Editing Joseph Schumpeter (section)

===''History of Economic Analysis''===
Schumpeter's scholarship is apparent in his posthumous ''History of Economic Analysis'',<ref>{{cite book|last1=Schumpeter |first1=Joseph |title=History of Economic Analysis |date=1954 |publisher=George Allen and Unwin |location=London}}</ref> Schumpeter thought that the greatest 18th-century economist was [[Anne Robert Jacques Turgot|Turgot]] rather than [[Adam Smith]], and he considered [[Léon Walras]] to be the "greatest of all economists", beside whom other economists' theories were "like inadequate attempts to catch some particular aspects of Walrasian truth".<ref>{{cite web|url= http://www.hetwebsite.org/het/essays/margrev/phases.htm#aftermath |title=Phases of the Marginalist Revolution |publisher=HET |access-date=May 9, 2015|archive-url= https://web.archive.org/web/20130526154627/http://www.hetwebsite.org/het/essays/margrev/phases.htm |archive-date=May 26, 2013}}</ref> Schumpeter criticized [[John Maynard Keynes]] and [[David Ricardo]] for the "Ricardian vice". According to Schumpeter, both Ricardo and Keynes reasoned in terms of abstract models, where they would freeze all but a few variables. Then they could argue that one caused the other in a simple [[monotonic]] fashion. This led to the belief that one could easily deduce policy conclusions directly from a highly abstract theoretical model.

In this book, Joseph Schumpeter recognized the implication of a [[gold standard|gold monetary standard]] compared to a [[fiat currency|fiat monetary standard]]. In ''History of Economic Analysis'', Schumpeter stated the following: "An 'automatic' gold currency is part and parcel of a [[laissez-faire]] and [[free-trade]] economy. It links every nation's money rates and price levels with the money rates and price levels of all the other nations that are 'on gold.' However, gold is extremely sensitive to government expenditure and even to attitudes or policies that do not involve expenditure directly, for example, in foreign policy, certain policies of taxation, and, in general, precisely all those policies that violate the principles of [classical] liberalism. ''This'' is the reason why gold is so unpopular now and also why it was so popular in a [[bourgeois]] era."<ref>{{cite web|first=Richard |last=Timberlake |title=Gold Standards and the Real Bills Doctrine in U.S. Monetary Policy |publisher=Econ Journal Watch |url= http://www.econjournalwatch.org/pdf/TimberlakeIntellectualTyrannyAugust2005.pdf |archive-url = https://web.archive.org/web/20050910125855/http://www.econjournalwatch.org/pdf/TimberlakeIntellectualTyrannyAugust2005.pdf |url-status=live |archive-date=September 10, 2005 |date=August 2005 |access-date=July 23, 2022}}</ref>