American Journal of ECONOMICS and SOCIOLOGY The AMERICAN JOURNAL of ECONOMICS and SOCIOLOGY Laurence S. Moss, Ph.D EDITOR-IN-CHIEF Babson College Widdy S. Ho ADMINISTRATIVE ASSISTANT Babson Park, MA, 02457, USA Nan A. BRAMAN SECRETARY Makk A SULLIVAN TREASURER EDITORIAL COUMCIL Frank C. Genovese, Editor Emeritus, Babson College, A. J. Jarre Ph.D., Columbia U.; Witt Lissxer, Ed.D., Founding Editor Joun D. Montcomery, Ph.D., Harvard | EDITORIAL BOARD R. V. Axpetson. Philosophy, Auburn University; William L. Anderson, Economics, Frostburg State University; Wituiam ¢ BINNING, Political Science, Youngstown State University, T. H. Bonaparte, St. John’s University; Jean R. Burnet, Sociology York University; RictaxrJp . Cesuta, Economics, Armstrong Adantic State University; Pact F. J. Devesprvasse, Adrian College; G Deuaportas, M.D., Clinton, SC; Mason Garrxey, Economics, University of California; Hstanc-Linc Han, Economics, Babson College; C. L. Harriss, Economics, Columbia University; Jexome F. Heavey, Economics, Lafayette College; W. S. Henpon Economics, University of Akron; B. C. Liv, Ph.D., Chicago State University and National Dong Hwa University; A. D. Lynn, Jx., Ohio State University; D. J. McCreapy, Wilfrid Laurier University; Wavter Rypeck, Washington, D.C.; GrorGe F. Savst Economics, Lafayette College; ANoxew SavcHenko, Sociology, University of Rhode Island; Hrrsert F. Spmer, Economics, University of Connecticut; Joun B. Wituamsox, Economics, Boston College; Mian Zartrovski, Sociology Anthropology University of North Texas Publisher- THE AMERICAN JOURNAL OF ECONOMICS AND SOCIOLOGY, INC. (a nonprofit membership corporation 149 Madison Avenue, Suite 601, New York, N.Y. 10016). Membande Dirrecstor s: R. V. Andelson, K. Feder, M. Gaffney,J . 1 Gwartney (president), C. L. Harriss, O. B. Johannsen, N. Tideman Sponsors: The Francis Neilson Fund and the Robert Schalkenbach Foundation members and directors: L. R. 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For microcard address inquiries to Microcan, Inc., 618 Parker Street, Boston, MA 02120 SUBMISSIONS Manuscripts of an interdisciplinary nature up to 6000 words can be submitted. Four copies should be sent to: Editorial Office, The American Journal of Economics and Sociology. The journal also accepts monographs that may be included as an annual supplement. Please write to the Editor-in-Chief for more details. The electronic address is [email protected] POSTMASTER Periodicals postage paid at Boston, MA and additional offices. Send all address corrections to Blackwell Publishers, Journals Subscriptions Department, 350 Main Street, Malden, MA 02148 ADVERTISING For information and rates, please visit the journal's website at www blackwellpublishers.co.uk journals ajes, e-mail [email protected], or contact the journals marketing department at the publisher's Malden office, 350 Main St., Malden, MA 02148, U.S.A., call 781-388-8200 © 2002 The American Journal of Economics and Sociology contents NUMBER ONE—JANUARY THE NEW POLITICAL ECONOMIES: A COLLECTION OF ESSAYS FROM AROUND THE WORLD Editer’s Introduction—Laurence S. Moss, 1 PART I. HISTORICAL PERSPECTIVES “New Political Economies” Then and Now: Economic Theory and the Mutation of Political Doctrine—A. M. C. Waterman, 13 PART II. FISCAL SOCIOLOGY Fiscal Sociology: What For?