CIAO DATE: 03/02

Critical Review

Summer–Fall 1999 (Vol.13 Nos.3–4)

How (Some) Socialists Became Capitalists: The Cases of Three Prominent Intellectuals

By David R. Henderson

Abstract

Three prominent economists born early in the twentieth century–James Buchanan, Jack Hirshleifer, and Simon Rottenberg–switched from a belief in socialism in their twenties or thirties to strong support for free markets. Interviews show that for all three, and especially for Buchanan and Rottenberg, what changed them is what they learned in their economics classes. For Hirshleifer, another major influence was the pact between Hitler and Stalin, which caused him to be more skeptical about leftist ideas and made him more open to intellectual criticisms of socialism.