James Laurence Laughlin
Encyclopedia
James Laurence Laughlin (April 2, 1850 - November 28, 1933) was an American economist
who helped to found the Federal Reserve System
.
Born in Deerfield, Ohio, Laughlin received his PhD
from Harvard University
. His thesis regarded "Anglo-Saxon
Legal Procedure". A conservative, he generally subscribed to the economic theories of John Stuart Mill
and opposed bimetallism
. He taught in Boston
for five years, at Cornell
for two years, and then became the department-head of the new economics department at the University of Chicago
from 1892 to 1916. Notably, he appointed many economists with whom he avidly disagreed, such as Thorstein Veblen
, to high positions at the university. He was a member of the Indianapolis Monetary Commission, organized in 1897, and prepared its report, one of the important documents in the history of American banking and monetary reform.New International Encyclopedia
In 1906 he lectured, by invitation, in Berlin
, and in 1909 he served as delegate to the Pan-American Scientific Congress at Santiago, Chile
. From 1911 to 1913 he was chairman of the Executive Committee of the National Citizens League for the Promotion of a Sound Banking System. Under his leadership the league promoted banking reform in the United States.
In addition to teaching, he edited the Journal of Political Economy from 1892 to 1933, but refused to become a member of the American Economic Association
because of differences in philosophy. He advised various state and national governments on economic matters, including overhauling the monetary system of Santo Domingo
. He prepared an abridgment of Mill's
Political Economy (1884) and wrote many important books on macroeconomics
and monetary policy
.
Economist
An economist is a professional in the social science discipline of economics. The individual may also study, develop, and apply theories and concepts from economics and write about economic policy...
who helped to found the Federal Reserve System
Federal Reserve System
The Federal Reserve System is the central banking system of the United States. It was created on December 23, 1913 with the enactment of the Federal Reserve Act, largely in response to a series of financial panics, particularly a severe panic in 1907...
.
Born in Deerfield, Ohio, Laughlin received his PhD
Doctor of Philosophy
Doctor of Philosophy, abbreviated as Ph.D., PhD, D.Phil., or DPhil , in English-speaking countries, is a postgraduate academic degree awarded by universities...
from Harvard University
Harvard University
Harvard University is a private Ivy League university located in Cambridge, Massachusetts, United States, established in 1636 by the Massachusetts legislature. Harvard is the oldest institution of higher learning in the United States and the first corporation chartered in the country...
. His thesis regarded "Anglo-Saxon
Anglo-Saxons
Anglo-Saxon is a term used by historians to designate the Germanic tribes who invaded and settled the south and east of Great Britain beginning in the early 5th century AD, and the period from their creation of the English nation to the Norman conquest. The Anglo-Saxon Era denotes the period of...
Legal Procedure". A conservative, he generally subscribed to the economic theories of John Stuart Mill
John Stuart Mill
John Stuart Mill was a British philosopher, economist and civil servant. An influential contributor to social theory, political theory, and political economy, his conception of liberty justified the freedom of the individual in opposition to unlimited state control. He was a proponent of...
and opposed bimetallism
Bimetallism
In economics, bimetallism is a monetary standard in which the value of the monetary unit is defined as equivalent both to a certain quantity of gold and to a certain quantity of silver; such a system establishes a fixed rate of exchange between the two metals...
. He taught in Boston
Boston
Boston is the capital of and largest city in Massachusetts, and is one of the oldest cities in the United States. The largest city in New England, Boston is regarded as the unofficial "Capital of New England" for its economic and cultural impact on the entire New England region. The city proper had...
for five years, at Cornell
Cornell University
Cornell University is an Ivy League university located in Ithaca, New York, United States. It is a private land-grant university, receiving annual funding from the State of New York for certain educational missions...
for two years, and then became the department-head of the new economics department at the University of Chicago
University of Chicago
The University of Chicago is a private research university in Chicago, Illinois, USA. It was founded by the American Baptist Education Society with a donation from oil magnate and philanthropist John D. Rockefeller and incorporated in 1890...
from 1892 to 1916. Notably, he appointed many economists with whom he avidly disagreed, such as Thorstein Veblen
Thorstein Veblen
Thorstein Bunde Veblen, born Torsten Bunde Veblen was an American economist and sociologist, and a leader of the so-called institutional economics movement...
