodak Company

M.I.T.

John E. Burchard
Dean, School of Humanities and Social Studies

Robert L. Bishop
Professor of Economics; Head, Department of Economics and Social Science

Ralph E. Freeman
Professor of Economics; former Head, Department of Economics and Social Science

E. Cary Brown
Professor of Economics; in Charge of the Undergraduate Program

Roger W. Brown
Associate Professor of Psychology

Davis H. Howes
Assistant Professor of Psychology

Norman J. Padelford
Professor of Political Science; Director, Political Science Section

Ithiel deS. Pool
Professor of Political Science

Charles A. Myers
Professor of Industrial Relations; Director, Industrial Relations Section

Max F. Millikan
Professor of Economics; Director, Center for International Studies

Charles P. Kindleberger
Professor of Economics; in Charge of the Graduate Program

As the membership of the Committee is entirely new to the Department of Economics, Professor Bishop opened the meeting by giving a brief resume of its present organization and activities.

Teaching and research cover four main fields: Economics, Industrial Relations, Political Science, and Psychology. In one or more of these four fields, the Department teaches at least five distinguishable types of students: (1) undergraduates who elect one or more of the Department’s four fields as a part of their Humanities and Social Science program; (2) undergraduates who major in Course XIV, in (a) Economics or Political Science and (b) Science or Engineering; (3) graduate students in Course XIV, who are mostly Ph.D. candidates in either Industrial Economics or Political Science; (4) regular graduate students in the School of Industrial Management; and (5) members of the two Executive Development programs administered by the School of Industrial Management, including both Sloan Fellows (who are here for twelve months) and Senior Executives (who are here for ten weeks in either the Fall or Spring).

(1) Until the 1940’s, all juniors at the Institute took two terms of Economic Principles; and this was the substance of the Department’s contribution to the Humanities and Social Science program. Subsequently, we have added the fields of Industrial Relations, Political Science, and Psychology. As a result, the Department now offers four of the ten fields from which all students select their Humanities and Social Science subjects in their junior and senior years. (The attached Tables I and II [only a Table II was present in the departmental records. It is transcribed below] show total enrollments during 1956-57 and 1957-58 in the Department’s four fields and in the individual subjects within those fields. Most of the undergraduate enrollment represents students in the general Humanities and Social Science program). In 1957-58, as Table II shows, total undergraduate enrollments were: Economics 1206, Labor Relations 242, Political Science 378, and Psychology 519.)

(2) For eleven years the Department has had its own undergraduate major in Economics (Course XIV). At first this was just Economics and Engineering; later the option of Economics and Science was added. More recently there has been added an option in Political Science, which is an alternative to Economics but is also joined with Science or Engineering. In the future, Psychology might become a similar option; but Psychology is not now a major subject for undergraduates.

(3) The program for a Ph.D. degree in Economics, now one of the largest in this country, was in operation for some years before the Department had an undergraduate major in Economics. This year for the first time we are offering a program for a Ph.D. in Political Science. Our S.M. program is relatively small, and it is limited to Economics and Engineering (or Science). Unlike the Ph.D. program, it is open only to students who have studied Science or Engineering at the undergraduate level, as in our own undergraduate Course XIV.

(4) The Department offers several special subjects for the regular graduate students in the School of Industrial Management, who are all S.M. candidates. In addition, these students sometimes enroll in the same classes with our own graduate students in Economics; and, indeed, this has increased the size of some of our graduate subjects substantially during the past year or two. Furthermore, a small but increasing number of Industrial Management graduate students are becoming interested in going on to a Ph.D. in a combination of Economics and Industrial Management. Our colleagues in the School of Industrial Management have also been considering the addition of a Ph.D. program of their own. If this should materialize, it is likely that our Department will continue to participate substantially on the Economics side of such a program.

(5) The other teaching activity carried on in cooperation with the School of Industrial Management is in their two executive development programs. The older of these is the Sloan Fellowship program, for which executives in the 32- to 36- year age bracket spend a full calendar year at M.I.T. The other, shorter executive development program in which the Department teaches is aimed at a higher executive level. Our department handles about one-quarter of both of these programs.

Dean Burchard stated what he considers to be the present problems of the Department of Economics.

(1) To have the undergraduate program in Course XIV better known to secondary schools so that students will come to M.I.T. specifically for these combinations of humanities and sciences.

(2) To organize our offering in Psychology. A number of years ago a committee recommended that a Department of Psychology be established in the School of Science; but the latter was not prepared to take on such a department. Although there are courses in Psychology given in other Schools at M.I.T., the largest amount of teaching in Psychology comes under the School of Humanities. Therefore the development and improvement of the Psychology Section within the Department of Economics and Social Science is our responsibility.

(3) The new Political Science Section is fairly well organized; yet it still faces the problem of integration with the work of the Center for International Studies, particularly on research projects.

Undergraduate Program

Professor E. Cary Brown, chairman of the Committee on the Undergraduate Program, reported on his committee’s consideration of possible revisions in the curriculum in Course XIV. Normally the M.I.T. student can spend 80 per cent of his time in Science and Engineering, with the remaining 20 per cent in Humanities or Social Science. In Course XIV, the student spends the equivalent of a year in Economics or Political Science, instead of taking the more advanced or specialized subjects in his field of Science or Engineering.

After reviewing the experience of the past ten years on the Economics side—looking over thesis topics, the electives chosen by our majors, and finally the jobs that our graduates have held—it seems clear that we are dealing mostly with students who become engineers first of all, with social science skills on the side. For these students, we shall continue to offer our option in General Economics. We have also recommended, however, the addition of two other options in Economics. One will be in Industrial Economics, including Industrial Relations. The other will be in Quantitative Economics and Methods.

The program in Industrial Economics will be aimed at the range of problems confronting business firms on an industry-wide basis. We shall aim to turn out students in this option who will be industry analysts in the broadest sense.

The Quantitative Economics option will be even more professional in orientation. Emphasis will be on technical training in analytical methods, with primary attention to statistics, econometrics, and programming and decision theory, including “operations research,” for which there is a rapidly growing demand.

At present, too many of our basic Economics subjects are not taken until the senior year; so we have recommended changes that will allow our majors to take these subjects earlier. We have also recommended several new subjects, including a research seminar as thesis preparation in the first term of the senior year.

There followed a discussion of a variety of departmental problems. One concerns the fact that, in the Economics wing, we have relatively many young full professors, in their early forties, with relatively few associate and assistant professors. The demands of our graduate program and our undergraduate major are such that relatively few senior members of the staff participate at any one time in the elementary subjects, 14.01 and 14.02. There also was discussion of the assistance that can be given by the older members of the Department to graduate students who are carrying out their first teaching assignment in the sections of elementary Economics. As Mr. Haslam pointed out, these are the first instructors that the student meets in the Department of Economics, and a favorable impact is very important.

The Psychology Section (reported by Professors Roger W. Brown and Davis Howes)

At present Psychology teaching is limited to the Humanities program; but within the next year or two we hope to set up a Psychology option in Course XIV. The decision that we have to make with the administrative authorities is whether to be content with a purely routine service in teaching elementary Psychology or whether to have a Psychology Section composed of persons with significant research activities who will develop a broader teaching program.

There are other psychologists at the Institute in both the School of Industrial Management and in the new Communications Center. These people are concerned with a limited set of rather specialized applications of Psychology. Collaboration with these other psychologists would be very fruitful if a graduate program of training Ph.D.’s in Psychology could be set up, and some of them occasionally teach Psychology subjects in the Humanities program; but, for the time being, the responsibility for manning and administering that program rests wholly on the Psychology Section in our Department.

There is a remarkable opportunity at M.I.T. for collaboration between psychologists and other scientists—in computers, to name one example, and also in such fields as electronics and the chemical effects of drugs on human behavior. These potential opportunities will always draw able young research-oriented psychologists to M.I.T.; but they will not stay beyond about three years unless there is more chance for growth and development of the psychology program than at present. Now there is no senior member of the Psychology group; the four psychologists of faculty rank consist of one associate professor and three assistant professors. It was agreed that a constructive step would be the appointment of a full professor of psychology.

The Political Science Section (reported by Professors Norman J. Padelford and Ithiel de S. Pool)

Political Science has gone through some of the problems that Psychology is now facing. Immediately after the war we started out as a purely service group, offering as part of the Humanities program undergraduate courses which have averaged from 350 to 400 students. Three years ago we came to feel, as the psychologists do now, that a mere service function would not satisfy us professionally. As the first step to broaden our base we set up an undergraduate course combining Political Science with Science and Engineering. After this course was launched and operating satisfactorily, there were discussions about a Ph.D. program in Political Science. The same arguments that were used for Economics and for Psychology came up—namely, that the ablest men cannot be recruited and retained unless they have good graduate students around them. We have had to go to Harvard and to Fletcher School for young teachers in our undergraduate courses.

A program for a Ph.D. in Political Science was launched this Fall. We have 13 mature and talented graduate students whose interests are focused on policy problems. We put these students to work on research projects. This is possible with a small group only slightly outnumbered by staff; for each student can work as assistant to a staff member.

As far as our group is concerned, we see no point in simply duplicating what is done at other institution. Our range of interests covers the following major topics:

(1) We are concerned with the growth and evolution of political communities from an elementary stage to maturity, whether in such places as Burma or at the international level, where we have been studying the process by which a group of nations in the so-called Atlantic community can become knitted together.

(2) We have a strong interest in the role of communications in the political process between men and between groups in the political process. This is an important topic, which has been inadequately stressed elsewhere.

(3) The touchstone of our approach is a study of the place of government and the role of public policy against the background of changes in science and technology.

One final word about our needs as we look ahead. We have set up six fields of study: (1) International Relations and Foreign Policy, (2) Political Communications, (3) Defense Policy, (4) Government and Science, (5) Political and Economic Development, and (6) Political Theory and Comparative Politics. In the areas of Defense Policy and Government and Science, we are not provided with faculty as we should be. We need to find individuals for each of these fields and also the wherewithal to support them at the faculty level. Our second need—and the most urgent at the moment—is for fellowships and scholarships. We are encouraging our graduate students to take loans for their education, paying them back afterwards rather than depending on scholarship money.

