Adam Smith (baptised 16 June 1723 17 July 1790) was a Scottish social

philosopher and a pioneer of political economy. One of the key figures of the Scottish Enlightenment, Smith is the author of The Principles Which Lead and Direct Philosophical Enquiries, Illustrated by the History of Astronomy, prior to 1758, The Theory of Moral Sentiments, 1759, and An Inquiry into the Nature and Causes of the Wealth of Nations, 1776. The latter, usually abbreviated as The Wealth of Nations, is considered his magnum opus and the first modern work of economics. Smith is widely cited as the father of modern economics and capitalism and is still among the most influential thinkers in the field of economics today. In 2009, Smith was named among the 'Greatest Scots' of all time, in a vote run by Scottish television channel STV. Smith studied social philosophy at the University of Glasgow and at Balliol College in the University of Oxford, where he was one of the first students to benefit from scholarships set up by his fellow Glaswegian John Snell. After graduating, he delivered a successful series of public lectures at Edinburgh, leading him to collaborate with David Hume during the Scottish Enlightenment. Smith obtained a professorship at Glasgow teaching moral philosophy, and during this time he wrote and published The Theory of Moral Sentiments. In his later life, he took a tutoring position that allowed him to travel throughout Europe, where he met other intellectual leaders of his day. Smith then returned home and spent the next ten years writing The Wealth of Nations, publishing it in 1776. He died in 1790 at the age of 67.

Karl Heinrich Marx (5 May 1818 14 March 1883) was a German philosopher,
economist, sociologist, historian, journalist, and revolutionary socialist. His ideas played a significant role in the development of social science and the socialist movement. He published various books during his lifetime, with the most notable being The Communist Manifesto (1848) and Capital (18671894); some of his works were co-written with his friend and fellow German revolutionary socialist, Friedrich Engels. Born into a wealthy middle class family in Trier, formerly in Prussian Rhineland now called RhinelandPalatinate, Marx studied at both the University of Bonn and the University of Berlin, where he became interested in the philosophical ideas of the Young Hegelians. In 1836, he became engaged to Jenny von Westphalen, marrying her in 1843. After his studies, he wrote for a radical newspaper in Cologne, and began to work out his theory of dialectical materialism. Moving to Paris in 1843, he began writing for other radical newspapers. He met Engels in Paris, and the two men worked together on a series of books.

Exiled to Brussels, he became a leading figure of the Communist League, before moving back to Cologne, where he founded his own newspaper. In 1849 he was exiled again and moved to London together with his wife and children. In London, where the family was reduced to poverty, Marx continued writing and formulating his theories about the nature of society and how he believed it could be improved, and also campaigned for socialismhe became a significant figure in the International Workingmen's Association. Marx's theories about society, economics and politicscollectively known as Marxismhold that all societies progress through the dialectic of class struggle: a conflict between an ownership class which controls production and a lower class which produces the labour for goods. Heavily critical of the current socio-economic form of society, capitalism, he called it the "dictatorship of the bourgeoisie", believing it to be run by the wealthy classes purely for their own benefit, and predicted that, like previous socioeconomic systems, it would inevitably produce internal tensions which would lead to its self-destruction and replacement by a new system, socialism. He argued that under socialism society would be governed by the working class in what he called the "dictatorship of the proletariat", the "workers state" or "workers' democracy". He believed that socialism would, in its turn, eventually be replaced by a stateless, classless society called communism. Along with believing in the inevitability of socialism and communism, Marx actively fought for the former's implementation, arguing that both social theorists and underprivileged people should carry out organised revolutionary action to topple capitalism and bring about socioeconomic change. Revolutionary socialist governments espousing Marxist concepts took power in a variety of countries in the 20th century, leading to the formation of such socialist states as the Soviet Union in 1922 and the People's Republic of China in 1949. Many labor unions and worker's parties worldwide were also influenced by Marxist ideas. Various theoretical variants, such as Leninism, Stalinism, Trotskyism and Maoism, were developed. Marx is typically cited, with mile Durkheim and Max Weber, as one of the three principal architects of modernsocial science.[10] Marx has been described as one of the most influential figures in human history.

