On Albert Hirschman.

Despising teaching as much as he loved writing, Hirschman longed to spend time at the Institute for Advanced Study in Princeton. In 1971, he asked whether he could visit there for the following year. He was indeed invited and the move became permanent. At the institute, Hirschman became keenly interested in the origins of capitalism and embarked on the project that became The Passions and the Interests. In that work, he rejected the nostalgia, current at the time, for a supposedly lost world of republican virtue, free of commercial avarice. He also rejected the suggestion, prominent then and now in the economics profession, that markets simply take human beings as they are, with their inevitable self-interest.

Instead he observed that the early theorists of free markets thought that commerce would transform people, by cooling our passions and making us gentler. In the words of Samuel Ricard in 1704, commercial interactions would encourage citizens “to be honest, to acquire manners, to be prudent and reserved in both talk and action.” At the same time, however, Hirschman worried that efforts to focus people on economic gain could “have the side effect of killing the civic spirit and of thereby opening the door to tyranny.”

There is a lengthy article on Albert Hirschman and Jeremy Adelman’s Worldly Philosopher: The Odyssey of Albert O. Hirschman over at NYRB. [via NYRB]

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