Categories
Brookings Economists

Brookings. Economics Ph.D. alumnus. Dexter Merriam Keezer, 1925

 

Dexter Merriam Keezer
(Brookings Ph.D., 1925)

BACKSTORY TO THIS POST

Just over one hundred years ago, the wife of the newly inaugurated fourth president of Cornell University, Margaret Kate Farrand (pronounced “Fair-And”) née Carleton, along with a first year graduate student in architecture, Charles Morse Stotz, the psychology professor Harry Potter Weld, and other co-conspirators, was able to pull off an academic hoax at the Cornell Women’s Cosmopolitan Club on December 3, 1921. News of the hoax was said to have even reached the ears of Professor Sigmund Freud of Vienna for his comment. The faux lecture with its slides (!) “The Freudian Theory with Later Developments” held by Professor Herman Vosberg, as performed by Charles M. Stotz has been transcribed and posted earlier:

The subject of this post, Dexter Merriam Keezer, was there and wrote about the event in his autobiography:

I expected the Cornell student newspaper, the Cornell Sun, would have a field day with the story but it printed nothing. And neither did any other local paper. So I wrote a story of Vosberg’s (and Mrs. Farrand’s) triumph and sent it to the New York World, where it ran as a column on the first page and on into the inner pages of the paper. The story was also picked up by some newspapers overseas. No one ever asked me if I wrote it and I never had occasion to tell anybody. I simply enjoyed the experience.

Source: Along an Entertaining Way: The Autobiography of Dexter M. Keezer, 1895-1991 (Kindle edition). 2019.

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The purpose of this post is to share more information about this Brookings economics Ph.D. alumnus (1925). Keezer recounted his experience as a graduate student at Brookings with an anecdote illustrating the administration of a Ph.D. reading exam in German thrown in to illustrate graduate student life as it was lived. The extract from Keezer’s autobiography is followed by a timeline of his life and career.

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Keezer on the Brookings Graduate School and his German reading exam

I soon found that the Brookings Graduate School had many interesting and admirable attributes, not least of which was what I understood to have been the primary purpose of Robert S. Brookings, for whom the school was named, in making it possible.

As chairman of the national board in charge of regulating prices during World War I, Brookings had been appalled by the low quality of advice available to the board from practitioners in economics and the other social sciences. So he decided to devote much of the fortune he had made as an eminently successful industrialist in St. Louis to helping supply the federal government with more competent social scientists and social science research. By 1916 he established in Washington the Institute for Government Research, the pioneer in national public policy research. It was followed in 1922 by the establishment of the Institute of Economics to concentrate on economic problems. And in 1924 the Brookings Graduate School was launched to increase the supply of those possessed of an appetite for public service and equipped with first-rate education in economics and political science to exercise it. Started as a part of Washington University in St. Louis, the school was subsequently transferred to Washington, where it was expected most of its graduates would have their careers.

When I got to the school it was in what was to prove a death struggle against being merged with the other Brookings creations and having its granting of graduate degrees discontinued. I promptly became involved in this struggle and became an ardent advocate of the school in its fight for existence, a very robust struggle. Harold Moulton, the head of the Institute of Economics, the leader of those who favored closing the school, concluded that while I was intense in my opposition to him I was fair-minded about it. This conclusion was subsequently to be a decisive factor in a major turning point in my working life.

One reason for not continuing the graduate school, it was reported, was that Robert Brookings, its principal financial benefactor, was disappointed that most of those who had studied at the school did not hurry to take government jobs but found more satisfying employment outside of its orbit. The irony of this, if true, is that when the country fell apart economically in 1929 and the Great Depression descended, those who had studied at the Brookings Graduate School flocked into the government and often secured posts.

The conflict over continuing the graduate school was, as is generally true of conflicts in higher education, conducted in terms of high principle. But it could have been, as I have found generally to be the case in such conflicts, that a clash of personalities was close to the root of it. Harold Moulton, the head of the Institute of Economics, and Walton Hamilton, the head of the school, had been the closest of friends and colleagues, but they came to have an intense disregard for each other and the institute-graduate school conflict intensified accordingly. One reason for my partisanship for the graduate school was that Hamilton was a great teacher of economics, a fact to which I have made reference elsewhere. One entry in my little daybook reads, “Prof. Hamilton is about the best teacher I have ever known. He even made a seminar in ‘research technique’ quite exciting today.”

…To get back to what I found notable characteristics of the Brookings Graduate School, one was its physical setting. On Northwest I Street a few blocks from the White House, a fine old townhouse provided spacious and inviting parlors, an attractive dining room, enough class room for the student body of about 35 and living quarters for part of them. It was an establishment which eased the rigors of graduate study by permitting and indeed encouraging some gracious living, an encouragement also given by the generous financial provision made by their fellowships.