—/uergen Backhaus, 55 Voters, Parties, and the Endogenous Size of Government—/an-Peter Olters, 79 PART III. CONSTITUTIONAL ECONOMICS Complexity, Governance and Constitutional Craftsmanship—Richard E Wagner, 105 Opting-Out: The Constitutional Economics of Exit—Peter Kurrild- Klitgaard, 123 PART IV. AUSTRIAN SCHOOL PERSPECTIVES Post-Classical Political Economy: Polity, Society and Economy in Weber, Mises and Hayek—PeterJ . Boettke and Virgil Henry Storr, 101 New Political Economy, Scientism and Knowledge: A Critique from a Hayekian Perspective, and a Proposal for an Extension of the Research Agenda—/Jan Schnellenbach, 193 PART V. NEW PERSPECTIVES ON TRANSITION ECONOMIES: EUROPE The “New” Political Economies (A View from Russia)}— Vladimir Kollontai, 217 Toward Capitalism or Away from Russia? Early Stage of Post-Soviet Economic Reforms in Belarus and the Baltics—Andrew Sauchenko, 233 A Political Economy Approach to the Neoclassical Model of Transition— John Marangos, 259 872 American Journal of Economics and Sociology PART VI. NEW PERSPECTIVES ON TRANSITION ECONOMIES: ASIA Privilege and Corruption: The Problems of China's Socialist Market Economy—Shuntian Yao, 279 Political Culture, Economic Structure and Policy: The Laffont-Tirole Model Extended to Modern Japan— Warren Young and Joris Meijaard, 301 PART VII. NEW PERSPECTIVES ON TRANSITION ECONOMIES: AFRICA Political Instability and Economic Growth: Implications of Coup Events in Sub-Saharan Africa—Augustin Kwasi Fosu, 329 PART VIII. RADICAL CRITICISMS AND REFLECTIONS Against the New Economic Imperialism: Some Reflections—/onathan Michie, Christine Oughton, and Frank Wilkinson, 351 Bourgeoisie Qut, Expertoisie In: The New Political Economies at Loggerheads—Donald Clark Hodges and Larry Lustig, 307 NUMBER TWO—APRIL Editor's Introduction—Laurence S. Moss, 383 Schumpeter 1911: Farsighted Visions on Economic Development—Markus C. Becker and Thorbjorn Knudsen, 387 New Translations from Theorie der wirtschaftlichen Entwicklung Dr. Joseph Schumpeter—Translated by Markus C. Becker and Thorbjorn Knudsen, 405 Money, Banking and Dynamics: Two Wicksellian Routes from Mises to Hayek and Schumpeter—Agneés Festré, 439 The Determinants and Impact of State Abortion Restrictions—Marshall H. Medoff, 481 A Note on the Determinants of Public Dissatisfaction with Government: Economic and Political Factors Affecting the Public’s Attitude toward Government—RichardJ . Cebula and Chris Paul, 495 SYMPOSIUM ON EKKEHART SCHLICHT’S ON CUSTOM IN THE ECONOMY Introduction to the Symposium—lskali Maki and Laurence S. Moss, 503 Comments on E. Schlicht's On Custom in the Economy (1998+ —Mark Blaug, 505 Customs and Conventions—/ackJ . Vromen, 511 Some Remarks on the Place of Psychological and Social Elements in a Theory of Custom—Matthias Klaes, 519 Index to Volume 61 Custom and Rules—Roger Kopp, 531 Economic-Psychological Reflections on Custom in the Economy—Gerrit Antonides, 539 Custom and the Firm—/ohn Groenewegen, 547 Norms, Numbers and Hierarchy: Comments on E. Schlicht—Barbara Krug, 555 Custom, Legislation and Market Order—Richard E. Wagner, 503 Reflections and Diffractions: Schlicht Replies to His Critics—Ekkehart Schlicht, 571 BOOK NOTES Hal K. Rothman and Mike Davis. The Grit Beneath the Glitter: Tales from the Real Las Vegas, 395 Louis Menand. The Metaphysical Club: A Story of Ideas in America, 599 NUMBER THREE—JULY Frontispiece of George J. Stigler, i Editor's Introduction—Laurence S. Moss, 605 REMEMBRANCE AND APPRECIATION