The Industrial Relations Section (reported by Professor Charles A. Myers)

The Industrial Relations Section is the oldest of the sections in the Department of Economics. Last November we had a 20^th Anniversary Conference in which we reviewed what we have been trying to do. Originally we set up our teaching program solely at the undergraduate level; but we have expanded to include participation in the doctoral program of the Department. Today M.I.T. has more students working for doctor’s degrees in Economics with emphasis on Industrial Relations than has any other university in this country. Our activities include courses for management, both in the programs of the School of Industrial management and in the new Greater Boston program for executive development. As we have no staff of our own but share our teachers with the Department of Economics, we confine our activities to certain areas such as the Scanlon Plan—a union-management cooperation plan, which has annual conferences attracting about 200 participants from all over the country. In addition, we have held conferences on research administration; some trade unions have come here for conferences under our auspices; and we hold each year a one-day workshop in connection with the Boston Chamber of Commerce.

Professor Pigors has pioneered in a method of management training and development called the incident process, which is now used by 800 companies. We think it offers more challenge to students than the case method. The case method presents a problem with all the material supplied; the incident process gives the student only an incident, leaving him to seek out the pertinent facts by questioning the discussion leader. As a teaching device it has had wide impact outside of M.I.T.

Some of our recent research has been on comparative international studies. As we learned more about economic development, we saw its close connection with problems of industrial relations. We obtained a Ford Foundation grant; and my two trips to India and a book have come out of that. We plan to cover India, Mexico, Japan, Western Germany, Indonesia, Sweden, England, France, and Italy in our studies of management in industrial societies.

The Center for International Studies (reported by Professor Max F. Millikan)

Although the CIS has a Visiting Committee of its own, its work is so closely connected with that of the Department of Economics and Social Science that they share each other’s problems. There are two ways in which the Center’s activities are important to the Department of Economics. First, there is a considerable overlap of staff members who conduct research in the Center and teach in the Department; so the Center and the Department have a joint interest in recruiting an outstanding and stable staff. Second, The Center’s research program provides opportunities for graduate students in the Department to undertake thesis work in the international field.

Briefly, the Center was founded in 1951, growing out of a contract which M.I.T. undertook on behalf of the State Department to explore a defense against jamming the Voice of America. Growing out of this study appeared the need for a research organization on problems related to American foreign relationships, as there are many ways in which technology and science have become involved in foreign policy and international relations. The Center then removed itself from government affiliation and became a permanent member of the M.I.T. family.

Since 1952, with the support of the Ford, Rockefeller, and Carnegie Funds, it has carried on projects in four different fields: (1) relations between the United States and the Soviet bloc, especially in the area of Soviet scientific publications and the administrative handling of research and development in the Soviet Union; (2) economic and political development of the underdeveloped countries—especially the process of economic growth in Indonesia, India and Southern Italy; (3) international communications—especially the pattern of information-flow in foreign countries and its effect upon attitudes and decisions of significant political groups; (4) Professor Rostow, who was responsible for the studies on the Soviet Union and on China which we have published, has now turned his attention to the features in American society which influence our attitude toward foreign policy.

Our principal problem for the future is to provide some stability for our research staff. We have drawn key people to M.I.T. who have made a substantial contribution through their research; but many members of our staff are listed as visiting professors because M.I.T. cannot provide tenure positions for them. What we need is a continuing corps to devote half time to research in the Center and the other half to teaching.

The Center is in a position to offer to graduate students research opportunities second to none in this country. In the future we look toward using the Center’s resources at the undergraduate level. In these new areas it is normal for development to begin at the graduate level and work down.

The Graduate Economics Program (reported by Professor Charles P. Kindleberger)

In the first place, our graduate program aims primarily at a Ph.D. degree; we do not offer a Master’s degree except in a combination of Economics with Science or Engineering (mostly as a fifth year for our own Course XIV graduates). In the Ph.D. program we limit ourselves to a small group of high-quality candidates—about 20 to 25 new students each year.

Admission of Graduate Students. These 20 to 25 new students are chosen from a group of about 120 applicants, who have various reasons for wanting to study at M.I.T. Some are attracted by the men on our teaching staff and some by the prestige of M.I.T. in general. We should also face the fact, however, that competitive fellowship offers also play a prominent role in applicants’ decisions to come here or go elsewhere. On the other side of the picture, some would-be applicants are scared away if they are not highly skilled in mathematics, even though only a minority of our graduate students specialize in areas of economics where high-powered mathematical techniques are used.

Financing Graduate Students. There are various ways in which a graduate student can pay his way here: he may get a fellowship from an outside source to be used at any university of his choice—National Science Foundation, Ford Foundation, and Woodrow Wilson Fellowship support comes this way; also, we have some privately endowed “name” fellowships in our department—Goodyear, Westinghouse, and Hicks; and we have some departmental and Institute funds to offer; lastly, a student may pay his own way. Sometimes students who do not qualify for financial assistance at first, but who come on their own, turn out to be very good. We hire no teachers from the group of first-year graduate students, so this source of earning is not open until at least the second year of graduate study, and usually not until the third.

Ph.D. Curriculum. At the end of the second year, the graduate student takes his general examinations—four written and four oral. After this comes his thesis. We are very much interested in the process of writing a thesis, as we believe that it is here that the student acquires professional maturity. We do not go along with the movement to cut down on the time of the Ph.D. degree by reducing the thesis to the proportions of an article.

Post-Doctoral Students. More and more M.I.T. is attracting post-doctoral scholars from abroad—last year a Swede, a Norwegian, a Dutchman, and a Turk; this year two Germans, a Swede, an Italian, a Belgian and a Frenchman. These people add to the scholarly atmosphere; and we need mature students for training at a post-doctoral level. This, however, requires more money; and we have already applied to the Ford Foundation for funds for this purpose.

* * * * * *

In the general discussion of pressing problems Professor Bishop mentioned the following:

The Economics Library Budget. The state of our Dewey Library budget can be held over for discussion at the next meeting of this committee. If we have not been successful in our drive for funds, we shall need to ask the assistance of the committee.

Ours is very much of a library department, as we have no laboratory. Although our library budget is high compared with that of some engineering departments, it is low compared with that of other leading departments in Economics. For example, our library budget stands at $4,000 annually, compared with $6,000 for that of Johns Hopkins. Ours is possibly the best industrial relations library in the country; but it is a second-class economics library. I should like to see the budget figure raised by $2,000.

(Mr. Maslam offered to approach Mr. Bradley Dewy for a donation for this purpose.)

Age Distribution of Department Members. It happens that our department has an unusual age distribution in the field of Economics. There is a great gap between the full professors and the instructors. The former are all in their early forties; and there are few runners-up at the associate professor and assistant professor level. This is a problem of major importance.

* * * * * *

Professor Thorp suggested this kind of Committee report to the Corporation: that the Committee has met; that all its members are new; that they therefore need time to get acquainted with what is going on in the Department; that they find no problems requiring immediate action; and that they are looking forward to a meeting next year. There was also agreement in recommending that there be somewhat more continuity of membership on the Visiting Committee than in the past.

* * * * * *

TABLE II
Comparative Numbers of Students Completing Individual Subjects in the Department of Economics and Social Science, 1956-57 and 1957-58
[Note: Course titles provided after Table II]

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Economics—Undergraduate
14.01	466	292	758	460	316	776	+18
14.02	58	117	175	94	143	237	+62
14.03	26	—	26	26	18	44	+18
14.04	—	14	14	—	8	8	-6
14.09	27	28	55	25	19	44	-11
14.20	—	23	23	—	—	—	-23
14.30	—	25	25	—	—	—	-25
14.32	—	20	20	—	17	17	-3
14.33	18	—	18	16	21	37	+19
14.40	—	20	20	—	20	20	—
14.43	11	—	11	13	—	13	+2
14.54	—	11	11	—	10	10	-1
Totals			1156			1206	+50

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Economics—Graduate
14.101	11	—	11	14	—	14	+3
14.102	—	5	5	—	8	8	+3
14.115	34	—	34	36	—	36	+2
14.116	—	34	34	—	36	36	+2
14.117	18	24	42	15	20	35	-7
14.121	32	—	32	31	—	31	-1
14.122	—	30	30	—	31	31	+1
14.132	—	6	6	—	—	—	-6
14.151	6	—	6	11	—	11	+5
14.161	15	—	15	15	—	15	—
14.162	—	12	12	—	16	16	+4
14.171	11	—	11	8	—	8	-3
14.172	—	6	6	—	9	9	+3
14.174	—	5	5	—	14	14	+9
14.192	—	5	5	—	1	1	-4
14.195	10	—	10	1	—	1	-9
14.196	—	11	11	—	5	5	-6
14.271	11	—	11	7	—	7	-4
14.272	—	7	7	—	7	7	—
14.281	13	—	13	15	—	15	+2
14.282	—	—	—	—	18	18	+18
14.292	—	7	7	—	10	10	+3
14.371	34	—	34	35	—	35	+1
14.372	—	15	15	—	16	16	+1
14.381	56	—	56	27	—	27	-29
14.382	—	—	—	—	1	1	+1
14.451	23	—	23	24	—	24	+1
14.461	8	—	8	8	—	8	—
14.471	—	15	15	—	12	12	-3
14.481	9	—	9	6	—	6	-3
14.581	20	—	20	23	—	23	+3
14.582	—	16	16	—	17	17	+3
Totals			509			497	-12
Totals—Economics			1665			1703	+38

* * * * * *

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Industrial Relations—Undergraduate
14.61	12	—	12	—	—	—	-12
14.63	86	75	161	80	75	155	-6
14.64	47	75	122	36	51	87	-35
Totals			295			242	-53

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Industrial Relations—Graduate
14.671	—	6	6	—	7	7	+1
14.672	10	—	10	—	—	—	-10
14.673	—	—	—	18	—	18	+18
14.674	—	—	—	10	—	10	+10
14.681	17	—	17	18	—	18	+1
14.682	—	19	19	—	10	10	-9
14.694	—	—	—	—	16	16	+16
Totals			52			79	+27
Totals—Industrial Relations			347			321	-26

* * * * * *

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Political Science—Undergraduate
14.51	50	93	143	73	72	145	+2
14.52	29	25	54	31	25	56	+2
14.53	7	—	7	—	25	25	+18
14.90	17	13	30	14	11	25	-5
14.91	25	36	61	26	23	49	-12
14.92	—	18	18	—	42	42	+24
14.93	7	11	18	—	26	26	+8
14.95	22	—	22	—	—	—	-22
14.96	—	14	14	—	—	—	14
14.97	6	—	6	3	—	3	-3
14.98	—	—	—	—	3	3	+3
14.99	—	—	—	4	—	4	+4
Totals			373			378	+5

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Political Science—Graduate
14.521	6	—	6	—	—	—	-6
14.523	—	—	—	4	—	4	+4
14.524	—	—	—	—	2	2	+2
14.531	—	15	15	3	—	3	-12
14.533	18	—	18	12	—	12	-6
14.571	—	34	34	—	36	36	+2
14.941	—	—	—	—	8	8	+8
14.953	10	—	10	7	—	7	-3
14.954	—	1	1	—	5	5	+4
14.956	—	5	5	—	8	8	+3
14.957	6	—	6	7	—	7	+1
14.958	—	—	—	—	6	6	+6
Totals			95			98	+3
Totals—Political Science			468			476	+8

* * * * * *

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Psychology—Undergraduate
14.70	112	175	287	83	126	209	-78
14.73	83	73	156	32	35	67	-89
14.77	47	—	47	27	16	43	-4
14.79	—	42	42	8	29	37	-5
14.81	—	14	14	—	9	9	-5
14.82	—	—	—	11	43	54	+54
14.84	—	—	—	—	35	35	+35
14.85	—	—	—	32	—	32	+32
14.86	—	—	—	18	32	50	+30
14.88	—	—	—	—	3	3	+3
Totals			546			519	-27

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Psychology—Graduate
14.771	32	—	32	—	—	—	-32
14.772	—	—	—	—	6	6	+6
14.774	12	—	12	5	—	5	-7
14.791	5	—	5	8	—	8	+3
14.792	—	11	11	—	2	2	-9
Totals			60			21	-39
Totals—Psychology			606			540	-66

1956-57				1957-58
Subject	Fall	Spring	Total	Fall	Spring	Total	Net Change
Grand Totals for the Department			3086			3040	-46

Source: M.I.T. Archives. MIT Department of Economics Records, Box 4, Folder “V.C. [19]47-64”.