The resident faculty was supplemented by visiting members who stayed for extended periods and by leading academicians from institutions around the country who paid briefer visits. The eminent British economist John A. Hobson came over from England for a semester while I was at the school. And great authorities in their fields such as Thomas Read Powell of Columbia, in constitutional law, and William E. Dodd of the University of Chicago, in history, joined the faculty more briefly. In the Washington governmental establishment and in the parade of business and industrial leaders descending on the capitol, the school had ready access to experts in almost everything and used it freely to provide a remarkably well stocked body of teachers.

My zest for the intensive course I had set for myself as a social scientist, with emphasis on the scientist, flagged a bit occasionally. Once after hearing one of his lectures had prompted me to read William E. Dodd’s “The Cotton Kingdom” I remarked in my little day book that “it seemed almost too interesting to be sound history, so great has been the influence of ‘science’ on my mind.” And after reading Bernard Shaw’s “Saint Joan” I noted in the little book that it was a “delightful relief from the dull discussions of economic problems. One who could long remain an economist and not become a boor would scintillate in any other field. Such are my reactions to the Brookings School today.” That was an off day, however. Most of the time I found what I was doing as a graduate student and otherwise interesting and enjoyable. And I made enough academic headway so that about a year after I arrived I was awarded a Ph.D. degree.

Mine was one of relatively few degrees that were awarded. The school was absorbed by the Brookings Institution two years later and its teaching and degree-granting operations were discontinued. Among the reasons given for this course was that, although he had endowed it generally, Robert Brookings was afraid that not enough money could be provided to be sure of continuing to be able to pay the imposing bills of a top-flight graduate school in economics and government. In getting money to finance research in these fields the consolidated Brookings Institution has had brilliant success and has carried out a large and influential program. One is permitted the suspicion, however, that it might have been a more vibrant enterprise if it had been able to continue the school.

The school’s student body while I was there included an international group of about 35 young men and women who, as they pursued their studies, continued to embrace about as many brands of political and economic philosophy – liberal, hardcore conservative, socialist, fellow traveler – as their number. Having them not only work together in the class and study halls but live together around the clock produced an often-seething amalgam calculated to invigorate any institution engaged in social science research. The inviting armchairs in the Brookings School’s parlors, part of its notable equipment, were occasionally used for slumber. But more often they were occupied deep into the night as flaming argument raged about the true gospel in the social sciences, a guaranteed tonic for those dedicated to finding out what the true gospel really is.

On my way to the degree I was required to demonstrate competence in reading the German language. I had somehow managed to get by in demonstrating such a competence at Cornell and a repeat performance was not a joyful prospect. In succeeding in meeting it, however, I had the sort of good luck which somehow accumulated when things are going well. I decided to give myself a tough training course for my German reading ordeal. I was told that an Austrian economist named [Eugen von] Böhm-Bawerk wrote remarkably refractory German so I decided to make one of his books my training field. I had only one small section of the book more or less mastered when the time for my examination arrived. It was given by Edwin Nourse who was subsequently to become distinguished as the first chairman of the newly created federal Council of Economic Advisors. Poking around for a book in his library on which to test my mastery of German, Nourse hit not only on the book by [Eugen von] Böhm-Bawerk on which I had been practicing but on one of the very passages with which I had struggled. I sailed right through the passage to certification that I had the German language very well under control. I was left with the suspicion that Edwin Nourse may have had knowledge in advance which enabled him to give me an especially merciful examination – a suspicion that was nourished by the feeling that he was much too kindly a gentleman to set me with wrestling with [Eugen von] Böhm-Bawerk with no previous exposure to his cruelly convoluted German. But I never tested my good luck to the extent of checking on my suspicion.

Source: Along an Entertaining Way: The Autobiography of Dexter M. Keezer, 1895-1991 (Kindle edition), 2019.

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The Life of
Dexter Merriam Keezer

1895. Born August 24 in Acton, Massachusetts.

1917-19. Service in the U.S. Army in World War I.

1919. Attended lectures at the Sorbonne.

1920. A.B. Amherst.

1920-21. Reporter at The Denver Times.

1922-23. Instructor in economics at Cornell University.

1923. A.M. Cornell.

1923-24. Assistant professor of economics at the University of Colorado.

1925. Ph.D. Brookings Graduate School of Economics and Government.

1926-27. Associate professor of economics at the University of North Carolina.

1927. Married Anne Mellett, June 22.

1927-28. Reporter at the Washington Bureau of Scripps-Howard newspapers.

