Wednesday, 25 April 2012

Coase interview

From the University of Chicago comes this short interview with with the 101-year-old Ronald H. Coase, renowned University of Chicago Law School professor and winner of the 1991 Nobel Prize in economics, in which he discusses his approach to economics. In the interview Coase points out why he doesn't like the "Coase Theorem".

Coase's view of the "Coase Theorem" is,
It's not about my work at all. George Stigler, who's a very nice man, wanted to pay me a compliment so he invented the Coase theorem, but he named it Coase theorem, not the Stigler theorem. The reason I don't like it that it's the proposition about the system in which transaction costs are zero. Well that isn't the way the system actually is, therefore, it's a theoretical proposition and I don't like that.
In this video Coase discussing his career path. He never studied economics but become an economist, and a great one at that.

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