ROUNDTABLE George J. Stigler (1911-1991): Scholar, Father, Dissertation Advisor, Referee, Textbook Writer and Policy Analyst—Claire Friedland, Craufurd Goodwin, Claire H. Hammond,J . Daniel Hammond, David Levy, Steven G. Medema, Michele 1. Naples, WarrenJ . Samuels and Stephen M. Stigler Edited and arranged by Laurence S. Moss, 609 FOCUS ON ECONOMIC SOCIOLOGY What Do You Know, Who Do You Know? School as a Site for the Production of Social Capital and its Effects on Income Attainment in Poland and the Czech Republic—Karen Buerkle and Alya Guseva, 657 The Prophecy of Place: A Labor Market Study of Young Women and Education—L. Susan Williams, 081 Segmentation in the Market for Child Labor: The Economics of Child Labor Revisited—/James G. Scoville, 713 COMMENT AND ANALYSIS Advertising and Political Bias in the Media: The Market for Criticism of the Market Economy—Daniel Sutter, 725 874 American Journal of Economics and Sociology BOOK NOTE Hans-Hermann Hoppe. 2001. Democracy: The God that Failed: The Economics and Politics of Monarchy, Democracy and the Natural Order— Walter Block, 747 NUMBER FOUR—OCTOBER Frontispiece of John R. Commons, i Frontispiece of Adolf Lowe, ii John R. Commons'’s “Five Big Years”: 1899-1904—Richard A. Gonce, 755 How the A/ES Got its Mission Statement in 1941: Adolph Lowe's Plea for Cooperation and Constructive Synthesis in the Social Sciences—Mathew Forstater, 779 If Markets Are So Wonderful, Why Can't I Find Friends at the Store? —M. Neil Browne, 787 Financial Manias and Panics: A Socioeconomic Perspective—Brenda Spotton Visano, 801 How Confidence Facilitates Illegal Transactions: An Empirical Approach —Dr. Johann Graf Lambsdorff, 829 Do Reservation Native Americans Vote with Their Feet? A Friendly Comment—RichardJ . Cebula, 855 BOOK NOTE Mark Gnanovetter and Richard Swedberg. 2001. The Sociology of Economic re... eG len caya ays arU faite*- alc k Sei seF ly Cad Tih ePaper es es Mae FILM NOTE Peter Cohen, 1999. Homosapiens 1900. ERRATA Index to Volume 61. Statement of Ownership. NUMBER FIVE—DECEMBER Christopher K. Ryan. Harry Gunnison Brown: An Orthodox Economist and er IONS ire) Ged os? eS SR. yt leek Index to Volume 61 INDEX OF CONTRIBUTORS Anronipes, Gerrit. Economic-Psychological Reflections on Custom in the Economy, 539 Backnaus, JueRGEN. Fiscal Sociology: What For?, 55 Becker, Markus C. anp THorsjorn Kxupsex. Schumpeter 1911: Farsighted Visions on Economic Development, 387 Becker, Markus C. anp THorsiorn Knupsen. New Translations from Theorie der wirtschaftlichen Entwicklung Dr. Joseph Schumpeter, 405 Biauc, Mark. Comments on E. Schlicht’s On Custom in the Economy (1998), 505 Boerrke, Perer J. anp Vinci. Henry Srorr. Post-Classical Political Economy: Polity, Society and Economy in Weber, Mises and Hayek, 161 Browne, M. New. If Markets Are So Wonderful, Why Can't I Find Friends at the Store?, 787 Buerkie, Karen anp Atya Guseva. What Do You Know, Who Do You Know? School as a Site for the Production of Social! Capital and its Effects on Income Attainment in Poland and the Czech Republic, 657 Crsuta, Ricnarp J. anp Curis Paut. A Note on the Determinants of Public Dissatisfaction with Government: Economic and Political Factors Affecting the Public’s Attitude toward Government, 495 Cesuta, Ricnarp J. Do Reservation Native Americans Vote with Their Feet? A Friendly Comment, 855 Fesrré, AGNés. Money, Banking and Dynamics: Two Wicksellian Routes