Plato (427-347 B.C.) is a Greek philosopher. In 407 B.C. he became a pupil and
friend of Socrates. After living for a time at the Syracuse court, Plato founded (c.387 B.C.) near Athens the most influential school of the ancient world, the Academy, where he taught until his death. His most famous pupil there was Aristotle. Plato's extant work is in the form of epistles and dialogues, divided according to the probable order of composition. The early, or Socratic, dialogues, e.g.,

the Apology, Meno, and Gorgias, present Socrates in conversations that illustrate his major ideas-the unity of virtue and knowledge and of virtue and happiness. They also contain Plato's moving account of the last days and death of Socrates. Plato's goal in dialogues of the middle years, e.g., the Republic, Phaedo, Symposium, and Timaeus, was to show the rational relationship between the soul, the state, and the cosmos. The later dialogues, e.g., the Laws andParmenides, contain treatises on law, mathematics, technical philosophic problems, and natural science. Plato regarded the rational soul as immortal, and he believed in a world soul and a Demiurge, the creator of the physical world. He argued for the independent reality of Ideas, or Forms, as the immutable archetypes of all temporal phenomena and as the only guarantee of ethical standards and of objective scientific knowledge. Virtue consists in the harmony of the human soul with the universe of Ideas, which assure order, intelligence, and pattern to a world in constant flux. Supreme among them is the Idea of the Good, analogous to the sun in the physical world. Only the philosopher, who understands the harmony of all parts of the universe with the Idea of the Good, is capable of ruling the just state. In Plato's various dialogues he touched upon virtually every problem that has occupied subsequent philosophers; his teachings have been among the most influential in the history of Western civilization, and his works are counted among the world's finest literature.

Aristotle, whose name means "the best purpose," was born

in Stageira, Chalcidice, in 384 BC, about 55 km (34 mi) east of modernday Thessaloniki. His father Nicomachus was the personal physician to King Amyntas of Macedon. Aristotle was trained and educated as a member of the aristocracy. At about the age of eighteen, he went to Athens to continue his education at Plato's Academy. Aristotle remained at the academy for nearly twenty years before quitting Athens in 348/47 BC. The traditional story about his departure reports that he was disappointed with the direction the academy took after control passed to Plato's nephew Speusippusupon his death, although it is possible that he feared anti-Macedonian sentiments and left before Plato had died. He then traveled withXenocrates to the court of his friend Hermias of Atarneus in Asia Minor. While in Asia, Aristotle traveled with Theophrastus to the island of Lesbos, where together they researched the botany and zoology of the island. Aristotle married Hermias's adoptive daughter (or niece) Pythias. She bore him a daughter, whom they named Pythias. Soon after Hermias' death, Aristotle was invited by Philip II of Macedon to become the tutor to his son Alexander the Great in 343 BC.

