How Would Austrian Economics Be Defined?
The Austrian School (also known as the “Vienna School” or the “Psychological School”) is a heterodox school of economics that emphasizes the spontaneous organizing power of the price mechanism. It holds that the complexity of subjective human choices makes mathematical modelling of the evolving market extremely difficult (or impossible) and advocates a laissez faire approach to the economy. Austrian School economists advocate the enforcement of voluntary contractual agreements between economic agents, but otherwise the smallest imposition of coercive force (especially government-imposed) on commercial transactions. Although often controversial, the Austrian School was once influential dating back to the early 20th century, but currently contributes relatively little to mainstream economic thought. The Austrian School derives its name from its predominantly Austrian founders and early supporters, including Carl Menger, Eugen von Böhm-Bawerk and Ludwig von Mises. Despite this name, suppo
The Austrian School (also known as the “Vienna School” or the “Psychological School”) is a heterodox school of economics that emphasizes the spontaneous organizing power of the price mechanism. It holds that the complexity of subjective human choices makes mathematical modeling of the evolving market extremely difficult (or impossible) and advocates a laissez faire approach to the economy. Austrian School economists advocate the enforcement of voluntary contractual agreements between economic agents, but otherwise the smallest imposition of coercive force (especially government-imposed) on commercial transactions.