, to high positions at the university. He was a member of the Indianapolis Monetary Commission, organized in 1897, and prepared its report, one of the important documents in the history of American banking and monetary reform.New International Encyclopedia
New International Encyclopedia
The New International Encyclopedia was an American encyclopedia first published in 1902 by Dodd, Mead and Company. It descended from the International Cyclopaedia and was updated in 1906, 1914 and 1926.-History:...
In 1906 he lectured, by invitation, in Berlin
Berlin
Berlin is the capital city of Germany and is one of the 16 states of Germany. With a population of 3.45 million people, Berlin is Germany's largest city. It is the second most populous city proper and the seventh most populous urban area in the European Union...
, and in 1909 he served as delegate to the Pan-American Scientific Congress at Santiago, Chile
Santiago, Chile
Santiago , also known as Santiago de Chile, is the capital and largest city of Chile, and the center of its largest conurbation . It is located in the country's central valley, at an elevation of above mean sea level...
. From 1911 to 1913 he was chairman of the Executive Committee of the National Citizens League for the Promotion of a Sound Banking System. Under his leadership the league promoted banking reform in the United States.
In addition to teaching, he edited the Journal of Political Economy from 1892 to 1933, but refused to become a member of the American Economic Association
American Economic Association
The American Economic Association, or AEA, is a learned society in the field of economics, headquartered in Nashville, Tennessee. It publishes one of the most prestigious academic journals in economics: the American Economic Review...
because of differences in philosophy. He advised various state and national governments on economic matters, including overhauling the monetary system of Santo Domingo
Santo Domingo
Santo Domingo, known officially as Santo Domingo de Guzmán, is the capital and largest city in the Dominican Republic. Its metropolitan population was 2,084,852 in 2003, and estimated at 3,294,385 in 2010. The city is located on the Caribbean Sea, at the mouth of the Ozama River...
. He prepared an abridgment of Mill's
John Stuart Mill
John Stuart Mill was a British philosopher, economist and civil servant. An influential contributor to social theory, political theory, and political economy, his conception of liberty justified the freedom of the individual in opposition to unlimited state control. He was a proponent of...
Political Economy (1884) and wrote many important books on macroeconomics
Macroeconomics
Macroeconomics is a branch of economics dealing with the performance, structure, behavior, and decision-making of the whole economy. This includes a national, regional, or global economy...
and monetary policy
Monetary policy
Monetary policy is the process by which the monetary authority of a country controls the supply of money, often targeting a rate of interest for the purpose of promoting economic growth and stability. The official goals usually include relatively stable prices and low unemployment...
.
Works
- The Study of Political Economy (1885)
- History of BimetallismBimetallismIn economics, bimetallism is a monetary standard in which the value of the monetary unit is defined as equivalent both to a certain quantity of gold and to a certain quantity of silver; such a system establishes a fixed rate of exchange between the two metals...
in the United States (1886) - Elements of Political Economy (1887; revised edition, 1902)
- Facts about Money (1895)
- Principles of Money (1903)
- Reciprocity (1903), with H. P. WillisHenry Parker WillisHenry Parker Willis, Ph. D. was an American financial expert, born at Weymouth, Massachusetts, the son of Universalist minister and suffragist Olympia Brown. He graduated from the University of Chicago with a Ph.D in 1897....
- Lectures on Commerce (1904)
- Industrial America (1906)
- Latter Day Problems (1909)
- Banking Reform (1912)
- Money and Prices (1919)
External links
- Answer to "Coin" Harvey, 1895 - the text of a letter Laughlin wrote