Aristotle was appointed as the head of the royal academy of Macedon. During that time he gave lessons not only to Alexander, but also to two other future kings: Ptolemy and Cassander. Aristotle encouraged Alexander toward eastern conquest, and his attitude towards Persia was unabashedly ethnocentric. In one famous example, he counsels Alexander to be 'a leader to the Greeks and a despot to the barbarians, to look after the former as after friends and relatives, and to deal with the latter as with beasts or plants'. By 335 BC he had returned to Athens, establishing his own school there known as the Lyceum. Aristotle conducted courses at the school for the next twelve years. While in Athens, his wife Pythias died and Aristotle became involved with Herpyllis of Stageira, who bore him a son whom he named after his father, Nicomachus. According to the Suda, he also had an eromenos, Palaephatus of Abydus. It is during this period in Athens from 335 to 323 BC when Aristotle is believed to have composed many of his works. Aristotle wrote many dialogues, only fragments of which survived. The works that have survived are in treatise form and were not, for the most part, intended for widespread publication, as they are generally thought to be lecture aids for his students. His most important treatises include Physics, Metaphysics, Nicomachean Ethics, Politics, De Anima (On the Soul) andPoetics. Aristotle not only studied almost every subject possible at the time, but made significant contributions to most of them. In physical science, Aristotle studied anatomy, astronomy, embryology, geography, geology, meteorology, physics and zoology. In philosophy, he wrote on aesthetics, ethics, government, metaphysics, politics, economics, psychology, rhetoric and theology. He also studied education, foreign customs, literature and poetry. His combined works constitute a virtual encyclopedia of Greek knowledge. It has been suggested that Aristotle was probably the last person to know everything there was to be known in his own time. Near the end of Alexander's life, Alexander began to suspect plots against himself, and threatened Aristotle in letters. Aristotle had made no secret of his contempt for Alexander's pretense of divinity, and the king had executed Aristotle's grandnephew Callisthenes as a traitor. A widespread tradition in antiquity suspected Aristotle of playing a role in Alexander's death, but there is little evidence for this. Upon Alexander's death, anti-Macedonian sentiment in Athens once again flared. Eurymedon the hierophant denounced Aristotle for not holding the gods in honor. Aristotle fled the city to his mother's family estate in Chalcis, explaining, "I will not allow the Athenians to sin twice against philosophy," a reference to Athens's prior trial and execution of Socrates. He died in Euboea of natural causeswithin the year (in 322 BC). Aristotle named chief executor his student Antipater and left a will in which he asked to be buried next to his wife.
[11]

John Maynard Keynes, 1st Baron Keynes, (5 June 188321 April 1946) was
a British economist whose ideas have profoundly affected the theory and practice of modern macroeconomics, as well as the economic policies of governments. He greatly refined earlier work on the causes of business cycles, and advocated the use of fiscal and monetary measures to mitigate the adverse effects of economic recessions and depressions. His ideas are the basis for the school of thought known as Keynesian economics, as well as its various offshoots. In the 1930s, Keynes spearheaded a revolution in economic thinking, overturning the older ideas of neoclassical economics that held that free markets would, in the short to medium term, automatically provide full employment, as long as workers were flexible in their wage demands. Keynes instead argued that aggregate demand determined the overall level of economic activity, and that inadequate aggregate demand could lead to prolonged periods of high unemployment. Following the outbreak of World War II, Keynes's ideas concerning economic policy were adopted by leading Western economies. During the 1950s and 1960s, the success of Keynesian economics resulted in almost all capitalist governments adopting its policy recommendations. Keynes's magnum opus, The General Theory of Employment, Interest and Money was published in 1936. It was researched and indexed by one of Keynes's favourite students, later the economist David Bensusan-Butt. The work served as a theoretical justification for the interventionist policies Keynes favoured for tackling a recession. The General Theorychallenged the earlier neo-classical economic paradigm, which had held that provided it was unfettered by government interference, the market would naturally establish full employmentequilibrium. In doing so Keynes was partly setting himself against his former teachers Marshall and Pigou. Keynes believed the classical theory was a "special case" that applied only to the particular conditions present in the 19th century, his own theory being the general one. Classical economists had believed in Say's law, which, simply put, states that "supply creates its own demand", and that in a free market workers would always be willing to lower their wages to a level where employers could profitably offer them jobs. An innovation from Keynes was the concept of price stickiness the recognition that in reality workers often refuse to lower their wage demands even in cases where a classical economist might argue it is rational for them to do so. Due in part to price stickiness, it was established that the interaction of "aggregate demand" and "aggregate supply" may lead to stable unemployment equilibria and in those cases, it is the state, and not the market, that economies must depend on for their salvation. The General Theory argues that demand, not supply, is the key variable governing the overall level of economic activity. Aggregate demand, which equals total un-hoarded income in a society, is defined by the sum of consumption and investment. In a state of unemployment and unused production capacity, one can only enhance employment and total income by first increasing expenditures for either

