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Cambridge Journal of Economics 28:431-447 (2004)
Cambridge Journal of Economics, Vol. 28, No. 3, © Cambridge Political Economy Society 2004; all rights reserved

Ecological economics and the politics of knowledge: the debate between Hayek and Neurath

John O'Neill*

Address for correspondence: Centre of Philosophy, Institute for Environment, Philosophy and Public Policy, Lancaster University, Lancaster LA1 4YG, UK; email: j.oneill{at}lancaster.ac.uk

Hayek's epistemic arguments against planning were aimed not just against socialism but also the tradition of ecological economics. The concern with the physical preconditions of economic activity and defence of non-monetary measures in economic choice were expressions of the same rationalist illusion about the scope of human knowledge that underpinned the socialist project. Neurath's commitment to physicalism, in natura calculation and planning typified these errors. Neurath responded to these criticisms in unpublished notes and correspondence with Hayek. These highlighted the epistemological premises his work shared with Hayek's, representing a response to Hayek from Hayek's own assumptions. This paper examines the cogency and continuing relevance of the arguments in this debate.

Key Words: Hayek • Neurath • Ecological economics • Socialist calculation

JEL classifications: B20, B31, B40, Q00

Manuscript received December 14, 2001; final version received January 13, 2003.


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