Micro Economics
Theories of Consumer Behavior
1 Marginal Utility Analysis Marshall 1890
2 Indifference Curve Theory Hicks and Allen 1934
3 Revealed Preference Theory Samuelson 1938
4 Neumann – Morgenstern Approach Neumann & Morgenstern 1944
5 Friedman – Savage Hypothesis Friedman and Savage 1948
Market
6 Cournot Duopoly Model Cournot 1838
7 Edgeworth Oligopoly Model Edgeworth 1881
8 Bertrand’s Duopoly Model Bertrand 1883
9 Imperfect Competition Joan Robinson 1933
10 Monopolistic Competition Chamberlin 1933
11 Stackelberg’s Duopoly Model Heinrich Von Stackelberg 1934
12 Kinked Demand Curve Paul M Sweezy 1939
13 Game Theory Neumann and Morgenstern 1944
14 Average Cost or Full Cost Pricing • Hall & Hitch
• P W S Andrews
• R Barback 1939
1954
1954
15 Sales Revenue Maximization Baumol 1959
16 Managerial Theory
17 Limit Pricing
• Bain’s
• Sylos – Labini
• Modigliani
1956
1962
1958
Welfare Criterion
18 Vilfredo Pareto Pareto
19 Social Welfare Function Bergson, Samuelson 1938
20 Impossibility Theorem Arrow 1951
21 Theory of Second Best Richard Lipsey and Kelvin Lancaster 1956
22 Coase Theorem Ronald Coase 1959
23 Asymmetric Information George Akerlof, Michael Spence, and Joseph E. Stiglitz
2001
Rent
24 Ricardian Theory of Rent Ricardo 1810
25 Modern Theory of Rent Joan Robinson 1933
26 Quasi- Rent Marshall
Profit
27 Dynamic Theory of Profit J.B.Clark 1900
28 Rent Theory of Profit F.A. Walker
29 Risk Theory of Profit H.B. Hawley 1893
30 Uncertainty Bearing Theory Frank H. Knight 1921
31 Wage Theory of Profit Taussig
32 Innovation Theory of Profit Joseph A Schumpeter 1934
Wages
33 The Marginal Productivity Theory of Wage (oldest) J. B. Clark, Marshall, Walras, Wicksteed, Von Thunen, Jevons & Hicks. 1833
34 The Subsistence Theory of Wage
(Iron Law of Wage) David Ricardo 18th & early 19th century
35 The Standard of Living Theory Dr. Marshall
36 The Wage Fund Theory J.S. Mill 1869
37 The Residual Claimant Theory Walker 1875
38 The Market Theory of Wages
39 The Bargaining Theory of Wage John Davidson 1898
Interest
40 The Abstinence or Waiting Theory of Interest N.W. Senior 1836
41 The Agio Theory or The Austrian or Time Preference Theory Bohm-Bawerk
(first advanced by John Rao in 1834) 1884
42 The Marginal Productivity Theory
43 The Saving and Investment Theory (Classical Theory of Interest) J.S. Mill, Walras, Marshall & Pigou
44 Loanable Funds Theory (Neo- Classical Theory of Interest) Knut Wicksell, (elaborated by Ohlin, Robertson and Pigou, Myrdal) 19th century
45 The Liquidity Preference Theory
(Keynesian Theory of Interest) Keynes 1936
46 Neo-Keynesian Theory of Interest (Modern Theory of Interest/ Hicks-Hansen Theory/IS-LM Model) Hicks & Hansen 1937
Macro Economics
Consumption Function
47 Absolute Income Hypothesis Keynes 1936
48 Relative Income Hypothesis Duesenberry 1949
49 Permanent Income Hypothesis Friedman 1957
50 Life Cycle Hypothesis (Wealth Theory of Consumption) Ando, Modigliani 1954/1963
51 Life Cycle Permanent Income Hypothesis Robert Hall 1978
Effect
51 Keynes Effect Keynes 1936
52 Pigou Effect A. C. Pigou 1943
53 Real Balance Effect Patinkin 1956
Multiplier and Acceleration