consumption or investment. Without government intervention to increase expenditure, an economy can remain trapped in a low employment equilibrium the demonstration of this possibility has been described as the revolutionary formal achievement of the work. The book advocated activist economic policy by government to stimulate demand in times of high unemployment, for example by spending on public works. "Let us be up and doing, using our idle resources to increase our wealth," he wrote in 1928. "With men and plants unemployed, it is ridiculous to say that we cannot afford these new developments. It is precisely with these plants and these men that we shall afford them." Keynes is widely considered to be one of the founders of modern macroeconomics, and to be the most influential economist of the 20th century. In 1999, Time magazine included Keynes in their list of the 100 most important and influential people of the 20th century, commenting that: "His radical idea that governments should spend money they don't have may have saved capitalism." In addition to being an economist, Keynes was also a civil servant, a director of the British Eugenics Society, a director of the Bank of England, a patron of the arts and an art collector, a part of the Bloomsbury Group of intellectuals, an advisor to several charitable trusts, a writer, a philosopher, a private investor, and a farmer.

The Reverend Thomas Robert Malthus FRS (13 or 14 February 1766 23 or 29 December 1834) was an English scholar, influential in political economy and demography. Malthus popularized the economic theory of rent. Malthus has become widely known for his theories about population and its increase or decrease in response to various factors. The six editions of his An Essay on the Principle of Population, published from 1798 to 1826, observed that sooner or later population gets checked by famine and disease. He wrote in opposition to the popular view in 18th-century Europe that saw society as improving and in principle as perfectible. William Godwin and the Marquis de Condorcet, for example, believed in the possibility of almost limitless improvement of society. In a more complex way, so did JeanJacques Rousseau, whose notions centered on the goodness of man and the liberty of citizens bound only by thesocial contracta form of popular sovereignty. Malthus thought that the dangers of population growth would preclude endless progress towards a utopian society: "The power of population is indefinitely greater than the power in the earth to produce subsistence for man". As an Anglican clergyman, Malthus saw this situation as divinely imposed to teach virtuous behaviour. Believing that one could not change human nature, Malthus wrote:

Must it not then be acknowledged by an attentive examiner of the histories of mankind, that in every age and in every State in which man has existed, or does now exist that the increase of population is necessarily limited by the means of subsistence, that population does invariably increase when the means of subsistence increase, and that the superior power of population is repressed, and the actual population kept equal to the means of subsistence, by misery and vice. Malthus placed the longer-term stability of the economy above short-term expediency. He criticised the Poor Laws, and (alone among important contemporary economists) supported the Corn Laws, which introduced a system of taxes on British imports of wheat. He thought these measures would encourage domestic production, and so promote long-term benefits. Malthus became hugely influential, and controversial, in economic, political, social and scientific thought. Many of those whom subsequent centuries term evolutionary biologistsread him, notably Charles Darwin and Alfred Russel Wallace, for each of whomMalthusianism became an intellectual steppingstone to the idea of natural selection. Malthus remains a writer of great significance and controversy.

David Ricardo (17721823) was born in London. By the age of 26, he had
become a wealthy stock market trader and bought himself a constituency seat in Ireland to gain a platform in the British parliament's House of Commons. Ricardo's best known work is his Principles of Political Economy and Taxation, which contains his critique of barriers to international trade and a description of the manner the income is distributed in the population. Ricardo made a distinction between the workers, who received a wage fixed to a level at which they can survive, the landowners, who earn a rent, and capitalists, who own capital and receive a profit, a residual part of the income. If population grows, it becomes necessary to cultivate additional land, whose fertility is lower than that of already cultivated fields, because of the law of decreasing productivity. Therefore, the cost of the production of the wheat increases, as well as the price of the wheat: The rents increase also, the wages, indexed to inflation (because they must allow workers to survive) too. Profits decrease, until the capitalists can no longer invest. The economy, Ricardo concluded, is bound to tend towards a steady state. To postpone the steady state, Ricardo advocates to promote international trade to import wheat at a low price to fight landowners. The Corn Laws of the UK had been passed in 1815, setting a fluctuating system of tariffs to stabilise the price of wheat in the domestic market. Ricardo argued that raising tariffs, despite being intended to benefit the incomes of farmers, would merely produce a rise in the prices of rents that went into the pockets of landowners. Furthermore, extra labour would be employed leading to an increase in the cost of wages across the board, and therefore reducing exports and profits coming from overseas

