ABSTRACT
Eugen von Bohm–Bawerk, like Friederich Von Wieser, proceeds from the foundations of Carl Menger's theory of subjective value, and extends this body of doctrine into the fields of production and distribution. Bohm-Bawerk's theoretical work centers about the problem of capital and interest. His capital theory and production and motivation theories are, on the contrary, based primarily on a study of the role of time in economic life. This general framework of resource allocation is identical with that of Wieser, but Bohm-Bawerk's detailed exposition differs in one important respect. Bohm-Bawerk's theory of imputation is his only important contribution to Austrian price theory. Bohm-Bawerk could never solve the problem of distribution of a product among its cooperating productive agents by his type of analysis. Bohm-Bawerk is scarcely more successful in distinguishing between capital and labor. The essential role of capital in production is to permit the following of roundabout methods, which are more productive than direct or non-capitalistic methods.