54 Accelerator J.M. Clark 1917
55 Employment Multiplier R.F. Khan 1931
56 Investment Multiplier J.M. Keynes 1936
57 Super Multiplier Hicks 1951
58 Foreign Trade Multiplier Mr. Leighton
59 Consumption Multiplier Brahmananda and Vakil
59a Balanced Budget Multiplier Haavelmo
Demand for Money
60 Classical Theory Classical 1911
61 Keynesian Theory Keynes 1936
62 Inventory Approach Baumol 1950
63 Restatement of Quantity Theory Friedman 1956
64 Port-folio Approach Tobin 1969
65 Cash Transaction Approach Fisher 1911
66 Cash Balance Approach
Cambridge economists
• A.C.Pigou (1917)
• Alfred Marshall (1923)
• D.H. Robertson (1922)
• John Maynard Keynes (1923)
• R.G. Hawtrey and Frederick Lavington (1921, 1922)
67 Reformulated Quantity Theory of Money Keynes 1930s
68 Real Balance Effect Don Patinkin 1956
Business Cycle
69 Sun Spot or Climatic Theory William Stanley Jevons
Moore (extended) 1879
70 Psychological Theory Pigou & Beveridge 1909
71 Hawtrey’s Theory or Monetary theory Hawtrey 1926
72 Innovation Theory of Trade Cycle Schumpeter 1927
73 Von Hayek’s Theory or Over- Investment Theory Von Hayek 1930s
74 Cobweb Theory of Business Cycle H. Schultz, J. Tinbergen, U. Ricci 1930
75 Samuelson’s Model Samuelson
76 Real Business Cycle Kydland, Prescott, Barro & King, Long & Plosser 1980s
77 Goodwin’s Trade Cycle Goodwin 1951
78 Keynes’s Theory Keynes 1930s
79 Kaldor’s Theory of Trade Cycle Kaldor 1940
80 Hick’s Theory of Trade Cycle Hicks 1950
Other
81 Insider & Outsider Theory of Labor Market A. Lindback & D. Snower
82 IS-LM model J.R. Hicks & Alvin H. Hansen 1937
83 Philips Curve A. W. H. Phillips 1958
84 Monetary Approach to BOP Hahn 1959
85 Mundell-Fleming Model Robert Mundell and Marcus Fleming 1960
86 Optimum Currency Area Robert Mundell 1960
87 Expectation Augmented Philips Curve • Milton Friedman
• Edmund Phelps 1966,68
1967,68,70
88 Implicit Contract Theory Baily & Azariades 1979
89 Asymmetric Information Model Grossman & Hart 1981
Development Economics
90 Malthusian Theory of Population T. R. Malthus 1798
91 Marxian Theory of Economic Development Marx 1867
92 Lorenz Curve Max Lorenz 1905
93 Schumpeterian Theory Schumpeter 1911
94 Harrod Model R.F. Harrod 1939
95 Big Push Theory Rosenstein Rodan 1943
96 Domar Model Domar 1946
97 Dependency Theory 1949
98 Balanced Growth Rosenstein Rodan, Ragnar Nurkse, Arthur Lewis, Scitovsky, and Leibenstein 1950
99 Unbalanced Growth Hirschman 1950
100 Vicious Circle of Poverty Nurkse 1953
101 Theory of Unlimited Supplies of Labor W.A. Lewis 1954
102 Inverted U-hypothesis Kuznet 1955
103 Wage –Good Model Brahmananda and Vakil 1956
104 The Long-run Growth Model R.M. Solow 1956
105 Low Level Equilibrium trap (Population Trap Theory) Nelson & Leibenstein 1956
106 Capital Accumulation Model Joan Robinson 1956
107 Critical Minimum Effort Thesis Leibenstein 1957
108 Kaldor model Kaldor 1957
109 Technical Progress of Kaldor Kaldor 1960
110 Rostow’s Model Rostow 1960
111 Kaldor-Mirrles Model Kaldor-Mirrles 1962
112
Fei – Rani’s Theory of Developmnet John Fei and Gustav Rani 1964
113 Two Gap Model Hollis Chenery 1966
114 Modern Economic Growth Kuznets 1973