business. Economics for Ricardo was all about the relationship between the three "factors of production": land, labour and capital. Ricardo demonstrated mathematically that the gains from trade could outweigh the perceived advantages of protectionist policy. The idea of comparative advantage suggests that even if one country is inferior at producing all of its goods than another, it may still benefit from opening its borders since the inflow of goods produced more cheaply than at home, produces a gain for domestic consumers. According then to Ricardo, this concept would lead to a shift in prices, so that eventually England would be producing goods in which its comparative advantages were the highest.

John Stuart Mill (18061873) was the dominant figure of political economic
thought of his time, as well as being a Member of Parliament for the seat of Westminster, and a leading political philosopher. Mill was a child prodigy, reading Ancient Greek from the age of 3, and being vigorously schooled by his father James Mill. Jeremy Bentham was a close mentor and family friend, and Mill was heavily influenced by David Ricardo. Mill's textbook, first published in 1848 and titled Principles of Political Economy was essentially a summary of the economic wisdom of the mid nineteenth century. It was used as the standard texts by most universities well into the beginning of the twentieth century. On the question of economic growth Mill tried to find a middle ground between Adam Smith's view of ever expanding opportunities for trade and technological innovation and Thomas Malthus' view of the inherent limits of population. In his fourth book Mill set out a number of possible future outcomes, rather than predicting one in particular. The first followed the Malthusian line that population grew quicker than supplies, leading to falling wages and rising profits. The second, per Smith, said if capital accumulated faster than population grew then real wages would rise. Third, echoing David Ricardo, should capital accumulate and population increase at the same rate, yet technology stay stable, there would be no change in real wages because supply and demand for labour would be the same. However growing populations would require more land use, increasing food production costs and therefore decreasing profits. The fourth alternative was that technology advanced faster than population and capital stock increased. The result would be a prospering economy. Mill felt the third scenario most likely, and he assumed technology advanced would have to end at some point. But on the prospect of continuing economic growth, Mill was more ambivalent. I confess I am not charmed with the ideal of life held out by those who think that the normal state of human beings is that of struggling to get on; that the trampling, crushing, elbowing, and treading on each other's heels, which form the existing type of social life, are the most desirable

lot of human kind, or anything but the disagreeable symptoms of one of the phases of industrial progress. Mill is also credited with being the first person to speak of supply and demand as a relationship rather than mere quantities of goods on markets, fund doctrine.
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the concept of opportunity cost and the rejection of the wage

Jean-Baptiste Say (5 January 1767 15 November 1832) was born

in Lyon. His father, Jean-Etienne Etienne Say, was born to aProtestant family which had moved from Nmes to Geneva for some time in consequence of the revocation of the Edict of Nantes. (His brother Louis Auguste (17741840) was also an economist). Say was intended to follow a commercial career, and was sent, with his brother Horace, to England: here he lived first in Croydon, in the house of a merchant, to whom he acted as clerk, and afterwards in London, where he was in the service of another employer. When, on the death of the latter, he returned to France, he was employed in the office of a life assurance company directed by tienne Clavire. Say's first literary attempt was a pamphlet on the liberty of the press, published in 1789. He later worked under Mirabeau on the Courrier de Provence. In 1792 he took part as a volunteer in the campaign of Champagne; in 1793 he assumed, in conformity with the Revolutionary fashion, the pre-name of Atticus, and became secretary to Clavire, then finance minister. In 1793 Say married Mlle Deloche, daughter of a former lawyer. From 1794 to 1800 Say edited a periodical entitled La Decade philosophique, litteraire, et politique, in which he expounded the doctrines of Adam Smith. He had by this time established his reputation as a publicist, and, when the consular government was established in 1799, he was selected as one of the hundred members of the tribunate, resigning the direction of the Decade. In 1800 he published in Olbie, ou essai sur les moyens de reformer les moeurs d'une nation. In 1803 appeared Say's principal work, theTrait d'conomie politique ou simple exposition de la manire dont se forment, se distribuent et se composent les richesses. In 1804, having shown his unwillingness to sacrifice his convictions for the purpose of furthering the designs of Napoleon, he was removed from the office of tribune. He then turned to industrial pursuits, and, having made himself acquainted with the processes of the cottonmanufacture, founded at Auchy, in the Pas de Calais, a spinning-mill which employed four or five hundred persons, principally women and children. He devoted his leisure to the improvement of his economic treatise, which had for some time been out of print, but which the censorship did not permit him to republish.