1928-29. Visiting lecturer in citizenship at Dartmouth College.

1929-33. Associate editor of The Baltimore Sun.

1933-34. Executive director of the Consumer Advisory Board of the National Recovery Administration.

1934-42. President of Reed College.

1938. Bernard Moses Memorial Lecture held November 4 at the University of California, Berkeley. “The Problem of Controversial Issues in the Teaching of the Social Sciences.”

1938. LL.D. Amherst College.

1940. LL.D. Mills College.

1941. Chairman of a Commission set up by National Defense Mediation Board to study dispute between the Employers Negotiating Committee of Puget Sound lumber industry and the International Woodworkers of America.

Supplement to the Interdepartmental Report on the Douglas Fir Lumber Industry (November 1941).

1942-43. Deputy Administrator, Office of Price Administration.

Keezer, probably in his OPA office. From the Library of Congress, https://lccn.loc.gov/2017692864

1943. Economic advisor, U.S. Mission for Economic Affairs, London, England.

1944-45. Public member of the War Labor Board.

1945-1960. McGraw-Hill where he became director of the department of economics. His department developed annual surveys of capital spending and of research and development expenditures.
Vice-president, 1953-1960.

1955. L.H.D. Clarkson College of Technology.

1957. LL.D. Macalester College.

1959. LL.D. Elmira College. LL.D. Miami (Ohio) University.

1960-71. Economic adviser for McGraw-Hill.

1963-70. Trustee Elmira College.

1968-70. President of the Truro, Mass. Civic Association. In the mid-1970’s he campaigned against nude bathing at Brush Hollow Beach (Cape Cod).

1972-75. President of the Board of Directors of the Association for Improving Medical Resources of Outer Cape Cod

1991. Died of congestive heart failure on June 24 at the Orleans Nursing and Convalescent Center in Orleans, Massachusetts.

Selected Publications:

Problem Economics. With Addison Thayer Cutler and Frank Richardson Garfield. New York and London: Harper & Brothers, 1928.

The Public Control of Business. With Stacy May). Harper & Brothers, 1930.

The Light that Flickers: A View of College Education which Contrasts Promise and Performance and Suggests Improvements. New York: Harper & Brothers, 1947.

Making Capitalism Work. With members of the Department of Economics of the McGraw-Hill Publishing Company. New York: McGraw-Hill, 1950.

Editor and wrote the Introductory chapter to Financing Higher Education, 1960-70. The McGraw-Hill Book Company 50th Anniversary Study of the Economics of Higher Education in the United States. New York: McGraw-Hill Book Company, 1959.

New Forces in American Business, New York: McGraw-Hill, 1959.

Are We Slaves of Some Defunct Economist. Claremont Graduate School and University Center, 1963

Editor. The Performing Arts—Problems and Prospects, 1965.

A Unique Contribution to International Relations: The Story of Wilton Park, 1973.

Sources: 

Who’s Who in America. Chicago: A.N. Marquis, 1962, p. 1652. Who’s Who in America, Vol. XX, 1976, p. 1679.
Obituary in The New York Times, 25 June 1991, p. D24.

Image Source: Amherst College, The Olio 1917, p. 221..

Categories
History of Economics Princeton Suggested Reading

Princeton. Introductory lecture notes for history of economics. Baumol, 1979

With this post Economics in the Rear-view Mirror proudly adds the 1900th artifact to its collection of curated transcriptions of archival material.

I have chosen to post William J. Baumol’s lecture notes for his introductory lecture in his Princeton course on the history of economic thought because Economics in the Rear-view Mirror is, after all, in the same business of examining the evolution of economics. Baumol’s notes were typed using ALL UPPER-CASE letters which I have taken the liberty to tone down to a conventional mixture of upper- and lower-case letters for ease of reading. Also I have added boldface and italics, and paragraph formats have been tweaked for the same purpose. Links to the literature cited add a little jazz to the presentation of today’s artifact. Square brackets indicate material I have inserted.

Executive summary: Baumol began his course with warnings of five dangers to be avoided by prospective historians of economics.

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Previously posted course material
on the history of economics
taught by Wm. J. Baumol

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Revised February 1979

INTRODUCTION

      1. One Question Exam
      2. Choice of Papers
      3. When Due
      4. Will Concentrate on Smith, Ricardo, Marx

General References: J. Schumpeter, History of Economic Analysis, (Oxford, 1954); Mark Blaug, Economic Theory in Retrospect (Irwin, Homewood, 2nd ed., 1968).

Dangers in Doctrinal History

Favoritism: Schumpeter: Walras Sí, Ricardo No!