________________________

Course numbers, names and instructors
1957-58*

	ECONOMICS (UNDERGRADUATE)
14.01	Economic Principles I (Bishop)
14.02	Economic Principles II (E. C. Brown)
14.03	Prices and Production (A. Williams)
14.04	Industrial Organization and Public Policy
14.09	Economic Problems Seminar (Bishop)
14.20	Building Economics (Maclaurin)
14.30	Elementary Statistics (Ando)
14.32	Statistical Quality Control (H. A. Freeman)
14.33	Elementary Statistics (Ando)
14.40	Money and Income (R.E. Freeman)
14.43	Public Finance (E.C. Brown)
14.54	International Trade (Kindleberger)
	ECONOMICS (GRADUATE)
14.101	Mathematics for Economists (H. A. Freeman)
14.102	Mathematics for Economists (H. A. Freeman)
14.115	Economics and Finance: Principles and Policies II (Kindleberger, R.E. Freeman)
14.116	Economics and Finance: Principles and Policies III (Kindleberger)
14.117	Economics and Industrial Management (Solow, E.C. Brown)
14.121	Economic Analysis (Bishop)
14.122	Economic Analysis (Samuelson)
14.132	Schools of Economic Thought (Bishop)
14.151	Mathematical Approach to Economics (Samuelson)
14.161	Economic History (W. W. Rostow)
14.162	Economic History (W. W. Rostow)
14.171	Theory of Economic Growth (Rosenstein-Rodan)
14.172	Research Seminar in Economic Development (Millikan)
14.174	Non-Economic Factors in Economic Growth (Hagen)
14.192	Economics Seminar
14.195	Reading Seminar in Economics
14.196	Reading Seminar in Economics
14.271	Problems n Industrial Economics (Bishop)
14.272	Government Regulation of Industry (N.N.)
14.281	Entrepreneurship, Innovation and Economic Development (Maclaurin)
14.282	Economics of Innovation Seminar (Maclaurin)
14.292	Industrial Economic Seminar
14.371	Statistical Theory (H. A. Freeman)
14.372	Statistical Theory (H. A. Freeman)
14.381	Statistical Method (Houthakker, Durand)
14.382	Economic Statistics (Houthakker)
14.451	National Income (Millikan)
14.461	Monetary and Banking Problems (Higgins)
14.471	Fiscal Policy? (E. C. Brown)
14.481	Business Cycles (Houthakker)
14.581	International Economics (Kindleberger)
14.582	International Economics (Kindleberger)

	INDUSTRIAL RELATIONS (UNDERGRADUATE)
14.61	Industrial Relations (D. V. Brown)
14.63	Labor Relations (Siegel)
14.64	Labor Economics and Public Policy (A. R. Weber)
	INDUSTRIAL RELATIONS (GRADUATE)
14.671	Problems in Labor Economics (Miernyk)
14.672	Public Policy on Labor Relations (Myers)
14.673	Labor-Management Relations and Public Policy (D. V. Brown, Myers)
14.674	The Labor Movement: Theories and Histories (Siegel)
14.681	Seminar in Personnel Administration (Pigors)
14.682	Seminar in Personnel Administration (Pigors)
14.694	Seminar in Union-Management Cooperation (N.N.)

	POLITICAL SCIENCE (UNDERGRADUATE)
14.51	International Relations (Padelford)
14.52	Principles and Problems of American Diplomacy (Pye)
14.53	Seminar in International Politics (Schilling)
14.90	Government, Politics and Technology (R. C. Wood)
14.91	The American Political System (Tillman)
14.92	Comparative Political and Economic Systems (L. W. Martin)
14.93	Seminar: Issues in Contemporary American Politics
14.95	Politics, Society, and Policy Making (Pool)
14.96	Influences on Policy Decisions (N.N.)
14.97	Political Science Seminar (Padelford)
14.98	Political Science Seminar (Padelford)
14.99	International Political Communication (Davison)
	POLITICAL SCIENCE (GRADUATE)
14.521	Strategic and Political Geography (N.N.)
14.523	National Security and Military Technology (McCormack, Schilling)
14.524	Politics and National Defense Policy (Schilling)
14.531	Asian Politics and United States Foreign Policy (Pye)
14.533	Social Science and U. S. Foreign Policy (Millikan)
14.571	Major Problems in Untied States Foreign Policy (Padelford)
14.941	Government and Public Administration (R. C. Wood)
14.953	Mass Media and Communication Systems (Lerner)
14.954	Methods of Communication Research (Lerner)
14.956	Public Opinion and Propaganda (Davison)
14.957	Research Seminar in International Communications (Davison)
14.958	Research Seminar in International Communications (Davison)

	PSYCHOLOGY (UNDERGRADUATE)
14.70	Introductory Psychology (Swets)
14.73	Organization and Communication in Groups (Swets, Gleicher)
14.77	Psychology of Language and Communication (N.N.)
14.79	Learning (Howes)
14.81	Psychology of Perception (Swets in 1958-59)
14.82	Psychology of Motivation (N.N. in 1958-59)
14.84	Theories of Personality (R. W. Brown in 1958-59)
14.85	Social Psychology (R. W. Brown in 1958-59)
14.86	Behavior in Groups (M. E. Shaw in 1958-59)
14.88	Advanced Psychology Seminar (Staff in 1958-59)
	PSYCHOLOGY (GRADUATE)
14.771	Interpersonal Relations Seminar (N.N.)
14.772	Industrial Sociology Seminar (N.N.)
14.774	Social Psychology Seminar (R. W. Brown)
14.791	Reading Seminar in Social Science
14.792	Reading Seminar in Social Science

Source: The Massachusetts Institute of Technology Bulletin, General Catalogue Issue 1957-58. Chapter 10, Descriptions of Subjects, 14. Economics and Social Science, pp. 233-238.

*For 14.81/14.82/14.84/14.85/14.86/14.88 information from the General Catalogue Issue 1958-59 pp. 237-8.

Image Source: From Technique (1949), M.I.T. Yearbook cover.

Tags Bishop, BrownEC, FreemanRE, Kindleberger, Millikan, Myers

M.I.T. Regulations Teaching Undergraduate

M.I.T. Dean’s request for writing requirements for elective subjects in economics department, 1953

Post author By Irwin Collier
Post date 2020-09-21

The following exchange between the M.I.T. Dean of Humanities and Social Studies (John E. Burchard) and the representative of the chairperson of the Economics Department (Charles A. Myers covering for Ralph E. Freeman) gives us a short list of undergraduate courses that would have regularly had non-economics B.S. students attending to satisfy their distributional requirements in 1953. Dean Burchard’s informational request seems to be a fishing expedition with the hope of landing any evidence that some instructor in some course was helping to improve M.I.T. undergraduate writing skills. It is also interesting to see that sociology, psychology, and political science were all subjects administered by the economics department.

____________________________

Dean Reminding Economics Department about Information Request

May 6, 1953

Memorandum to Professor [Charles Andrew] Myers:

I asked Ralph [Evans Freeman] a while ago to get me some information but have not heard from him and imagine it got left and wonder if you could undertake this survey for me in the near future and give me an answer.

The problem is that those of us who were worried about the English style of our students at M.I.T. are pretty certain that we will never get a good overall performance on the mere basis of instruction in the first two years where writing is required and read and criticized. The burden of continuously upholding the standard obviously is going to rest with the professional departments and I have no doubt there are great inconsistencies in this throughout the Institute, and I also have no doubt most of them are pretty remiss in this obligation.

Before starting any campaign on this question, however, it is obvious that I need to know whether the house of my own School is in point of fact in order, or if not how far it is out of order.

I accordingly asked Professor [Howard Russell] Bartlett and Professor [Ralph] Freeman to get me an indication of the amount of writing required in the various subjects which might be elected by students in the School. In the History Department this was obviously limited to non-professional subjects and for the moment I am more interested in the general electives in the Department of Economics than I am in what policing you do of your own majors. It would be more helpful to know about both.

What Professor Bartlett did was write me a general answer which told me how many papers were required each semester, the approximate length, and how many written examinations. I wonder if it would be possible for you to dig out the same information for the various appropriate subjects in the Department of Economics and report to me fairly soon. I would like to be thinking about this problem during the summer.

Sincerely yours,
[unsigned]
John E. Burchard
Dean of Humanities and Social Studies

Jeb/h

* * * * * * * * * * * * * * * *

Economics Department’s First Response to Dean’s Request for Information

Massachusetts Institute of Technology
Industrial Relations Section
Department of Economics and Social Science
Cambridge, Massachusetts

May 11, 1953

Memorandum to Dean John E. Burchard

Dear John:

This is in answer to your memorandum of May 6^th. I guess this is something Ralph was unable to compete before he left and I thought I should get done promptly since I will be leaving tomorrow for the annual research meeting of the Committee on Labor Market Research of the Social Science Research Council in Minneapolis. George Shultz is one of the invited guests.