from Mises to Hayek and Schumpeter, 439 Forsrarer, Matnew. How the A/ES Got its Mission Statement in 1941: Adolph Lowe’s Plea for Cooperation and Constructive Synthesis in the Social Sciences, 779 Fosu, Aucustin Kwasi. Political Instability and Economic Growth: Implications of Coup Events in Sub-Saharan Africa, 329 FRriEDLAND, CLAIRE, CraururD Goopwin, Ciaire H. Hammonp, J. Dante. HamMonp, Davin Levy, Steven G. Mepema, Micuete I. Naptes, WarrenJ . SAMUELS, AND SrepHen M. Stricter. Edited and arranged by Laurence S. Moss. George J. Stigler (1911-1991): Scholar, Father, Dissertation Advisor, Referee, Textbook Writer and Policy Analyst, 609 Gonce, Richarp A. John R. Commons’s “Five Big Years”: 1899-1904, 755 GrOENEWEGEN, JouN. Custom and the Firm, 547 876 American Journal of Economics and Sociology Hopces, Donatp Ciark AND Larry Lusric. Against the New Economic Imperialism: Some Reflections, 351 Hopces, Donatp Ciark and Larry Lustic. Bourgeoisie Out, Expertoisie In: The New Political Economies at Loggerheads, 367 Kars, Marruias. Some Remarks on the Place of Psychological and Social Elements in a Theory of Custom, 519 Kouonral, Viapimir. The “New” Political Economies (A View from Russia), 217 Koppt, Rocrer. Custom and Rules, 531 KrauG, Barbara. Norms, Numbers and Hierarchy: Comments on E. Schlicht, 355 Kurwip-KurGaarp, Perer. Opting-Out: The Constitutional Economics of Exit, 123 LamBsporrr, JOHANN Grar. How Confidence Facilitates Illegal Transactions: An Empirical Approach, 829 Maki, Uskaut anp Laurence S. Moss. Introduction to the Symposium, 503 Marancos, Joux. A Political Economy Approach to the Neoclassical Model of Transition, 259 Meporr, Marsan. H. The Determinants and Impact of State Abortion Restrictions, 481 Micuir, JoNATHAN, Curistine OuGHTON, AND Frank Witkinson. Against the New Economic Imperialism: Some Reflections, 351 Moss, Laurence S. Editor's Introduction, 1 Moss, Laurence S. Editor's Introduction, 383 Moss, Laurence S. Editor's Introduction, 605 Moss, Laurence S. Editor's Introduction, 751 Orxters, Jax-Perer. Voters, Parties, and the Endogenous Size of Government, 79 Ryax, Curisropuer K. Harry Gunnison Brown: An Orthodox Economist and His Contributions, 869, 233 Scnucut, Exkenarr. Reflections and Diffractions: Schlicht Replies to His Critics, 371 SCHNELLENBACH, JAN. New Political Economy, Scientism and Knowledge: A Critique from a Hayekian Perspective, and a Proposal for an Extension of the Research Agenda, 193 Index to Volume 61 Scoviite, James G. Segmentation in the Market for Child Labor: The Economics of Child Labor Revisited, 713 Surrer, Danie. Advertising and Political Bias in the Media: The Market for Criticism of the Market Economy, 725 Visano, Brenna Sporron. Financial Manias and Panics: A Socioeconomic Perspective, 801 Vromen, Jack J. Customs and Conventions, 511 Wacner, Ricarp E. Complexity, Governance and Constitutional Craftsmanship, 105 Wacyer, Richarp E. Custom, Legislation and Market Order, 503 Warerman, A. M. C. “New Political Economies” Then and Now: Economic Theory and the Mutation of Political Doctrine, 13 Winans, L. Stsax. The Prophecy of Place: A Labor Market Study of Young Women and Education, 681 Yao, Suunnian. Privilege and Corruption: The Problems of China’s Socialist Market Economy, 279 Younc, Warren anp Joris Meyaarp. Political Culture, Economic Structure and Policy: The Laffont-Tirole Model Extended to Modern Japan, 301