Reading into predecessors’ minds:

Example — Isnard 1781 (vs. Canard, 1801)

[Achille Nicolas Isnard. Traité des richesses. Tome I; Tome II; Tome III. London and Lausanne:  François Grasset, 1781]

[Nicolas François Canard. Principes d’économie politique. Paris: F. Buisson, 1801]

“Canard’s performance… is sometimes listed among early contributions to mathematical economics (on the strength of a few algebraic formulae that mean nothing) but would otherwise partake of the blessings of deserved oblivion, had not a misfortune befallen it. This misfortune consisted in its being ‘crowned’ by the same French Academy that later failed to extend any recognition to Cournot and Walras. And those Olympians who felt their neglect the more bitterly on account of the honour done to Canard visited him with a scathing contempt that bestowed upon him an unenviable immortality…”

([Precursors in Mathematical Economics, eds. William J. Baumol and Stephen M. Goldfeld, 1968], 155, quoted from Schumpeter, p. 499 [also cf. Schumpeter, p. 217])

“..we cannot help feeling that Schumpeter and Theocharis are somewhat over-enthusiastic. Schumpeter describes the following passages as ‘the crowning achievement of the epoch in this line [supply-demand] of analysis… in his not otherwise remarkable book…’ (p. 307); and Theocharis calls it ‘… one of the most important contributions in the history of the development of mathematical economics…. [He] conceived the idea of a general equilibrium and its determination.’” ([Reghinos D. Theocharis, Early Developments in Mathematical Economics, 1961] pp. 66-68)

Excerpts from Traité des Richesses
by A.N. Isnard
First Section
On the relationship of commodities in general
[Original]

“Here we will consider the direct exchange of commodities in general against other commodities at the same location, in order to investigate their values in terms of one another in the absence of any intermediary monies….

It is easy to see what will transpire in an exchange between two isolated proprietors of two commodities, for which the desire for the exchangeable surplus (superflue) of the one is equivalent to the desire for the surplus of the other. If one supposes, for example, that the surplus of the first is a quantity, a, of some commodity measured in (value) units, M, and that that of the second is a quantity b of some other item measured in units M’, if these are the only available goods, they cannot be exchanged for one another unless the quantity a of units M is equivalent to the quantity b of units M’—  thus we have the equation aM = bM’, and, consequently, M:M’,::(1/a):(1/b). The value of each unit is thus in inverse ratio to the quantity of the item which is offered for exchange.

If, instead of two items, one assumes that three or more commodities are traded, the same situation holds for the general value of the commodities. Each unit of a particular item will be equal in value to the sum of the supplies of units [of the item being evaluated], or, what amounts to the same thing, the values of the commodities are in direct proportion to the sum of the quantities [of other items] supplied and in inverse proportion to the number of [their] units. But since the quantities supplied consist of many heterogeneous commodities, it is not possible to deduce the exchange ratio of any two particular items from the equation which has just been discussed. To obtain the exchange rates of commodities taken two by two, it is necessary to formulate as many equations as there are commodities.”

Blowing small passages out of proportion —  authors probably would not have understood today’s interpretation.

Robertson: periodic requests by Pigou to explain “Pigou effect”.

Inconsistencies in predecessors: which passage in an author’s text should one interpret as “his view”?

“Early writers — Ricardo is a notorious case — say things and their opposites. Thus Galileo wrote that a freely falling object has (A) a velocity proportional to its distance fallen, and (B) a squared velocity proportional to its distance fallen. (A) is a mistake, (B) is right. After many years, Galileo went from (A) to (B). You would be just to criticize me if I kept attributing to Galileo (A): you could properly write to me ‘surely…” If Ricardo’s procedure were like Galileo’s, I’d concede all. But it isn’t. He went back and forth saying ‘Swans are white,’ ‘Swans are black.’ There is no progression in his view on the relation of short-run wage to long-run subsistence. It is bootless for us to vie in matching Ricardo’s quotation on swans’ color, the winner to be the one with the most passages on his side. I refuse to play that game, and I doubt that you care for such procedures. Perhaps we can both agree (?) on Stigler’s summary (JPE, 1952, 60, around footnote 37): ‘…The indefinitely prolonged excess [noted by Ricardo] of the market over the natural [“subsistence”] wage…must simply be recorded as correct views which Ricardo did not know how to incorporate in his theoretical system.’”

(Letter to Baumol from Paul Samuelson, June 17, 1977).

Carelessness: failure to read what author said.

Example: Marx interpreted to mean value = price.