Perhaps the best way to answer your question is to list what the various people in charge of the various undergraduate subjects reported:

14.01	[Economic Principles I]	([Robert Lyle] Bishop) — 3 or 4 written hour examinations, mostly of the essay type
14.02	[Economic Principles II]	([Edgar Carey] Brown) — 4 written hour examinations, no term papers
14.03	[Prices and Production]	([Robert Lyle] Bishop) — 2 to 3 hour examinations; no term papers
14.09	[Economic Problems Seminar]	([Paul Anthony] Samuelson) — no written exams, but 2 written papers, one long and one short, plus oral presentation of the content of the paper prior to the submission of the written paper
14.51	[International Relations]	([Norman Judson] Padelford) — 8 written quizzes of 35 to 40 minutes in length; no term paper, except that sometimes there are written projects.
14.61	[Industrial Relations]	(Doug [Douglass Vincent] Brown and [John Royston] Coleman) — 3 hour examinations and 3 written case reports
14.63	[Labor Relations]	([George Pratt] Shultz) — 3 written hour examinations and one term paper
14.64	[Labor Economics and Public Policy]	([George Benedict] Baldwin) — 3 hour examinations and one written term paper
14.70	[Introductory Psychology]	([George Armitage] Miller) — 2 or 3 written hour examinations, partly objective in character; no term paper
14.72	[Union-Management Relations]	([Joseph Norbert] Scanlon) — 2 hour examinations and a special paper on a particular case
14.73	[Organization and Communications in Groups]	([Alex] Bavelas and [Herbert Allen] Shepard) — 2 objective-type examinations and one written essay-type examination
14.75	[Experimental Psychology]	([Joseph Carl Robnett] Licklider) — no examinations, but a written paper on the experiment, suitable for publication — this latter test is never quite met but students are expected to write with that end in view
14.77	[Psychology of Communication]	([George Armitage] Miller) — 3 objective-type examinations
14.91 and 14.92	[The American Political System; Comparative Political and Economic Systems]	([Jesse Harris] Proctor and [Roy] Olton) — 3 written hour exams, no term paper in the first term — 3 written hour exams plus a written term paper in the second term
15.30	[Personnel Administration]	([Paul] Pigors) — 4 written cases, one term paper and one hour examination

I think this pretty well covers the principal courses which are taken by undergraduate students in other departments. I think my own experience in teaching such undergraduate courses as 14.61 and 14.63 is similar to that of most of the staff, in that I have called attention to students of misspelled words, poor grammar, and generally poor organization and expression of written answers and papers. I really doubt if we can do much more or should do much more. It would be quite a task to go over each written examination with each student in detail, or even to do this after they have submitted a term paper. From time to time I have done this with some theses but not as a general rule, since the student is warned in advance that his grade will depend not only on content, but on expression.

I hope this gives you the information you need.

Sincerely
[signed] Charlie
Charles A. Myers

m:g

* * * * * * * * * * * * * * * *

Follow-up Request by Dean

May 12, 1953

Memorandum to Professor Myers

Dear Charlie:

Your memorandum of yesterday answers my question about the writing in part.

I guess I agree, though I wish I didn’t have to, that people in the department cannot be expected to act as writing critics for students who are still defective in their English. Though I wish more people required papers and fewer examinations, this is obviously a matter of individual teachers’ methods.

The remaining question which I think is not answered is I believe a critical one, namely, does poor writing really result in a lower grade, and if it does is that single comment written on to the paper when it is returned with the grade to the student?

I hate to trouble you further but wonder if you would be able to explore this with the same group of people.

Sincerely yours,
[unsigned]
John E. Burchard
Dean of Humanities and Social Studies

Jeb/h

* * * * * * * * * * * * * * * *

Economics Department’s Response to Follow-up Request by the Dean

Massachusetts Institute of Technology
Industrial Relations Section
Department of Economics and Social Science
Cambridge, Massachusetts

June 1, 1953

Memorandum to Dean John E. Burchard

Dear John:

These are some further thoughts on your memo of May 12^th, asking me to check again on whether poor writing really results in a lower grade in our courses and whether comments are written on the papers when they are returned with grades to the students.

Nearly everyone with whom I have talked here agrees that poor writing does result in a lower grade, if by “poor writing” is meant poor organization, hasty sentence construction, and confusing or fuzzy thinking as expressed in written words. Poor spelling apparently does not count so much, although Bob Bishop and I specifically do encircle misspelled words on written exams and papers. Comments on poor organization, etc., are specifically written on papers and exams when returned to students, and I know that many of us have stressed to students before writing exams and papers that their grades will depend in part on the way in which their material is organized and presented.

One further experience might be of interest in connection with your comment that you wish more people would require papers and fewer examinations. During the past term Jim Baldwin gave term papers in 14.64 and found that the pressure of senior theses on the students was so great that they did a very poor job on the papers. His grades reflect this, but he is bothered about the apparent conflict between the senior thesis and the term paper requirement in senior Humanities and Social Studies courses. Maybe we ought to place more emphasis on good writing in the senior thesis in the Department and in other Departments.

Sincerely,
[signed] Charlie
Charles A. Myers

CAM:dg

Source: M.I.T., Institute Archives and Special Collections, School of Humanities and Social Sciences. Office of the Dean, Records, 1934-1964. Box 3, Folder “103, Economics Department, General, March 1951-1956”.
For [first and middle names of instructors] and [course titles]: Course Catalogue of the Massachusetts Institute of Technology, 1952-53.

Image Source: (Left) John Burchard ; (Right) Charles A. Myers. MIT Museum Legacy Website (People Collection).

Tags Adolph Miller, BaldwinGB, Bishop, BrownDV, BrownEC, ColemanJR, Myers, Pigors, Samuelson, Scanlon, ShultzG

AEA Berkeley Chicago Cornell Economist Market Economists Johns Hopkins M.I.T. Princeton Stanford Yale

M.I.T. Memo regarding potential hires to interview at AEA Dec meeting, 1965

Post author By Irwin Collier
Post date 2020-08-07

This artifact provides us a glimpse into the demand side of the market for assistant professors of economics in the United States as seen from one of the mid-1960’s peak departments. The chairperson of the M.I.T. economics department at the time, E. Cary Brown, apparently conducted a quick survey of fellow department heads and packed his results into a memo for his colleagues who in one capacity or the other would be attending the annual meeting of the American Economic Association held in New York City in the days following the Christmas holidays of December 1965. The absence of Harvard names in the memo probably only indicates that Brown presumed his colleagues were well aware of any potential candidates coming from farther up the Charles River.

From Brown’s memo, Duncan Foley (Yale) and Miguel Sidrauski (Chicago) ended up on the M.I.T. faculty as assistant professors for the 1966-67 academic year. John Williamson was a visiting assistant professor that year too.

_____________________________

Dating the Memo

The folder label in the M.I.T. archives incorrectly gives the date Dec. 28-30, 1969, where the 1969 has been added in pencil.

Two keys for dating the memo. Brown’s comment to John Williamson (York): “Wants a semester here, Jan.-June 1967″. “Solow is hearing paper at meetings” (Conlisk of Stanford) who presented in the invited doctoral dissertation session “The Analysis and Testing of the Asymptotic Behavior of Aggregate Growth Models” (affiliation given as Rice University (Ph.D., Stanford University) where Solow was listed as a discussant. AEA’s 78^th Annual Meeting was held in New York City at the end of December 1965.

_____________________________

Memo from E. Cary Brown to M.I.T. faculty going to Dec. 1965 AEA meeting

[Pencil note: “Put in beginning of 1966-7”]

Memorandum Regarding Personnel Interviews in New York

To: Department Members Attending AEA Convention
From: E. C. Brown

University of Chicago

Sidrauski, Miguel (26). International Trade, Monetary Theory, Economic Growth, Mathematical Economics

Thesis—“Studies in the Theory of Growth and Inflation” under Uzawa
References: Harberger, Johnson, Lewis

[He came here a year ago to ask about a short-term appointment before he returned to Argentina. Griliches believes him to be tops. Had him in class myself and he was first rate. Called him on phone last week and he still wants to be had.]

Thornber, Edgar H. (24). [H. = Hodson] Econometrics, Mathematical Methods, Computers

Thesis—“A Distributed Lag Model: Bayes vs. Sampling Theory Analyses” under Telser
References: Griliches, Zellner

[Supposed to be equal of Sidrauski. Heavily computer oriented. Doesn’t sound interesting for us, but we should talk to him.]

Treadway, Arthur. Mathematical Economist

Thesis on the investment function

[A younger man who, according to Svi [sic], regards himself as the equal of the above. Stronger in mathematics, and very high grades. Wasn’t on market because thesis didn’t appear as completable. Now it seems that it will be and he wants consideration.]

Evenson, Robert E. (31). Agricultural Economics and Economic Growth, Public Finance

Thesis—“Contribution of Agricultural Experiment Station Research to Agricultural Production” under Schultz
References: Gale Johnson, Berg

[He is just slightly below the others. Mature and very solid and combines agriculture and economic growth where we need strength.]

Gould, John (26).

(Ph.D. in Business School)

[Bud Fackler mentioned him as their best. Uzawa and Griliches are trying to get the Econ. Dept. to hire him. Franco knows him and is after him.]

Princeton

Klevorick, Alvin (22). Mathematical Economics, Econometrics, Economic Theory

Thesis: “Mathematical Programming and the Problem of Capital Budgeting under Uncertainty” (Quandt)
References: Baumol, Kuhn

[Apparently the best they have had for some time. Young and very brash.]

Monsma, George N. (24). Labor Economics, Economics of Medical Care, Public Finance

Thesis: Supply and Demand for Medical Personnel” (Harbison)
References: Patterson, Machlup

[Dick Lester was high on him. While not a traditional labor economist, he works that field.]

Silber, William L. (23). Monetary Economics, Public Finance, Econometrics

Thesis: “Structure of Interest Rates” (Chandler)
References: Goldfeld, Musgrave, Quandt

[One of their best four. Not sure he sounds like what we want in fields, however.]

Grabowski, Henry G. (25). Research and Development, Econometrics, Mathematical Economics

Thesis: “Determinants and Profitability of Industrial Research and Development” (Quandt)
References: Morgenstern, Baumol

[Lester says he is good all around man. His field makes him especially interesting.]

Stanford

Conlisk [John]— Economic growth and development

[Arrow has written about him, recommending him highly. His field should be interesting. Solow is hearing paper at meetings.]

Bradford [David Frantz]— Public finance

[Has been interviewed up here, but more should see him who wish to.]

Yale

Foley [Duncan Karl] (Probably not at meetings. Best Tobin’s had.]

Bryant [Ralph Clement] (Now at Federal Reserve Board. Number 2 for Tobin]

York

Williamson, John

[Wants a semester here, Jan.-June 1967. Alan Peacock at meetings.]

