1. Skip to navigation
  2. Skip to content
  3. Skip to sidebar

The Ludwig von Mises Institute

Advancing Austrian Economics, Liberty, and Peace

Advancing the scholarship of liberty in the tradition of the Austrian School

Search Mises.org

Literature Library


The Pure Time-Preference Theory of Interest

The Pure Time-Preference Theory of Interest

It’s about time. Really! An entire book fleshing out the pure time-preference theory of interest has finally been assembled. The present crop of Keynesians play with interest rates believing they can create prosperity without a sound theoretical basis for how the market determines rates. It is the Austrian insight that present goods have a higher value than future goods, while the followers of Lord Keynes foolishly try to abolish human action.

Giants of the Austrian world have been assembled for the task, along with a fresh new introduction by Jeffrey Herbener. Rothbard, Mises, Garrison, Kirzner and Fetter systematically provide the underpinnings of a theory that, as Israel Kirzner writes, “for almost a century a particular theory of interest has been again and again discussed, refuted, defended, ignored, forgotten, and rediscovered; somehow it has managed to survive.”

Find out why!

From Douglas French’s foreward:

The following essays parse through the uniquely Austrian insight of the pure time-preference theory of interest, but more importantly go to the core of why modern central bank monetary engineering leaves the economy further from recovery while at the same time providing a Petri dish for speculation and malinvestment.

• Foreword by Douglas E. French
• Introduction by Jeffrey M. Herbener

  1. Time Preference - By Murray N. Rothbard
  2. Human Action: The Rate of Interest - By Ludwig von Mises
  3. In Defense of the Misesian Theory of Interest - By Roger W. Garrison
  4. The Pure Time-Preference Theory of Interest: An Attempt at Clari?cation - By Israel M. Kirzner
  5. Interest Theories, Old and New - By Frank A. Fetter
  6. Professor Rothbard and the Theory of Interest - By Roger W. Garrison

• Bibliography
• Index

Publication Information Copyright © 2011 by the Ludwig von Mises Institute Published under Creative Commons Attribution 3.0. Ludwig von Mises Institute 518 West Magnolia Avenue Auburn, Alabama 36832 Mises.org ISBN: 978-1-61016-236-4
Updated 1/25/2012