Example: utility of money (Patinkin, “Relative Prices, Say’s Law, and the Demand for Money,” Econometrica 16 [April 1948], p. 140). Surely Patinkin is not justified in citing Walras as one of those to whom money has no utility. His only reference (indeed his only “damning” reference to Walras) is to the statement, “Soit (U) la monnaie que nous considérerons d’abord comme un objet sans utilité propre...” (Éléments, p. 303) This is hardly conclusive and it may well be meant to indicate no more than the author’s intention at that point to deal only with monies like paper rather than, for example, gold. In any case, it includes the phrase “d’abord” (to begin with). Indeed it would be most strange for one who has been hailed as a mighty protagonist of the cash balance approach, to find Walras denying utility to cash. But we have better evidence that this. In his Théorie de la Monnaie he makes it abundantly clear that he is most pleased that the theory of money provides such a fine and important application of the theory of marginal utility and more than once he speaks of the rareté of money after having pointed out that this is the term he had appropriated from his father to designate marginal utility.

Pareto is another of the five “classics” (Walras, Pareto, Wicksell, Cassel and Divisia) whose work is specifically cited by Patinkin as an example of the mishandling of monetary theory. As with Walras, Patinkin provides us with only one specific reference to prove that in the Paretian system money has no utility. But the choice of passage is here even more strange. The only reference to money on the page cited is the following: “la monnaie étant une marchandise doit avoir pour quelques individus une ophélimité propre; mais elle peut ne pas en avoir pout d’autres”. (Manuel, p. 593) Surely this is the contradictory of Patinkin’s allegation! Indeed, Pareto goes further — in effect reprimanding those others (?) who maintain that money has no utility: “La monnaie remplit deux rôles principaux: 1° elle facilite l’échange des marchandises; 2° elle garantit cet échange…C’est parce qu’on n’a pris parfois en considération que son premier rôle qu’n n’a vu dans la monnaie qu’un simple signe sans valeur intrinsèque.” (Manuel, p. 451)

Overall comments

  • Many but not all of predecessors wise men.
  • Understood surprisingly much of what we understand today.
  • But also missed a great deal.
  • Would be sad indeed if it were all contained in earlier work!
  • Do we have much to learn from them? — That you will have to judge for yourselves.
Author Year of Birth First Important Work
on the Theory of Value
Year of Publication Age
Smith 1723 Wealth of Nations [Vol. I; Vol. II] 1776 53
Malthus 1766 Essay on the Principle of Population 1798 32
Ricardo 1772 Principles of Political Economy, and Taxation 1817 45
Cournot 1801 Recherches sur les Principes mathématiques de la Théorie des Richesses 1838 37
Dupuit 1804 De la mesure de l’utilité des travaux publics 1844 40
Mill, J. S. 1806 Principles of Political Economy [Vol. I; Vol. II] 1848 42
Von Thünen 1783 Der Isolierte Staat, Vol. II 1850 67
Gossen 1810 Entwickelung der Gesetze des menschlichen Verkehrs 1854 44
Marx 1818 Das Kapital 1867 49
Jevons 1835 Theory of Political Economy 1871 36
Menger 1840 Grundsätze der Volkswirthschaftslehre 1871 31
Walras 1834 Éleménts d’Économie Politique Pure 1874 40
Böhm-Bawerk 1851 Grundzüge der Theorie des Wirtschaftlichen Güterverkehrs [Part I; Part II] 1886 35
Von Wieser 1851 Der Natürliche Wert 1889 38
Marshall 1842 Principles of Economics 1890 48
Fisher 1867 Mathematical Investigations in the Theory of Value and Prices 1892 25
Wicksell 1851 Über Wert, Kapital und Rente 1893 42
Wicksteed 1844 The Co-ordination of the Laws of Distribution 1894 50
Pareto 1848 Cours d’Économie Politique, [Volume I; Volume II] 1896/97 58
Barone 1859 Studi Sulla Distribuzione
[Part I; Part II]
1896 37
Clark 1847 The Distribution of Wealth 1899 52
Keynes 1883 General Theory 1936 53

Source: Duke University. David M. Rubenstein Rare Book & Manuscript Library. Economists’ Papers Archive. William J. Baumol Papers, Box 20, Folder “History of Economic Thought (1979-1988) One of Two”.

Image Source:  Cropped from portrait of William J. Baumol in 1981 published in his obituary published in The New York Times, May 10, 2017.

Categories
Exam Questions Harvard Theory

Harvard. Graduate Economic Theory Exam. November 1961

Edward Chamberlin was a member of the graduate examination committee of the Harvard economics department in the early 1960s and in his files I have found copies of theory exams from 1961, 1962, and 1963 along with a few memos that  circulated among members of the committee that together provide a description of the procedures used for grading.