Johns Hopkins

[Ask Bill Oakland]

University of California, Berkeley

[Ask Aaron Gordon or Tibor Scitovsky.]

Cornell

Bridge [John L.] — Econometrics, Foreign Trade

Lindert [Peter]— International Economics

[Their two best as indicated in their letter to Department Chairman.]

Buffalo

Mathis, E.J. [Ask Mitch Horwitz if it’s worth pursuing.]

Columbia U.

[Ask Bill Vickrey]

Pittsburgh

Miller, Norman C. (26). International Economics; Money, Macro, Micro and Math Economics

Thesis: “Capital Flows and International Trade Theory” (Whitman)
References: Marina Whitman, Jacob Cohen, Peter Kenen, Graeme Dorrance

[Letter to Evsey Domar from Mark Perlman (Chm.) recommending him to us for further training.]

Source: Massachusetts Institute of Technology. Institute Archives and Special Collections. MIT Department of Economics records, Box 1, Folder “AEA Chairmen MEETING—Dec. 28-30, 1969 (sic)”.

Image Sources: Duncan Foley (left) from his home page. Miguel Sidrauski (right) from the History of Economic Thought website.

Tags BrownEC, Domar, Foley, Sidrauski, Solow, WilliamsonJ

Berkeley Economics Programs M.I.T. Race

M.I.T. Economics Chair’s Account of Early Efforts of Affirmative Action for Black Graduate Students. Cary Brown, 1974

Post author By Irwin Collier
Post date 2020-04-26

Starting with the 1970/71 academic year, the M.I.T. economics department launched an initiative to increase the enrollment of black students in its graduate program. E. Cary Brown, the head of the M.I.T. economics department described the first four years experience of the initiative in his response to an inquiry from the chairperson of the Berkeley economics department, Albert Fishlow.

For considerably more on this subject, see:

William Darity, Jr. and Arden Kreeger. The Desegregation of an Elite Economics Department’s PhD Program: Black Americans at MIT in MIT and the Transformation of American Economics (Annual Supplement to Volume 46 of History of Political Economy, edited by E. Roy Weintraub. Duke University, 2014) pp. 371-335.

____________________________

M.I.T. Economics Department’s Experience With Expanding Graduate Enrollment of Black Students, 1970-74

September 18, 1974

Professor Albert Fishlow, Chairman
Department of Economics
University of California
Berkeley, California 94720

Dear Professor Fishlow:

This letter is in reply to your letter of August 9, 1974, requesting information on our procedures with respect to qualified minority students.

As background, you should know that we had no special programs for minority candidates (although we had a few such students) until the entering class of 1970. At that time we took seriously an experiment to see if the number in our student body could be expanded. In the admissions process we set aside criteria we had used in the past, on the assumption that they were not as relevant to minority candidates. With the help and advice of several of our Deans for Minority Students and our own contacts with minority groups, we selected three students that first year (1970-71). Subsequently we admitted 3 blacks in 1971, 4 in 1972, 2 in 1973 and 4 this year.

Initially we organized a summer tutorial program that worked on the development of their mathematical skills and gave them a serious taste of what was to come in theory and statistics. This was supervised and participated in by several faculty and graduate students. We now make this a standard offering at students’ options, and this summer, for example, only one entering student requested this special help.

The tutorial program was extended into the regular academic year when students required it. We are still prepared to carry this out, but, in general, it has diminished essentially to zero.

There has been no modification in the academic program or requirements for minority students, nor any tempering of standards. They have been urged to take a less heavy program than the ordinary student—to stretch out preparation for their examinations. Typically they added about a year to the preparations time, but that, too, seems to be less necessary.

We have had many discussions with black students to try to achieve better communication and awareness of mutual problems. What started as essentially a student-faculty committee has evolved into a Black Graduate Economics Association. This association, on its own volition, prepared a video tape presentation for the purposes of encouraging minority high school students to go on to college in economics, to encourage minority college student to go on to graduate school, and to encourage this group to come to M.I.T. There was much informal recruiting by the black students. When admitted candidates visited Cambridge to determine what graduate school to attend, the program would be essentially organized by some of our black students. They have been extremely important in establishing an environment congenial to black students, and conveying their enthusiasm about the program.

The relations have been good with the black students, especially as between faculty and black students. There have been some student problems, feelings of exclusion and the like, that existed last year. The precise source of these difficulties we have not been able to ascertain. We are also aware that black women have had special complaints that neither the black males nor the faculty could fully understand. Our keeping communications open has perhaps depended on luck, but certainly also depended heavily on particular black students here and on particular faculty and the administrative officer who have made substantial amounts of time available to them and who have helped with their social and living problems.

One problem should be pointed out to you. Much of graduate instruction is self instruction by students in study groups. The black students complained at first that they had no leader, no one they could emulate, no one who could answer their problems. This has changed as the quality of preparation has improved, but it is something that I would urge you to keep in mind. A second problem with high incidence is the difficulty of family adjustment (and most of our minority students have families) to the demands of academic life (including work for many of the wives).

We have no special departmental resources for minority students. M.I.T. has some resources, usually for new students, and there are the national minority fellowships that many of our students have won. Otherwise, they are supported by general graduate financial aid at M.I.T. or in the Department.

Finally, you might look briefly at the record of the minority students. Of the three who entered in 1970, on went to another University to get a Master’s degree (after two years here), another transferred to a Master’s program in Urban Studies at M.I.T. (after two years). The third passed his general examinations a year ago, but has made little progress on his dissertation. Of the second year admittees, two have passed generals and are at work on theses, the third is still in school after being out for a year. The 1972 group includes two who partially failed their generals, two who will be taking them this year. Of the 1973 group, one transferred to another graduate school and one will take generals this year.

I am not sure how I would describe our program. It is viable; there are enough students as a group so they do not feel they should drop out or transfer; morale seems to be high. On the other hand, we have put much time and resources into the program and do not yet have candidates who have completed the program. We have had the satisfaction of seeing the quality of preparation and the enthusiasm rise. We are also sure that we will have a half dozen Ph.D.’s from this minority group in the next three or four years.

I am sending you a copy of our current graduate brochure which contains more detailed information than the catalogue. Professor Robert L. Bishop is Chairman of the Graduate Committee on Admissions, and Professor Peter A. Diamond is Chairman of the Graduate Committee.

Sincerely yours,

E. Cary Brown, Head

ECB/ss
Enclosure

Source: Massachusetts Institute of Technology. Institute Archives and Special Collections. Department of Economics Records. Box 1, Folder “Women + Minorities”.

Image Source: “E. Cary Brown, fiscal policy expert, dies at 91“. M.I.T. News. June 27, 2007.

Tags BrownEC, Fishlow

Exam Questions Johns Hopkins M.I.T. Suggested Reading Syllabus

M.I.T. Readings and exam questions for fiscal and monetary policy. Domar, 1957

Post author By Irwin Collier
Post date 2020-01-24

Evsey Domar’s first semester at M.I.T. was as a visiting professor according to the teaching records of the economics department. He taught one seminar on Russian Economics (14.292) and a graduate course with the nominal title “Fiscal Policy”. That course had been taught previously by E. Cary Brown (Spring 1954, 1955) and R. A. Musgrave, visiting Professor (Spring 1956).

Inspection of the ten-page course bibliography and the final examination questions along with two note-cards filed with these course materials, it appears that well over half the course was in all likelihood dedicated to fiscal policy topics with monetary policy for stabilization topics accouting for perhaps one-third of the course. Just as the length of the course bibliography (typical for Domar) is daunting, his use of asterisks to designate recommended reading was exceedingly liberal. An examination of the final examination questions leads me to conclude that it should be rather easy to reduce the course reading list (for examination purposes!) to less than two pages.

___________________________

Course Enrollment
(Second term, 1956-57

Instructor	Domar, E. D.
Rank	Prof. (Visit.)
Subj. No.	14.472
Subj. Title	Fiscal Policy
No. Class Hours/Week	3
No. Students	22

Source: M.I.T. Archives, Department of Economics Records 1947-, Box 3, Folder “Teaching Responsibility”.

___________________________

Typed notecards for an introduction to or a review of course.

The traditional arguments regarding the purposes of Monetary Policy:

Stabilization of general prices or of factor earnings—the Wicksell-Davidson controversy. The instrument was the relation between the natural and the market rates.
Stabilization of prices or of employment. Recent literature is full of this.
Stabilization of the general prices or of prices of Federal securities. See Douglas’s and other reports on this recent controversy.
Stabilization of employment or the achievement of growth. Any conflict?
Discretionary methods or automatic provisions? See Simons’ article in Readings in Monetary Theory.
To provide credit and currency, sound and in sufficient quantity.
To protect the international position of the country.
To have special effects, such as:

a. by region
b. by industry
c. by commodity consumed (such as tobacco) or housing
d. on population (by giving exemptions or subsidies for dependents)

Provide revenue [handwritten addition]
Distribution of income [handwritten addition]

* * * * * * * * * * * * *

The following limitations, some real, other imaginary, explain why Fiscal Policy is not as simple as Lerner makes it:

Income distribution
Size of the deficit
Size of the budget
Balance of payments
Special regional and industrial effects
Effects on incentives to work (in inflation)
Automaticity of the system (built-in-flexibility)
Monetary effects (on reserves, deposits)
Long-run effects (on growth and development)

Their presence complicates things and explains all the ingenious articles and tax devices frequently suggested. If not for them, fiscal policy would be very simple indeed: cut taxes or increase taxes, and the same with expenditures.

___________________________

READING LIST
14.472 Fiscal Policy
Spring Term 1956-57

Professor E. D. Domar

PART I—MONETARY POLICY

The purpose of this list is to suggest to the student the sources in which the more important topics in Monetary Policy are discussed from many points of view. His objective should be the understanding of these topics and not the memorization of who said what.

Most of the sources listed here, and particularly the Congressional materials, discuss a number of questions not only in Monetary but in Fiscal Policy as well. Hence it is difficult to classify them.

Items marked with an * are strongly recommended. (I don’t like to use the expression “required” in a graduate reading list.)

Factual Materials on Monetary Problems

Federal Reserve Bulletin.

Treasury Bulletin.

Annual Reports of the Secretary of the Treasury and of the Board of Governors of the Federal Reserve System.

Historical Statistics of the United States, 1789-1945, and the Continuation to 1952.

Congressional Hearings, Reports and other Materials listed below.

Introduction

Hart, Albert Gailord, Money, Debt and Economic Activity, New York 1948.

Hicks*, J. R., “A Suggestion for Simplifying the Theory of Money,” Economica, 1935; reprinted in Readings in Monetary Theory.