115 Learning by Doing Arrow 1980
116 Endogenous Growth Model A group of growth theorists {Romer (1986), Lucas (1988), and Rebelo (1991)} 1980’s
117 Romer Model Paul Romer 1986
118 Sustainable Economic Welfare T. Jackson & N. Marks 1994
Investment Criterion
119 The Capital Turn Over Criterion J.J. Polak and N.S. Buchanan 1943
120 Social Marginal Productivity Criterion A.E. Khan and Hollis Chenery 1951
121 The Reinvestment Criterion (Marginal Per Capita Reinvest Criterion) Galenson & Leibenstein 1955
122 The Time Series Criterion A.K.Sen 1957
123 The Marginal Growth Contribution Criterion Eckstein 1957
124 Reinvestment Surplus Coefficient Criterion • Dobb-Morris (1960)
• A.K. Sen (1968) 1960’s
Technical Change
125 Disembodied Technical Change Abramkovitz 1956
126 Embodied Technical Change Solow 1960
Measurement of Economic Development
127 Per Capita Income Approach late 1950’s
128 Basic Need Approach by World Bank 1970’s
129 PQLI David Morris 1979
130 HDI Mahbub Ul Huq 1990’s
131 Gender Related Development Index (GDI) UNDP 1995
132 Gender Empowerment Measures UNDP 1995
133 Human Poverty Index UNDP 1997
134 Multi-dimensional Poverty Index UNDP 2010
Dualism
135 Social Dualism J. H. Boeke 1910
136 Agricultural – Industrial Dualism Lewis 1954
137 Technological Dualism Higgins 1956
138 Ecological Dualism Clifford James Geertz 1963
139 Financial Dualism (Foreign Enclave Dualism) Myint 1971
140 Organizational Dualism Myint 1985
141 Geographical Dualism Gunnar Myrdal
142 International Dualism Myint & Myrdal
International Economics
143 Absolute Cost Advantage Theory Adam Smith 1776
144 Comparative Cost Advantage theory Ricardo 1817
145 Modern Theory of International Trade Hecksher and Ohlin 1919
146 Purchasing Power Parity Theory Gustav Cassel 1920
147 Opportunity Cost Theory Gottfried Haberler 1933
148 Stopler–Samuelson Theory Wolfgang Stopler & Paul Samuelson 1941
149 Factor Price Equalization Theorem Paul A. Samuelson 1948
150 Metzler Paradox Lloyd A. Metzler 1949
151 Secular Deterioration Theorem Prebisch & Singer 1950
152 Leontief Paradox Leontief 1950
153 Absorption Approach Sidney Alexander 1952
154 Rybczynski Theorem Tadeusz Rybcznski 1955
155 Immiserizing Growth Jagadish Bhagawati 1958
156 Reciprocal Dumping Model Brander & Krugman 1981
Terms of Trade
157 Net Barter ToT Frank William Taussing
158 Gross Barter ToT Frank William Taussing
159 Income ToT Dorrence and Staehle
160 Unilateral or Single Factoral ToT Jacob Viner
161 Bilateral or Double Factoral ToT Jacob Viner
162 Real Cost ToT Jacob Viner
163 Utility ToT D. H. Robertson
Public Finance
164 Voluntary Exchange Theory of Public Expenditure Erik Lindhal 1919
165 Zero Base Budgeting
(In 1973, President Jimmy Carter, while governor of Georgia, contracted with Phyrr to implement a ZBB system for the State of Georgia executive budget process.) Peter A. Phyrr 1960s
166 Ability Theory of Taxation Pigou
167 The Concentration Theory Physiocrates & Classical Economists
168 Diffusion Theory N. F. Canard
169 Modern Theory or Demand & Supply Theory Dalton
170 Law of Increasing State Activities Wagner
171 Critical Limit Hypothesis Colin Clark