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Harvard Written Exams
in Economic Theory
Posted Earlier

April 14, 1960
November 3, 1960
April 11, 1961
April 10, 1962
November 13, 1962
April 8, 1963

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HARVARD UNIVERSITY
Department of Economics

Written Examination in Economic Theory
November 7, 1961

Answer six questions; all questions have equal weight.

  1. Describe and discuss Ricardo’s theory of economic growth; and discuss its relevance if any to problems now confronting ‘underdeveloped’ countries or economies.
  2. What are the chief differences in the conclusions reached by analyzing an area of the economy (say, an “industry”) under the assumptions of (a) pure competition, on the one hand, and (b) monopolistic competition on the other. Elaborate the explanation of one of the differences mentioned.
  3. To what extent may the concept of economic rent be generalized beyond its original application to land? Discuss fully, making clear what you mean by “rent” in each case.
  4. Identify and illustrate the main kinds of uncertainty that arise in economic decisions. Can problems of choice involving uncertainty be analyzed in terms of ordinal utility?
  5. Give an economic appraisal of the effects of “indivisibility” on the results of competitive resource allocation.
  6. Set up an example of a simple static general equilibrium system with three goods and two factors of production, for example, land and labor.
  7. How can technological change cause unemployment? What market forces tend to eliminate the unemployment? What factors may impede the operation of these forces?
  8. What is the theoretical justification of the “competitive ideal”? How is the validity of the argument that competition produces ideal results affected by recognition of the phenomenon of product differentiation?
  9. Describe the von Neumann Model of an expanding economy, and the principal results yielded by the model. Discuss the relevance of these results to real economic systems.
  10. Outline and criticize the theory of economic growth, of one of the following authors: Solow, Joan Robinson, Kaldor, Tobin.

Source: Duke University. Economists’ Papers Archive. David M. Rubenstein Rare Book & Manuscript Library. Edward H. Chamberlin Papers, Box 17, Folder “Economics Department 1960-62”.

Image Source: Harvard Square, 1961. From the Cambridge Historical Commission, image in the Photo Morgue Collection. Online: Digital Commonwealth.

Categories
Exam Questions Harvard M.I.T. Money and Banking

Harvard. Course description, enrollment, final exam for Money course. Davis Rich Dewey, 1909-10

Davis Rich Dewey was a visiting lecturer in economics at Harvard in 1909-10 from M.I.T. who taught the Money course. His assistant was a recent Harvard graduate who continued on to become a lawyer who practiced law, among other things, in Maine.

Description, enrollment and final examination for Dewey’s money course are posted below.

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Teaching Assistant
George Randolph Grua

1883. Born 6 November 1883 in Green Valley, South Dakota.
1909. A.B. Harvard.
1912. LL.B. Harvard.
1913-76. Among his activities in Livermore Falls, Maine: lawyer; insurance salesman; operated an apple orchard and apiary.
1939, 1941, 1943. Representative to the Maine Legislature.
1953. Appointed Judge at the Livermore Falls Municipal Court.
1976. Died 22 July in Livermore Falls, Maine.

Source: Obituary in The Lewiston Daily Sun, July 23, 1976. Also “Who’s Who: George R. Grua, Attorney” in The Lewiston Daily Sun, June 25, 1953.

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Previous course materials for
Money and Banking 

1900-01(Meyer and Sprague)
1901-02 (Andrew, Sprague, Meyer)
1902-03 (Andrew’s money examSprague’s banking exam)
1903-04 (Andrew and Sprague)
1904-05 (Andrew’s money examSprague’s banking exam)
1905-06 (Andrew’s money and banking exams)
1906-07 (Andrew’s money and banking exams)
1907-08 (Andrew’s money and banking exams)
1908-09 (Wesley Clair Mitchell’s money and banking exams)

________________________

Course Description
1909-10

8a 1hf. Money. — A general survey of currency legislation, experience, and theory in recent times. Half-course (first half-year). Tu., Th., and (at the pleasure of the instructor) Sat., at 9. Professor [Davis Rich] Dewey (Massachusetts Institute of Technology), assisted by Mr. [George Randolph] Grua.

The course begins with a brief history of the precious metals, which is connected, in so far as possible, with the history of prices and the development of monetary theory. The evolution of currency legislation in England and Europe and the United States is traced, involving a consideration of various aspects of the bimetallic controversy, and a study of the experiences of several countries with paper money. Attention is also given to the non-monetary means of payment and the questions of monetary theory arising from their use. Among other subjects treated are the several methods of measuring exchange value, the explanation of price movements, the relations between prices and the rate of interest, the effects of appreciation and depreciation, the criteria of an ideal standard, and the reasons for divergences in the value of money as between different countries.