Lerner*; Abba P., “Functional Finance and the Federal Debt,” Social Research, 1943, and Readings in Fiscal Policy, p. 468, also Chapter 24 in his Economics of Control, New York, 1944.

Poole, Kenyon E., ed. Fiscal Policies and the American Economy.

Sproul* Allan, “Changing Concepts of Central Banking,” Money, Trade and Economic Growth in Honor of John Henry Williams, New York, 1951.

Monetary Theory and Growth

Gurley*, John G. and Shaw, E. S., “Financial Aspects of Economic Development,” American Economic Review, September 1955, pp. 515-538.

Effectiveness of the Interest Rate

Ebersole*, J. F., “The Influence of Interest Rates,” Harvard Business Review, XVII, i, 1938, pp. 35-39.

Henderson*, R. D., “The Significance of the Rate of Interest,” Oxford Economic Papers, October 1938, I, pp. 1-13.

*Meade, J. E. and Andrews, P. W. S., “Summary of Replies to Questions on Effects of Interest Rates,” Oxford Economic Papers, October 1938, I, pp. 14-31.

Sayers, R. S. “Business Men and the Terms of Borrowing,” Oxford Economic Papers, Feb. 1940, III, pp. 23-31.

Andrews, P. W. S., “A Further Inquiry into the Effects of Rates of Interest,” Oxford Economic Papers, Feb. 1940, III, pp. 32-73.

White*, William H., “Interest Inelasticity of Investment Demand—The Case from Business Attitude Survey Re-Examined,” American Economic Review, September 1956, pp. 565-87.

Lutz, Friedrich A., “The Interest Rate and Investment in a Dynamic Economy,” American Economic Review, Dec. 1945.

General Surveys of Monetary Policy

Federal Reserve Board*, Tenth Annual Report for 1923. See pp. 29-39 particularly.

Chandler*, Lester V., “Federal Reserve Policy and the Federal Debt,” American Economic Review, 1949, and Readings in Monetary Theory, p. 394.

Hardy, Charles O., “Fiscal Operations as Instruments of Economic Stabilization,” American Economic Review, Supplement, 1948, pp. 395-403 and Readings in Monetary Theory, p. 394.

Hart, Albert Gailord, “Monetary Policy for Income Stabilization,” Income Stabilization for a Developing Democracy, ed. by Max F. Millikan, New Haven, 1953.

Williams, John H., “The Implications of Fiscal Policy for Monetary Policy and the Banking System,” AER Proceedings, March 1942; Readings in Fiscal Policy, p. 185.

Smith*, Warren L., “On the Effectiveness of Monetary Policy,” American Economic Review, September 1956, pp. 588-606.

Suggested Objectives and Policies

Hammarskjold, Dag, “The Swedish Discussion on the Aims of Monetary Policy,” reprinted in International Monetary Papers, No. 5, pp. 145-154.

Simons*, Henry C., “Rule versus Authorities in Monetary Policy,” JPE, 1936, and Readings in Monetary Theory, p. 337.

Simons, Henry, “On Debt Policy,” JPE, Dec. 1944, and Readings in Fiscal Policy.

Mints*, Lloyd, W., “Monetary Policy,” Review of Econ. and Stat., 1946 and Readings in Fiscal Policy, p. 344.

Bach*, G. L., “Monetary-Fiscal Policy Reconsidered,” JPE, Oct. 1949, and Readings in Fiscal Policy.

Friedman*, Milton, “A Monetary and Fiscal Framework for Economic Stability,” American Economic Review, 1949, and Readings in Monetary Theory, p. 369.

*United Nations. National and International Measures for Full Employment. Report by a group of experts appointed by the Secretary-General (Lake Success, New York, December 1949).

Viner*, Jacob, “Full Employment at Whatever Cost,” QJE, August 1950, pp. 385-407. Reproduced with omissions in Economic Policy, Readings in Political Economy, edited by William D. Grampp and Emanuel T. Weiler, Homewood, Ill., 1956, pp. 54-65.

Samuelson* Paul A., “Principles and Rules in Modern Fiscal Policy: A New-Classical Reformulation,” Money, Trade and Economic Growth in Honor of John Henry Williams, New York, 1951.

Seltzer* Lawrence H., “Is a Rise in Interest Rates Desirable or Inevitable,” American Economic Review, Dec. 1945; Readings in Fiscal Policy, p. 202.

Roosa, Robert V., “Interest Rates and the Central Bank,” Money, Trade and Economic Growth in Honor of John Henry Williams, 1951.

Roosa*, Robert V., “Integrating Debt Management and Open Market Operations,” American Economic Review, 1952, and Readings in Fiscal Policy, p. 265.

Hansen*, Alvin H., “Monetary Policy,” The Review of Economics and Statistics, May 1955, pp. 110-119.

Commodity Money

Graham, Benjamin, World Commodities and World Currency, New York 1944.

Graham*, Frank D., “Full Employment without Public Debt, Without Taxation, Without Public Works, and without Inflation,” Planning and Paying for Full Employment, edited by Abba P. Lerner and Frank D. Graham, 1946.

Congressional Materials

Joint Committee on the Economic Report. Money, Credit, and Fiscal Policies. Hearings before the Subcommittee on Monetary, Credit and Fiscal Policies of the Joint Committee on the Economic Report, 81^st Congress, First Session, September 23, November 16,17,18,22,23 and December 1,2,3,5,7, 1949.

Joint Committee on the Economic Report. Monetary, Credit, and Fiscal Policies. A Collection of Statements Submitted to the Subcommittee on Monetary, Credit and Fiscal Policies by Government Officials, Bankers, Economists, and Others. 1949.

Joint Committee on the Economic Report (The Douglas Subcommittee). A Compendium of Materials on Monetary, Credit, and Fiscal Policies. A Collection of Statements Submitted to the Subcommittee on Monetary, Credit, and Fiscal Policies by Government Officials, Bankers, Economists, and Others. 81^st Congress, 2^ndSession, Senate Document No. 132, 1950.

Joint Committee on the Economic Report*. Monetary, Credit, and Fiscal Policies. Report of the Subcommittee on Monetary, Credit, and Fiscal Policies of the Joint Committee on the Economic Report. 81^st Congress, 2^ndSession, Senate Document No. 129, 1950.

Joint Committee on the Economic Report. Monetary Policy and the Management of the Public Debt Hearings before the Subcommittee on General Credit Control and Debt Management of the Joint Committee on the Economic Report, 81^st Congress, 2^nd Session, March 1952.

Joint Committee on the Economic Report. Monetary Policy and the Management of the Public Debt. Their Role in Achieving Price Stability and High-Level Employment. Replies to questions and other material for the use of the subcommittee on general credit control and debt management. 82^nd Congress, 2^nd Session, Senate Document No. 123, 1952.

Joint Committee on the Economic Report. Monetary Policy and the Management of the Public Debt Report of the Subcommittee on General Credit Control and Debt Management of the Joint Committee on the Economic Report, 82^nd Congress, 2^nd Session, 1952.

Joint Committee on the Economic Report. United States Monetary Policy: Recent Thinking and Experience Hearings before the Subcommittee on Economic Stabilization of the Joint Committee on the Economic Report. 83^rd Congress, 2^nd Session, December 6 and 7, 1954.

Joint Committee on the Economic Report. January 1956 Economic Report of the President. Hearings before the Joint Committee on the Economic Report. 84^th Congress, 2nd Session, January 31, February 1,2,3,6,7,8,9,14,15,17 and 28, 1956.

Joint Committee on the Economic Report*. Conflicting Official Views on Monetary Policy; April 1956. Hearings before the Subcommittee on Economic Stabilization of the Joint Committee on Economic Report, 84^thCongress, 2^nd Session, June 12, 1956.

Readings for Amusement

Outside Readings in Economics, second edition. Selected by Hess, Arleigh P. Jr., Gallman, Robert E., Rice, John P., and Stern, Carl, New York, 1956. The “Dialogue on Money,” by D. H. Robertson; “The Island of Stone Money,” by William H. Furness III; “The Paper Money of Kubla Khan,” by Marco Polo; and “The Edict of Diocletian,” by Humphrey Mitchell, pp. 314-335 are very amusing and instructive.

PART II—FISCAL POLICY

See the remarks in Part I.

Factual Materials of General Character

Joint Committee on the Economic Report.* The Federal Revenue System: Facts and Problems, 1956

Treasury Bulletin

Annual Reports of the Secretary of the Treasury and of the Commissioner of Internal Revenue

Statistical Abstract of the United States

Historical Statistics of the United States, 1789-1945 (published by the U. S. Bureau of the Census)

U. S. Treasury Department, Internal Revenue Service, Statistics of Income (an annual publication in two volumes)

U. S. Bureau of the Census, Summary of Governmental Finances (annual series)

The Budget of the U. S. Government

Commerce Clearing House, Inc., Tax Systems

West Publishing Co., Federal Tax Regulations, 1956

Congressional Hearings and Reports, listed in Part I and below

Textbooks on Public Finance and Fiscal Policy

Historical Studies

Ratner, S., American Taxation: Its History as a Social Force in a Democracy, New York, 1942

Fabricant*, S., The Trend of Government Activity in the United States since 1900, New York, 1952, Chapters 1, 6, 7

Studenski, P. and H. E. Kroos, Financial History of the United States, New York, 1952

Musgrave*, R. A. and J. M. Culbertson, “The Growth of Public Expenditures in the United States,” National Tax Journal, June, 1953, pp. 97-115

Paul, R. E., Taxation in the United States, Boston, 1954

Fundamental Assumptions

Hansen*, A. H., “The Stagnation Thesis,” Fiscal Policy and the Business Cycle, New York, 1941, pp. 38-46, and Readings in Fiscal Policy

Schumpeter*, J. A., “Economic Possibilities in the United States,” Capitalism, Socialism, and Democracy, 1947, and Readings in Fiscal Policy

Domar*, E. D., “The Problem of Capital Accumulation,” The American Economic Review, December, 1948

Fellner*, W., “Relative Emphasis in Tax Policy on Encouragement of Consumption or Investment,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D.C., November 9, 1955, p. 210

Hansen*, A. H., “Economic Stability and Growth,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 14

Smithies*, A., “Economic Growth as a Policy Objective,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 32.