In 1814 he "availed himself" (to use his own words) of the sort of liberty arising from the entrance of the allied powers into France to bring out a second edition of the work, dedicated to the emperor Alexander I of Russia, who had professed himself his pupil. In the same year the French government sent him to study the economic condition of the United Kingdom. The results of his observations appeared in A tract de l'Angleterre et des Anglais. A third edition of the Traite appeared in 1817. A chair of industrial economy was founded for him in 1819 at the Conservatoire des Arts et Metiers. In 1831 he was made professor of political economy at the Collge de France. Say in 18281830 published his Cours complet d'economie politique pratique. In 1826, he was elected a foreign member of the Royal Swedish Academy of Sciences. In his later years Say became subject to attacks of nervous apoplexy. He lost his wife in January 1830; and from that time his health constantly declined. When the revolution of that year broke out, he was named a member of the council-general of the department of the Seine, but found it necessary to resign. He died in Paris on 15 November 1832, and is buried in the cemetery of Invalides.

Vilfredo Federico Damaso Pareto (July 1848 19 August 1923), born Wilfried
Fritz Pareto, was an Italian engineer, sociologist,economist, political scientist and philosopher. He made several important contributions to economics, particularly in the study of income distribution and in the analysis of individuals' choices.

Pareto was born of an exiled noble Genoese family in 1848 in Paris, the centre of the popular revolutions of that year. His father, Raffaele Pareto (18121882), was an Italian civil engineer and Ligurian marchese who had left Italy much like Mazzini and other Italian nationalists. His mother, Marie Metenier, was a French woman. Enthusiastic about the 1848 German revolution, his parents named him Fritz Wilfried, which became Vilfredo Federico upon his family's move back to Italy in 1858. In his childhood, Pareto lived in a middle-class environment, receiving a high standard of education. In 1870, he earned a degree in engineering from what is now the Polytechnic University of Turin. His dissertation was entitled "The Fundamental Principles of Equilibrium in Solid Bodies". His later interest in equilibrium analysis in economics and sociology can be traced back to this paper.

Pareto turned his interest to economic matters and he became an advocate of free trade, finding himself in difficulty with the Italian government. His writings reflected the ideas of Lon Walras that economics is essentially a mathematical science. Pareto was a leader of the "Lausanne School" and represents the second generation of the Neoclassical revolution. His "tastes-and-obstacles" approach togeneral equilibrium theory were resurrected during the great "Paretian Revival" of the 1930s and have influenced theoretical economics since. In his Manual of Political Economy (1906) the focus is on equilibrium in terms of solutions to individual problems of "objectives and constraints". He used the indifference curve of Edgeworth (1881) extensively, for the theory of the consumer and, another great novelty, in his theory of the producer. He gave the first presentation of the trade-off box now known as the "Edgeworth-Bowley" box. Pareto realized that cardinal utility could be dispensed withthat is, it was not necessary to know how much a person valued this or that, only that he preferred X of this to Y of that. Utility was a preferenceordering. With this, Pareto not only inaugurated modern microeconomics, but he also demolished the alliance of economics and utilitarian philosophy (which calls for the greatest good for the greatest number; Pareto said "good" cannot be measured). He replaced it with the notion of Pareto-optimality, the idea that a system is enjoying maximum economic satisfaction when no one can be made better off without making someone else worse off. Pareto optimality is widely used in welfare economics and game theory. A standard theorem is that a perfectly competitive market creates distributions of wealth that are Pareto optimal.