Course 8a is open to those only who have taken Course 1.

Source: Official Register of Harvard University, Vol. VI, No. 29 (23 July 1909). History and Political Science Comprising the Departments of History and Government, and Economics, 1909-10, pp. 57-58.

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Course Enrollment
1909-10

Economics 8a 1hf. Professor [Davis Rich] Dewey (Massachusetts Institute of Technology) assisted by Mr. [George Randolph] Grua. — Money. A general survey of currency legislation, experience, and theory in recent times.

Total 56: 4 Graduates, 15 Seniors, 29 Juniors, 4 Sophomores, 1 Freshman, 3 Others.

Source: Harvard University. Report of the President of Harvard College, 1909-1910, p. 44.

  ________________________

ECONOMICS 8a
Mid-year Examination, 1909-10

  1. State the various functions of money. Mention the different kinds of money in the monetary system of the United States, and describe the special functions performed by each kind.
  2. Describe the characteristics of inconvertible paper money. How are prices affected by its issue? Is such money ever worth its face value?
  3. Summarize the history of the debasement of the coinage in England, noting in particular:—
    1. The ways in which it was debased.
    2. Reasons for debasement.
    3. Recoinage of William III.
  4. Does an increased production of gold have any effect upon the rate of interest? Discuss.
  5. Explain the statement: The quantity theory is simply an application of the general principle that value is determined by demand and supply.
  6. Discuss the changes in prices due to causes connected with
    1. Commodities.
    2. Money.
  7. What influences affected the value of greenbacks during the Civil War period?
  8. Contrast the motives for the issue of government notes and of bank notes.
  9. Sketch the history of bimetallism in the United States.
  10. What was the Latin Union? State the results of its operation.

Source: Harvard University Archives. Harvard University, Examination Papers, 1873-1915. Box 9, Bound vol. Examination Papers 1910-11; Papers Set for Final Examinations in History, Government, Economics,…,Music in Harvard College (June, 1910), p. 44.

Image Source: Portrait of Professor of Economics and Statistics Davis R. Dewey in M.I.T. Technique 1910, published April 1909, p. 14.

Categories
Economists Exam Questions Harvard Public Finance

Harvard. Public Finance. Course description, enrollment, final exam. Huse, 1909-1910

The recent Harvard economics Ph.D. alumnus (1907), Charles Phillips Huse, substituted for his thesis advisor, Charles Jesse Bullock, to teach the course on public finance in 1909-10 that was focussed on the theory and methods of taxation. We begin with Huse’s major life and career dates and follow that timeline with links to material from nearly a decade of courses on public finance taught at Harvard at the start of the 20th century. 

The new transcribed content of this post includes a course description, enrollment figures and the final examination questions.

P.S. Two impressions that he left on his students and included in the Boston University yearbooks of 1924 and 1927 have been appended to the timeline. Note the hint given to future cohorts of students: “…[Huse’s] unchanging method nets a return of old quiz questions yearly rejuvenated on each anniversary of their first propounding” 

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Charles Phillips Huse
Timeline

1883. Born March 3 in Worcester, MA. Attended Springfield High School. Springfield, MA.

1904. A.B. Harvard.

1905. A.M. Harvard.

1907. Ph.D. Harvard. Thesis: The Financial History of Boston from 1822 to 1859.

1908-09. Instructor in Economics, Dartmouth College.

1909-11. Instructor in Economics at Harvard.

1911-14. Assistant Professor of Economics, University of Missouri.

1914-20. Assistant Professor of Economics, Boston University.

1920-53. Professor of Economics, Boston University.

1958. Died July 13 in Belmont, MA.

*  *  *  *  *  *  *  *  *  *  *

Professor Huse economizes on our nerves as he never did on ice cream or time. His peculiar humor relieves a mental struggle with Gresham’s Law, and his unchanging method nets a return of old quiz questions yearly rejuvenated on each anniversary of their first propounding. This holds true in the long run. That will be all for this time.

Source: Boston University Yearbook, The Hub 1924, p. 32.

One of the greatest and most worth while experiences in Dr. Huse’s life came in 1910 when he went to Washington to aid the National Monetary Commission. His task was to read the volumes written by the Commission and, as each volume was published, to prepare press statements for the newspapers. Partly as a result of the work of this Commission, the Federal Reserve Act was passed. While he was in Washington he had the opportunity of seeing the public buildings and of taking trips into the surrounding country to places of interest.