General Objectives and Policies

Keynes* J. M., “An Open Letter,” The New York Times, 1933, and Readings in Fiscal Policy

Lerner*, A. P., “Functional Finance and the Federal Debt,” Social Research, 1943, and Readings in Fiscal Policy. Also Chapter 24 in his Economics of Control, New York, 1944

Hart, A. G., “’Model-Building’ and Fiscal Policy,” American Economic Review, 1945, and Readings in Fiscal Policy

Committee for Economic Development, “Taxes and the Budget: A Program for Prosperity in a Free Economy,” Readings in Fiscal Policy, 1947

Colm* G., “The Government Budget and the Nation’s Economic Budget,” Public Finance, 1948, and Readings

Friedman*, M., “A Monetary and Fiscal Framework for Economic Stability,” American Economic Review, 1948, and Readings

National Planning Association, “Federal Expenditure and Revenue Policy for Economic Stability,” 1949, Readings

Bach*, G. L., “Monetary-Fiscal Policy Reconsidered,” Journal of Political Economy, October, 1949, and Readings

United Nations*, National and International Measures for Full Employment (report by a group of experts appointed by the Secretary-General), Lake Success, New York, December, 1949

Simons*, H. C., Federal Tax Reform, Chicago, 1950

Viner*, J., “Full Employment at Whatever Cost,” The Quarterly Journal of Economics, August, 1950

Samuelson*, P. A., “Principles and Rules in Modern Fiscal Policy; A Neoclassical Reformulation,” Money, Trade, and Economic Growth: in Honor of John H. Williams, New York, 1951

Millikan, M., ed., Income Stabilization for a Developing Democracy, Yale, 1953

Rolph, E.R., The Theory of Fiscal Economics, Berkeley and Los Angeles, 1954

U. S. Congress, Joint Committee on the Economic Report, Federal Tax Policy for Economic Growth and Stability, December, 1955, Hearings

American Economic Association* Readings in Fiscal Policy, Homewood, Illinois, 1955

National Bureau of Economic Research, Policies to Combat Depression, a conference of the Universities-National Bureau Committee for Economic Research, 1956

Council of Economic Advisers*, the latest Annual Report

Institutional Factors

Bailey, S. K., Congress Makes a Law: the Story behind the Employment Act of 1946, New York, 1950

Bailey, S. K. and H. D. Samuel, Congress at Work, New York, 1952

Blough, R., The Federal Taxing Process, New York, 1952

Smithies*, A., The Budgetary Process in the United States, Committee for Economic Development, New York, 1955

Tax Incidence

Musgrave*, R. A., et al, “Distribution of Tax Payments by Income Groups,” National Tax Journal, March, 1951

Little, I. M. D., “Direct versus Indirect Taxes, Economic Journal, September, 1951

Musgrave*, R. A., “On Incidence,” Journal of Political Economy, August, 1953

Bach*, G. L., “The Impact of Moderate Inflation on Income and Assets of Economic Groups,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 71

Musgrave*, R.A., “Incidence of the Tax Structure and its Effects on Consumption,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 96

Cyclical Aspects

Slichter*, S. H., “The Economics of Public Works,” American Economics Review, 1934, and Readings in Fiscal Policy

Lutz, H. L., “Federal Depression Financing and its Consequences,” Harvard Business Review, 1938, and Readings

Myrdal* G., “Fiscal Policy in the Business Trade,” American Economic Review Supplement, 1939, and Readings

Hagen, E. E., “Timing and Administering Fiscal Policy,” American Economic Review, May, 1948

Committee on Public Issues of the American Economic Association*, “The Problem of Economic Instability,” American Economic Review, 1950, and Readings

Smithies*, A., “The American Economic Association Committee Report on Economic Instability,” American Economic Review, 1951, and Readings

Phillips, A. W., “Stabilization Policy in a Closed Economy,” The Economic Journal, June, 1954, pp. 290-323

Committee for Economic Development*, Problems in Anti-Recession Policy, September 1954

Alternative Budgets for Full Employment

Kaldor*, N., Appendix C in W. H. Beveridge, Full Employment in a Free Society, 1945

Musgrave*, R. A., “Alternative Budget Policies for Full Employment,” American Economic Review, 1945, and Readings

Musgrave*, R. A. and M. H. Miller, “Built-In Flexibility,” American Economic Review, 1948 and Readings

Bishop*, R. L., “Alternative Expansionist Policies,” Income, Employment and Public Policy: Essays in Honor of Alvin H. Hansen, New York, 1948

Stein, H., “Budget Policy to Maintain Stability,” Problems in Anti-Recession Policy, Committee for Economic Development, September, 1954

Hagen*, E. E., “Federal Taxation and Economic Stabilization,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, November 9, 1955, pp. 58-70

Lusher, D. W., “The Stabilizing Effectiveness of Budget Flexibility,” Policies to Combat Depression, a conference of the Universities-National Bureau Committee for Economic Research, Princeton, 1956

Balanced Budget Multiplier

Wallich*, H. C., “Income-Generating Effects of a Balanced Budget,” Quarterly Journal of Economics, November, 1944

Haavelmo*, T., “Multiplier Effects of a Balanced Budget,” Econometrica, 1945, and Readings

Haberler, G., “Multiplier Effects of a Balanced Budget,” Econometrica, April, 1946

Baumol, W. J. and M. H. Preston, “More on the Multiplier Effects of a Balanced Budget under Full Employment,” American Economic Review, March, 1955

The National Debt

Studenski, P., “The Limits of Possible Debt Burdens—Federal, State, and Local,” American Economic Review, Supplement, 1937

Haley*, R. F., “The Federal Budget: Economic Consequences of Deficit Financing,” American Economic Review, 1941, and Readings

Williams*, H. H., “Deficit Spending,” American Economic Review, February, 1941 and Postwar Monetary Plans and other Essays, 1944

Ratchford, B. U., “The Burden of a Domestic Debt,” American Economic Review, 1942, and Readings

Williams, J. H., “The Implications of Fiscal Policy for Monetary Policy and the Banking System,” Proceedings of the American Economic Association, 1942, and Readings

Domar*, E. D., “The ‘Burden of the Debt’ and the National Income,” American Economic Review, 1944, and Readings

Simons*, H., “On Debt Policy,” Journal of Political Economy, 1944, and Readings

Seltzer, L. H., “Is a Rise in Interest Rates Desirable or Inevitable?” American Economic Review, 1945, and Readings

Wallich, H. C., “Debt Management as an Instrument of Economic Policy,” American Economic Review, June, 1946

Roosa, R. V., “Integrating Debt Management and Open Market Operations,” American Economic Review, 1952, and Readings

Burkhead*, J., “The Balanced Budget,” Quarterly Journal of Economic, 1954, and Readings

Inflation and War Finance

Sprague, O. M. W., “Loans and Taxes in War Finance,” American Economic Review, Proceedings, 1917, and Readings

Keynes*, J. M., How to Pay for the War, London, 1940

Smithies*, A., “The Behavior of Money National Income under Inflationary Conditions,” Quarterly Journal of Economics, 1942, and Readings

Fellner*, W. J., “Postscript on War Inflation: A Lesson from World War II,” American Economic Review, 1947, and Readings

Fetter*, F., “The Economic Reports of the President and the Problem of Inflation,” Quarterly Journal of Economics, 1949, and Readings

Wald, H. P., “Fiscal Policy, Military Preparedness, and Postwar Inflation,” National Tax Journal, 1949, and Readings

Hart, A. G., Defense Without Inflation, New York, 1951

Effect on Incentives: Incentive Taxation

Domar*, E. D., and R. A. Musgrave, “Proportional Income Taxation and Risk Taking,” Quarterly Journal of Economic, May, 1954

Butters, J. K., and J. Lintner, Effect of Federal Taxes on Growing Enterprises, Boston, 1945

Groves*, H. M., Postwar Taxation and Economic Progress, New York, 1946, Chapter 11

Shelton, J. P., and G. Ohlin, “A Swedish Tax Provision for Stabilizing Business Investment,” American Economic Review, June, 1952

Brown*, R. S., “Techniques for Influencing Private Investment,” Income Stabilization in a Developing Democracy, M. Millikan, ed., 1953, pp. 416-432

Domar*, E. D., “The Case for Accelerated Depreciation,” Quarterly Journal of Economics, February, 1953

Butters*, J. K., “Taxation, Incentives, and Financial Capacity,” American Economic Review, Supplement, 1954, and Readings

Brown, E. C., “The New Depreciation Policy under the Income Tax: An Economic Analysis,” National Tax Journal, March, 1955

Goode*, R., “Accelerated Depreciation Allowances as a Stimulus to Investment,” Quarterly Journal of Economics, May, 1955

Break*, G. F., “Effects of Taxation on Work Incentives,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 192

Brown*, E. C., “Weaknesses of Accelerated Depreciation as an Investment Stimulus,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 495

Butters*, J. K., “Effects of Taxation on the Investment Capacities and Policies of Individuals,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 126

Greenewalt*, C. H., “Effect of High Tax Rates on Executive Incentive,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 185

Long*, C. D., “Impact of Federal Income Tax on Labor Force Participation,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 153

Kaldor*, N., “An Expenditure Tax,” London, 1955

Particular Taxes

Simons, H., Personal Income Taxation, Chicago, 1938

Brown*, E. C., “Analysis of Consumption Taxes in Terms of the Theory of Income Determination,” American Economic Review, March, 1950

Goode*, R., Corporation Income Tax, New York, 1951

Royal Commission on the Taxation of Profits and Income, First Report, February, 1953; Second Report, April, 1954; Final Report, June, 1955

Due, J. F., “Economics of Commodity Taxation and the Present Excise Tax System,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 547

Keith*, G., “Economic Impact of the Corporation Income Tax,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 658

Goode, R., “The Corporate Income Tax in a Depression,” Policies to Combat Depression, a conference of the Universities-National Bureau Committee for Economic Research, 1956

Merriam, I. C., “Social Security Programs and Economic Stability,” Policies to Combat Depression

Pechman, J. A., “Yield of the Individual Income Tax During A Recession,” Policies to Combat Depression

Inter-Governmental Fiscal Relations

Maxwell*, J. A., “Intergovernmental Fiscal Devices for Economic Stabilization,” Federal Tax Policy for Economic Growth and Stability, Joint Committee on the Economic Report, Washington, D. C., November 9, 1955, p. 807

Heer*, C., “Stabilizing State and Local Finance,” Policies to Combat Depression, 1956

U. S. Treasury Department, Committee on Inter-Governmental Fiscal Relations, Federal, State, and Local Government Fiscal Relations, 78^th Congress, 1^st Session, Senate Document No. 69, 1943

U. S. Bureau of the Census, Compendium of State Government Finances (an annual series)

Same source, Compendium of City Government Finances (an annual series)