Milton Friedman (July 31, 1912 November 16, 2006) was an

American economist, statistician, and author who taught at the University of Chicago for more than three decades. He was a recipient of the Nobel Memorial Prize in Economic Sciences, and is known for his research on consumption analysis, monetary history and theory, and the complexity of stabilization policy. As a leader of the Chicago school of economics, he influenced the research agenda of the economics profession. A survey of economists ranked Friedman as the second most popular economist of the twentieth century behind John Maynard Keynes, and The Economist described him as "the most influential economist of the second half of the 20th centurypossibly of all of it." Friedman's challenges to what he later called "naive Keynesian" (as opposed to New Keynesian) theory began with his 1950s reinterpretation of the consumption function, and he became the main advocate opposing activist Keynesian government policies. In the late 1960s he described his own

approach (along with all of mainstream economics) as using "Keynesian language and apparatus" yet rejecting its "initial" conclusions. During the 1960s he promoted an alternative macroeconomic policy known as "monetarism". He theorized there existed a "natural" rate of unemployment, and argued that governments could increase employment above this rate (e.g., by increasing aggregate demand) only at the risk of causing inflation to accelerate. He argued that the Phillips curve was not stable and predicted what would come to be known as stagflation. Friedman argued that, given the existence of the Federal Reserve, a constant small expansion of the money supply was the only wise policy. Friedman was an economic adviser to conservative President Ronald Reagan. His political philosophy extolled the virtues of a free market economic system with minimal intervention. He once stated that his role in eliminating U.S. conscription was his proudest accomplishment, and his support for school choice led him to found The Friedman Foundation for Educational Choice. In his 1962 book Capitalism and Freedom, Friedman advocated policies such as a volunteer military, freely floating exchange rates, abolition of medical licenses, a negative income tax, and education vouchers. His ideas concerning monetary policy, taxation, privatization and deregulation influenced government policies, especially during the 1980s. His monetary theory influenced the Federal Reserve's response to the global financial crisis. Milton Friedman's works include many monographs, books, scholarly articles, papers, magazine columns, television programs, videos, and lectures, and cover a broad range of topics of microeconomics, macroeconomics, economic history, and public policy issues. His books and essays were widely read, and have had an international influence, including in Communist countries.

Ernst Engel (March 26, 1821 December 8, 1896) was a German statistician
and economist, famous for the Engel curve and the Engel's law. He was born in Dresden. He studied at the famous mining academy of Freiberg, in Saxony, and on completing his curriculum traveled in Germany and France. Immediately after the revolution of 1848, he was attached to the royal commission in Saxony appointed to determine the relations between trade and labor. In 1850, he was directed by the government to assist in the organization of the German Industrial Exhibition of Leipzig (the first of its kind). His efforts were so successful that, in 1854, he was induced to enter the government service, as chief of the newly instituted statistical department. He retired, however, from the office in 1858. He founded at Dresden the first Mortgage Insurance Society (HypothekenVersicherungsgesellschaft), and as a result of the success of his work, was summoned in 1860 to Berlin as director of the statistical department, in succession to Karl Friedrich Wilhelm Dieterici. In his new office, he made himself a name of worldwide reputation. Raised to the rank of Geheimer

Regierungsrat, he retired in 1882 and lived henceforward in Serkowitz, today part of Radebeul near Dresden, where he died in 1896. Engel was a voluminous writer on the subjects with which his name is connected, but his statistical papers are mostly published in the periodicals which he himself established, namely, Preuss. Statistik (in 1861); Zeitschrift des Statistischen Bureaus, and Zeitschrift des Statistischen Bureaus des Knigreichs Sachsen.