Wicksell’s Influence on Frisch’s Macroeconomics in the Thirties

The part of Frisch’s work during the thirties which is best known is his econometric and methodological research. But he also participated actively in the Norwegian debate on the economic depression. Partly inspired by this debate, Frisch made some studies in macroeconomics and monetary theory which may still be of interest. Some of these studies were influenced by Wicksell. This paper constitutes a survey of some aspects of Frisch’s macroeconomic thinking and traces the influence of Wicksell, primarily in order to elucidate Frisch’s research from this period. Frisch’s interpretation of the cumulative process is also presented.

“There is probably no other economist who has had so much influence on my thinking, at least not in monetary theory” Frisch on Wicksell; Frisch (1951), p. 2.