Tax Institute, Federal-State-Local Tax Correlation (A Symposium), December, 1953

The Council of State Governments, Federal Grants-in-Aid, 1949

Growth and Economic Development

Bernstein*, E. M. and I. G. Patel, “Inflation in Relation to Economic Development,” International Monetary Fund, Staff papers, II, 1951-52

United Nations*: Fiscal Division, “Taxation and Economic Development in Asian Countries,” Economic Bulletin for Asia and the Far East, Vol. IV, November, 1953

Gurley, J. A., “Fiscal Policy in a Growing Economy,” Journal of Political Economy, December, 1953

Papers and Proceedings of the Conference on Agricultural Taxation and Economic Development, H. P. Wald, and J. N. Froomkin, eds., Cambridge, Massachusetts, 1954 (Harvard University Law School, International Program in Taxation)

Special Problems

Clark*, C., “Public Finance and Changes in the Value of Money,” The Economic Journal, December, 1945

Clark*, C., “The Danger Point in Taxes,” Harper’s Magazine, December, 1950

Goode*, R., “An Economic Limit on Taxes: Some Recent Discussion,” National Tax Journal, September, 1952

Caplan, B., “A Case Study: The 1948-1949 Recession,” Policies to Combat Depression, 1956

Fox, K. A., “The Contribution of Farm Price Support Programs to General Economic Stability,” Policies to Combat Depression, 1956

Gordon, R. A., “Types of Depressions and Programs to Combat Them,” Policies to Combat Depression

Grebler, L., “Housing Policies to Comat Depression,” Policies to Combat Depression

Johnson, D. G., “Stabilization of International Commodity Prices,” Policies to Combat Depression

Owen, W., “Self-Liquidating Public Works to Combat Depression,” Policies to Combat Depression

Source: Duke University, David M. Rubenstein Rare Book and Manuscript Library. Economists’ Papers Archive. Box 17, Folder “Fiscal and Monetary Policy”.

___________________________

FINAL EXAMINATION
14.472 Fiscal Policy
Monday, May 20, 1957

E. D. Domar

ANSWER ALL QUESTIONS. THE QUALITY OF YOUR REASONING IS THE MOST IMPORTANT PART OF YOUR ANSWERS.

[35%] Compare and contrast monetary and fiscal policies as methods of achieving a steadily expanding economy (without inflation or depression). Include, but don’t limit yourself to, the following points:
1. 1. The theoretical foundation of each.
  2. Methods used.
  3. Effects on distribution of income and wealth.
  4. Social and political repercussions of each.
  5. The effectiveness and limitations of each.

Do they overlap? Can you work out a synthesis?

[20%] “Government spending tends to be like a drug, in that it takes larger and larger doses to get results, and all the time debt and taxes get higher and higher.”
Analyze this statement and comment as fully as you can. Compare the effect of government expenditures with that of private.
[15%] “The best cure against inflation is increased production.”
Analyze this statement and comment on it. Include in your comments the monetary and fiscal implications of this statement.
[15%] What are the so-called “Built-in-Stabilizers?” Discuss fully and indicate how they operate in (a) depression and (b) inflation.
[15%] “The purpose of taxation is never to raise money but to leave less in the hands of the taxpayer.”
Comment fully and indicate the limitations of this statement. Can you identify the author? (No great penalty if you cannot.)

Source: Duke University, David M. Rubenstein Rare Book and Manuscript Library. Economists’ Papers Archive. Box 16, Folder “Examination. Public Finance and Fiscal Policy”.

Notes on Final Exam:

Question II comes from a review of Stuart Chase, Where’s the Money Coming From? Published in the Monthly Bulletin of the National City Bank of New York that I was fortunate to find inserted into the Congressional Record Volume 93—Part 4 (May 8, 1947, p. 4827);

Question III. Domar liked this question enough to have used it at least twice. See January 23, 1958 Exam at Johns Hopkins; January 26, 1966 at M.I.T.;

Question V. The sentence quoted comes from Abba Lerner’s The Economics of Control, p. 307.

___________________________

Image Source: Evsey D. Domar at the MIT Museum legacy website.

Tags BrownEC, Domar, Musgrave

Economics Programs Economist Market Gender M.I.T. Placement UCLA

M.I.T. Stats on women economics Ph.D.s, 1960-72

Post author By Irwin Collier
Post date 2019-08-31

Besides documenting the figure of 5.8% of the MIT economics Ph.D.s granted during the period 1960-1972 going to women, the correspondence between the heads of the UCLA and MIT departments transcribed for this post indicates that there could be up to 14 other departmental responses to the UCLA request in 1972 regarding the gender breakdown of economics Ph.D.s. Can somebody check the UCLA archives for us?

_________________

UNIVERSITY OF CALIFORNIA, LOS ANGELES

DEPARTMENT OF ECONOMICS
LOS ANGELES, CALIFORNIA 90024

19 September 1972

Chairman
Department of Economics
Massachusetts Institute of Technology
Cambridge, Massachusetts 02139

Dear Sir:

The Administration of the University has requested that I obtain from the fifteen best Departments of Economics (as judged by the Roose-Anderson Report) data concerning women Ph.D.s. First, how many women Ph.D.s did you produce from 1960-65, 1965-70, and 1970-72? Second, our Administration wishes specific information on those women with Ph.D.s, or those nearing completion, whom you would recommend for academic appointments.

While it might appear that this Department is about to initiate a policy of discrimination in favor of women, I want to emphasize that we shall continue to select our faculty solely on the basis of merit. Therefore, this year, as in past years, we should very much appreciate information concerning all of your Ph.D.s available for employment in 1973-74.

Sincerely,

[signed]
J.C. La Force
Chairman

JCL:aa

[Note: Kenneth D. Roose and Charles J. Andersen, A Rating of Graduate Programs, American Council on Education, Washington, D.C. 1970.]

_________________

Carbon copy of E. Cary Brown’s response

September 28, 1972

Professor J. C. La Force
University of California, Los Angeles
Department of Economics
Los Angeles, California 90024

Dear Professor La Force:

The data you requested are as follows:

	Ph.D. Awarded
	Women	Men
July 1, 1960—June 30, 1965	5	76
July 1, 1965—June 30, 1970	7	95
July 1, 1965—June 30, 1972	1	40
[Total]	13	211

We have not yet compiled a list of the potential supply of Ph.D.’s for next year. I will ask Professor Evsey Domar to call to your attention such women candidates as he would recommend to you. If the list is a sgood as last year’s, they could all be enthusiastically supported.

Very truly yours,

E. Cary Brown, Head

ECB/jfc

Source: M.I.T. Institute Archives. MIT Department of Economics Records, Box 2, Folder Ph.D. Program Statistics

Tags BrownEC, LaForce

MASSACHUSETTS INSTITUTE OF TECHNOLOGY The Graduate Program in Economics 1974 – 1975

TABLE OF CONTENTS

MASSACHUSETTS INSTITUTE OF TECHNOLOGY The Graduate Program in Economics 1974–75

Department of Economics 1975 – 76

MASSACHUSETTS INSTITUTE OF TECHNOLOGY DEPARTMENT OF ECONOMICS CAMBRIDGE, MASSACHUSETTS 02139

Brown to Solow

MEMORANDUM

DEPARTMENTAL ADMINISTRATIVE RESPONSIBILITIES: ECONOMICS DEPARTMENT 1977-78

Memo from Chairman E. Cary Brown on a Revision of General Exams, 1975

DEPARTMENT OF ECONOMICS AND SOCIAL SCIENCE Meeting of the Visiting Committee October 7, 1958

Undergraduate Program

The Psychology Section (reported by Professors Roger W. Brown and Davis Howes)

The Political Science Section (reported by Professors Norman J. Padelford and Ithiel de S. Pool)

The Industrial Relations Section (reported by Professor Charles A. Myers)

The Center for International Studies (reported by Professor Max F. Millikan)

The Graduate Economics Program (reported by Professor Charles P. Kindleberger)

TABLE II Comparative Numbers of Students Completing Individual Subjects in the Department of Economics and Social Science, 1956-57 and 1957-58 [Note: Course titles provided after Table II]

Course numbers, names and instructors 1957-58*

Dean Reminding Economics Department about Information Request

Economics Department’s First Response to Dean’s Request for Information

Follow-up Request by Dean

Economics Department’s Response to Follow-up Request by the Dean

Dating the Memo

Memo from E. Cary Brown to M.I.T. faculty going to Dec. 1965 AEA meeting

Memorandum Regarding Personnel Interviews in New York

University of Chicago

Princeton

Stanford

Yale

York

Johns Hopkins

University of California, Berkeley

Cornell

Buffalo

Columbia U.

Pittsburgh

M.I.T. Economics Department’s Experience With Expanding Graduate Enrollment of Black Students, 1970-74

Course Enrollment (Second term, 1956-57

Typed notecards for an introduction to or a review of course.

The traditional arguments regarding the purposes of Monetary Policy:

The following limitations, some real, other imaginary, explain why Fiscal Policy is not as simple as Lerner makes it:

READING LIST 14.472 Fiscal Policy Spring Term 1956-57

Professor E. D. Domar

FINAL EXAMINATION 14.472 Fiscal Policy Monday, May 20, 1957

E. D. Domar

UNIVERSITY OF CALIFORNIA, LOS ANGELES

DEPARTMENT OF ECONOMICS LOS ANGELES, CALIFORNIA 90024

Carbon copy of E. Cary Brown’s response

MASSACHUSETTS INSTITUTE OF TECHNOLOGY
The Graduate Program in Economics
1974 – 1975

MASSACHUSETTS INSTITUTE OF TECHNOLOGY
The Graduate Program in Economics
1974–75

Department of Economics
1975 – 76

MASSACHUSETTS INSTITUTE OF TECHNOLOGY
DEPARTMENT OF ECONOMICS
CAMBRIDGE, MASSACHUSETTS 02139

DEPARTMENTAL ADMINISTRATIVE RESPONSIBILITIES:
ECONOMICS DEPARTMENT 1977-78

Memo from Chairman E. Cary Brown
on a Revision of General Exams, 1975

DEPARTMENT OF ECONOMICS AND SOCIAL SCIENCE
Meeting of the Visiting Committee
October 7, 1958

TABLE II
Comparative Numbers of Students Completing Individual Subjects in the Department of Economics and Social Science, 1956-57 and 1957-58
[Note: Course titles provided after Table II]

Course numbers, names and instructors
1957-58*

Course Enrollment
(Second term, 1956-57

READING LIST
14.472 Fiscal Policy
Spring Term 1956-57

FINAL EXAMINATION
14.472 Fiscal Policy
Monday, May 20, 1957

DEPARTMENT OF ECONOMICS
LOS ANGELES, CALIFORNIA 90024