Source: Boston University Yearbook, The Hub 1927, p. 18.

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Some earlier public finance exams
at Harvard

1901-02. Economics 7a and 7b. Financial administration; taxation [undergraduate] taught by Charles Jesse Bullock

1902-03. Economics 7b. Theory and methods of taxation [undergraduate] taught by Edward Dana Durand.

1902-03. Economics 16. Financial History of the United States taught by Prof Henry Brayton Gardner of Brown University.

1903-04. Economics 16.  Financial history of the United States taught by Charles Jesse Bullock

1904-05. Economics 7a. Introduction to public finance [undergraduate] taught by Charles Jesse Bullock

1904-05. Economics 7b. Theory and methods of taxation [undergraduate] taught by Charles Jesse Bullock

1904-05. Economics 16. Financial history of the United States taught by Charles Jesse Bullock

1905-06. Economics 7.  Public finance [undergraduate] taught by Charles Jesse Bullock

1905-06. Economics 16. Public finance [advanced] taught by Charles Jesse Bullock

1906-07. Economics 16. Public finance and taxation taught by Charles Jesse Bullock

1907-08. Economics 16. Public finance and taxation taught by Charles Jesse Bullock

1908-09. Economics 7. Public finance [undergraduate] taught by Charles Jesse Bullock

1908-09. Economics 16. Public finance [advanced course] taught by Charles Jesse Bullock

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Readings in public finance
used at Harvard

From 1906: Selected Readings in Public Finance edited by Charles Jesse Bullock (Boston: Inn & Company).

From 1910: Short bibliography on public finance “for serious minded students” by Bullock

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Course Description
1909-10

7 2hf. Public Finance, considered with special reference to the Theory and Methods of Taxation. Half-course (second half-year). Mon., Wed., Fri., at 10. Dr. Huse and an assistant.

This course is for undergraduates exclusively, and cannot be elected by graduates. As stated in the title, much attention is given to the subject of taxation, which will occupy about one half of the time of the course and will be studied with special reference to federal, state, and local taxation in the United States. The remainder of the time will be given to such topics as governmental expenditures, governmental industries (including some study of the relation of the state to railways and other public-service industries), public debts, and financial administration.

The course may, with the consent of the instructor, be elected by students who are taking Economies 1 in the same year.

Source: Official Register of Harvard University, Vol. VI, No. 29 (23 July 1909). History and Political Science Comprising the Departments of History and Government, and Economics, 1909-10, p. 52.

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Course Enrollment
1909-10

Economics 7 2hf. Dr. Huse. — Public Finance considered with special reference to the Theory and Methods of Taxation.

Total 124: 1 Graduate, 28 Seniors, 37 Juniors, 33 Sophomores, 9 Freshmen, 16 Others.

Source: Harvard University. Report of the President of Harvard College, 1909-1910, p. 44.

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ECONOMICS 7
Year-end Examination, 1909-10

  1. What has been the public land policy of the United States? Do you favor the retention of any part of the public lands? Give your reasons.
  2. Explain the two distinct grounds on which progression has been advocated, giving your opinion of each.
  3. Discuss the incidence of a tax on the net profits of a monopoly; on a good produced under competitive conditions; on real estate.
  4. Compare the British and Prussian income taxes, as to the method of assessment and the rate.
  5. What has been the experience of the United States with income taxes? Are you in favor of a federal income tax? If so, why? If not, why not?
  6. You are a resident of Boston. Your property consists of real estate worth $50,000, which is mortgaged for $10,000, and personal property amounting to $900,000, made up of the following items: shares in New Jersey corporations, $500,000; shares in Massachusetts corporations, $200,000; bonds of Massachusetts corporations, $200,000.
    1. Send the assessors a true declaration of your taxable property.
    2. Forget to send it. Tell what items are likely to be assessed and at what figures, giving your reasons in every case.
Capital

$100,000

Real Estate

$50,000

Debt

$100,000

Machinery

$50,000

Merchandise

$100,000

$200,000

$200,000

You are a partner in this Massachusetts company. How is it taxed as a partnership? How would it be taxed as a Massachusetts corporation, assuming the market value of its stock to be $125,000? Would you advise incorporation?

  1. A war of long duration will begin in 1915. You are called upon now to reconstruct the federal tax system in preparation for the war and to finance it when it comes. Justify the policy you adopt.

Source: Harvard University Archives. Harvard University, Examination Papers, 1873-1915. Box 9, Bound vol. Examination Papers 1910-11; Papers Set for Final Examinations in History, Government, Economics,…,Music in Harvard College (June, 1910), pp. 43-44.

Image Source: Boston University yearbook, 1927.