GREAT THINKERS IN ECONOMICS Series Editor: A.P. Thirlwall JAMES EDWARD MEADE David Reisman Great Thinkers in Economics Series Editor A.P. Thirlwall School of Economics  University of Kent Canterbury, United Kingdom The famous historian, E.H. Carr once said that in order to understand history it is necessary to understand the historian writing it. The same could be said of economics. Famous economists often remark that spe- cific episodes in their lives, or particular events that took place in their formative years attracted them to economics. Great Thinkers in Economics is designed to illuminate the economics of some of the great historical and contemporary economists by exploring the interaction between their lives and work, and the events surrounding them. More information about this series at http://www.palgrave.com/series/15026 David Reisman James Edward Meade David Reisman Nanyang Technological University Singapore University of Surrey UK Great Thinkers in Economics ISBN 978-3-319-69280-7 ISBN 978-3-319-69281-4 (eBook) https://doi.org/10.1007/978-3-319-69281-4 Library of Congress Control Number: 2017956354 © The Editor(s) (if applicable) and The Author(s) 2018 This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and trans- mission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. Cover illustration: History collection 2016 / Alamy Stock Photo Printed on acid-free paper This Palgrave Macmillan imprint is published by Springer Nature The registered company is Springer International Publishing AG The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland Also by David Reisman Adam Smith’s Sociological Economics Alfred Marshall: Progress and Politics Alfred Marshall’s Mission Anthony Crosland: The Mixed Economy Conservative Capitalism: The Social Economy Crosland’s Future: Opportunity and Outcome De mocracy and Exchange: Schumpeter, Galbraith, T.H. Marshall, Titmuss and Adam Smith The Economics of Alfred Marshall Galbraith and Market Capitalism Health Care and Public Policy Health Policy: Choice, Equality and Cost Health Tourism: Social Welfare through International Trade The Institutional Economy: Demand and Supply James Buchanan Market and Health The Political Economy of Health Care The Political Economy of James Buchanan Richard Titmuss: Welfare and Society Schumpeter’s Market: Enterprise and Evolution The Social Economics of Thorstein Veblen v vi Also by David Reisman Social Policy in an Ageing Society: Age and Health in Singapore State and Trade: Authority and Exchange in a Global Age State and Welfare: Tawney, Galbraith and Adam Smith Theories of Collective Action: Downs, Olson and Hirsch Trade in Health: Ethics, Economics and Public Policy Acknowledgements The author and publishers would like to thank the Archives Section of the British Library of Economic and Political Science, London School of Economics, for permission to cite material in the Meade and Dalton papers. They would also like to express their appreciation to Professors David Vines and Martin Weale, as well as to Professor and Mrs. P. Dasgupta, for sharing their knowledge of the life and work of James Meade. The author is alone responsible for any errors remaining in the text. vii Contents 1 Introduction 1 2 Social Policy 29 3 Taxation and Expenditure 47 4 G rowth and Development 69 5 T he International Economy 99 6 Customs Unions 125 7 D emand Management 147 8 S tagflation 167 9 Competition and Control 193 ix x Contents 10 The Cooperative Way 219 11 Economic Planning 233 12 What Meade Meant 245 Index 263