Share via Email Milton Friedman, who has died aged 94was not the most important economist of the post-war era - that title belongs to the brilliant Paul Samuelson - but he was certainly the most controversial. Yet despite his views being championed by so many politicians on the right, it may come as a surprise that Friedman's career as a policymaker largely ended in failure. Given his status as a long-standing hate figure, the assumption by many of the left is that his agenda was cemented into place during the Reagan and Thatcher administrations in the early s, especially Friedman's well-known view that inflation is solely influenced by changes in the money supply. But very few of Friedman's most cherished proposals were ever put in to practice.
He was awarded the Nobel Prize for Economics in Education and career Friedman was one year old when his family moved from Brooklyn, New York, to Rahway, New Jerseywhere he grew up.
While at Rutgers he encountered Arthur Burnsthen a new assistant professor of economics, whom Friedman ultimately regarded as his mentor and most important influence.
Friedman continued his economics studies at the University of Chicago A. In he moved to Washington, D. Two years later Friedman took a job with the National Bureau of Economic Research in New York City so that he could join Simon Kuznets in studies of income and wealth distributionin particular the distribution of professional incomes.
His finding—that barriers to entry maintained by the American Medical Association helped to explain the much higher incomes of physicians relative to other comparable professional groups—was the source of some controversy when it was finally published.
In the early years of World War IIFriedman worked at the Department of the Treasury in the Division of Tax Research and later for the Statistical Research Group at Columbia University, where he was a member of a team that applied statistical analysis to war research.
He also taught for one year each at the Universities of Wisconsin and Minnesota. In he accepted a position in the economics department at the University of Chicagowhich, except for occasional sabbaticals or visiting appointments, would be his academic home for the next 30 years.
He became a full professor inwas named the Paul Snowden Russell Distinguished Service Professor of Economics inand became an emeritus professor in At Chicago Friedman taught courses in price theory and monetary economics, and in he established the Money and Banking Workshop—an important forum for faculty members, graduate students working on dissertations in the field, and occasional outside visitors.
The workshop became renowned for the presentation and critical appraisal of papers in monetary economics. Hayek and dedicated to the study and preservation of free societies. Nixon and Ronald W.
Reagan on economic policyparticipating in various institutes and societies, and writing a regular column from to for Newsweek magazine, in which his articles would alternate with those presenting more liberal views on economic matters, by scholars such as Paul Samuelson and Lester Thurow.
The permanent income hypothesis provided an explanation for some puzzles that had emerged in the empirical data concerning the relationship between the average and marginal propensities to consume.
It also helped to explain why, for example, fiscal policy in the form of a tax increase, if perceived as temporary, might not lead to the intended reductions in consumption; instead, the increased tax might be financed out of savings, leaving consumption levels unchanged. In the s macroeconomics was dominated by scholars who adhered to theories promoted by John Maynard Keynes.
Keynesians believed in using government-sponsored policy to counteract the business cycleand they held that fiscal policy was more effective than monetary policy in neutralizing, for example, the effects of a recession.
He stated his case in his introduction to Studies in the Quantity of Moneya collection of articles that had been contributed by participants in the Money and Banking Workshop.
The multiplier, forming a link between changes in autonomous expenditure and subsequent changes in national income, is a key element in the Keynesian case for effective and predictable fiscal policy.
In Friedman published the first of three books he would coauthor with Anna J. Combining theoretical and empirical analysis with institutional insights, that volume provided an intricately detailed account of the role of money in the U.
In Friedman made another seminal contribution to Keynesian-monetarist debates in his presidential address before the American Economic Association. In it he questioned the validity of another key Keynesian construct, the Phillips curvewhich asserted that a stable trade-off exists between the rate of wage inflation and the unemployment rate.
In any event, it marked the end of the dominance of the Keynesian model in macroeconomics. The consequences of those measures have been intensely debated in numerous studies.
Friedman was widely criticized for apparently lending support to the dictatorship, a charge that he and his supporters regarded as unfair. In he became a member of the Hoover Institution on War, Revolution and Peacea conservative think tank. About the same time, he began work with his wife, Rose, on Free to Choose: A Personal Statementa book extolling the virtues of a free market system that eventually led to a Public Broadcasting Service PBS television series and a set of educational videos of the same title.Milton Friedman, (born July 31, , Brooklyn, New York, U.S.—died November 16, , San Francisco, California), American economist and educator, one of the leading proponents of monetarism in the second half of the 20th century.
Friedman also railed long and hard for school vouchers to be adopted, to little avail, and his libertarian leanings provoked him to call for recreational drugs and prostitution to be legalised. - Milton Friedman Milton Friedman is known as one of the top economists in the world.
He has a Ph. D. from Columbia University, won a Noble Memorial Prize in economics and has also been awarded many honorary degrees by other Universities in the United States. Milton Friedman was a well-known American economist and professor of statistics at the University of Chicago.
He received the Nobel Memorial Prize in Economic Sciences. He has made his mark among other economists and scholars and is best known for his theoretical and empirical research work in consumption analysis, monetary history and Spouse: Rose.
Milton Friedman Milton Friedman is known as one of the top economists in the world. He has a Ph. D.
from Columbia University, won a Noble Memorial Prize in economics and has also been awarded many honorary degrees by other Universities in the United States. Milton Friedman is known now as one of the most influential economists of the 20th century.   Throughout the s and s, Friedman continued to write editorials and appear on television.
He made several visits to Eastern Europe and to China, where he also advised governments.