First published in 1941, The Pure Theory of Capital has long been overlooked. This volume offers a detailed account of the equilibrium relationships between inputs and outputs in a time-filled economy. Hayek’s stated objective was to make capital theory—which had previously been devoted almost entirely to the explanation of interest rates—“useful for the analysis of the monetary phenomena of the real world.” His ambitious goal was nothing less than to develop a capital theory that could be fully integrated into business cycle theory. Hayek’s manifesto of capital theory is now available again for today’s students and economists to discover.
William Leggett (1801–1839) was the intellectual leader of the laissez-faire wing of Jacksonian democracy. His diverse writings applied the principle of equal rights to liberty and property. These editorials maintain a historical and contemporary relevance.