ABSTRACT
For Austrian economics, however, this was a tragic decade. Owing to the political circumstances of the time many Austrian philosophers and economists were compelled to leave Austria. Some of the emigrants were successful in the countries of their adoption, others were not. Professor Hayek, having made a triumphal entry into the University of London in 1931 as Tooke Professor of Economics and Statistics, had become a rather lonely figure by 1939, when the London School of Economics was evacuated from its London premises for the duration of the Second World War. The decline in the fortunes of Austrian economics is usually attributed to the Keynesian revolution and the success of the full employment policy in Nazi Germany, its historical background, which made even liberal economists cast furtive glances at what they otherwise professed to abhor.
