ABSTRACT

During the 1930s, the years of high theory, Cambridge was the hottest place for theoretical production in economics, becoming the crossroads and meeting point for economic theorists and econometricians. This chapter investigates how different groups and generations reacted to the great challenge of their lives, the social collapse provoked by the recession and the inevitable advance towards world war. There were sound reasons for a convergence of efforts and attitudes between the Keynesians and the econometricians, since many in both groups felt the same sense of social emergency and shared the same vision of economics. Yet it was harsh confrontation rather than fruitful dialogue that emerged from their conversations.