V78

N01
1/19

THE AMERICAN JOURNAL OF ECONOMICS AND SOCIOLOGY

Published QUARTERLY with an
ANNUAL SUPPLEMENT in the The Growing Failure of the
Neoclassical Paradigm in Economics
interest of constructive synthesis in Edited by Alberto Ruiz-Villaverde

the social sciences. This publication

sets no ideological standards for its
collaborators or contributors. It
affords contributors the widest
freedom consistent with scientific
VOLUME 78
integrity as defined by the American
NUMBER 1
professional learned societies in the
fields it covers. JANUARY 2019

AJES_v78_i1_cover.indd C1 16-01-2019 12:38:11

 The AMERICAN JOURNAL of ECONOMICS and SOCIOLOGY
Disclaimer: The Publisher, The American Journal of Economics and Sociology, Inc. and Editors cannot be held responsible for
errors or any consequences arising from the use of information contained in this journal; the views and opinions expressed do
not necessarily reflect those of the Publisher, The American Journal of Economics and Sociology, Inc., and Editors, neither does
the publication of advertisements constitute any endorsement by the Publisher, The American Journal of Economics and Sociol-
ogy, Inc., and Editors of the products advertised.
Copyright and Copying Copyright © 2019 The American Journal of Economics and Sociology. All rights reserved. No part of
this publication may be reproduced, stored or transmitted in any form or by any means without the prior permission in writing
from the copyright holder. Authorization to copy items for internal and personal use is granted by the copyright holder for
libraries and other users registered with their local Reproduction Rights Organisation (RRO), e.g. Copyright Clearance Center
(CCC), 222 Rosewood Drive, Danvers, MA 01923, USA (www.copyright.com), provided the appropriate fee is paid directly to
the RRO. This consent does not extend to other kinds of copying such as copying for general distribution, for advertising or
promotional purposes, for republication, for creating new collective works or for resale. Permissions for such reuse can be
obtained using the RightsLink “Request Permissions” link on Wiley Online Library. Special requests should be addressed to: Bibliographical Aids to The Journal
permissions@wiley.com
Bibliographical aids for locating material in The American Journal of Economics and Sociology are
INFORMATION FOR SUBSCRIBERS The American Journal of Economics and Sociology is published in five issues per year. listed below. Librarians, compilers, and editors are invited to report omissions.
Institutional subscription prices for 2019 are: Print & Online: US$330 (US), US$482 (Rest of World), €328 (Europe), £257 (UK).
Prices are exclusive of tax. Asia-Pacific GST, Canadian GST/HST and European VAT will be applied at the appropriate rates. Indexed and/or Abstracted (in whole or in part):
For more information on current tax rates, please go to https://onlinelibrary.wiley.com/library-info/products/price-lists/payment. ABI/INFORM Database (ProQuest)
The price includes online access to the current and all online back files to January 1st 2015, where available. For other pricing Academic ASAP (GALE Cengage)
options, including access information and terms and conditions, please visit https://onlinelibrary.wiley.com/library-info/products/
price-lists. AGRICOLA Database (National Agricultural Library)
America: History & Life (EBSCO Publishing)
Terms of use can be found here: https://onlinelibrary.wiley.com/terms-and-conditions Business ASAP (GALE Cengage)
DELIVERY TERMS AND LEGAL TITLE Where the subscription price includes print issues and delivery is to the recipient’s CAB Abstracts® (CABI)
address, delivery terms are Delivered at Place (DAP); the recipient is responsible for paying any import duty or taxes. Title to Criminal Justice Abstracts (EBSCO Publishing)
all issues transfers Free of Board (FOB) our shipping point, freight prepaid. We will endeavour to fulfil claims for missing or CSA Biological Sciences Database (ProQuest)
damaged copies within six months of publication, within our reasonable discretion and subject to availability. CSA Environmental Sciences & Pollution Management Database (ProQuest)
BACK ISSUES Single issues from current and recent volumes are available at the current single issue price from cs-journals@ Current Contents: Social & Behavioral Sciences (Clarivate Analytics)
wiley.com. Earlier issues may be obtained from Periodicals Service Company, 351 Fairview Avenue – Ste 300, Hudson, NY 12534, EBSCO Online (EBSCO Publishing)
USA. Tel: +1 518 822 9300, Fax: +1 518 822 9305, Email: psc@periodicals.com Ecology Abstracts (ProQuest)
MAILING The AMERICAN JOURNAL OF ECONOMICS AND SOCIOLOGY, (ISSN 0002-9246 print; ISSN 1536-7150 online), is pub- EconLit (AEA)
lished five times a year during the months of Jan, Mar, May, Sep and Nov by Wiley Subscription Services, Inc., a Wiley Company, ERA: Educational Research Abstracts Online (T&F)
111 River St., Hoboken, NJ 07030-5774 USA. FRANCIS Database (INIST/CNRS)
Postmaster: Send all address changes to AMERICAN JOURNAL OF ECONOMICS AND SOCIOLOGY, John Wiley & Sons Inc., Historical Abstracts (EBSCO Publishing)
C/O The Sheridan Press, PO Box 465, Hanover, PA 17331 USA. IBSS: International Bibliography of the Social Sciences (ProQuest)
PUBLISHER The American Journal of Economics and Sociology is published by Wiley Periodicals, Inc., Commerce Place, 350 InfoTrac (GALE Cengage)
Main Street, Malden, MA 02148; Tel: (781)388-8200; Fax: (781) 388-8210. Wiley Periodicals, Inc. is now part of John Wiley & Sons. International Political Science Abstracts (IPSA)
Journal Customer Services: For ordering information, claims and any enquiry concerning your journal subscription please go
Journal Citation Reports/Social Science Edition (Clarivate Analytics)
to www.wileycustomerhelp.com/ask or contact your nearest office. OmniFile Full Text Mega Edition (HW Wilson)
Americas: Email: cs-journals@wiley.com; Tel: +1 781 388 8598 or +1 800 835 6770 (toll free in the USA & Canada). OmniFile Full Text Select (HW Wilson)
Europe, Middle East and Africa: Email: cs-journals@wiley.com; Tel: +44 (0) 1865 778315. PAIS: Public Affairs Information Service (ProQuest)
Asia Pacific: Email: cs-journals@wiley.com; Tel: +65 6511 8000. ProQuest Central (ProQuest)
Japan: For Japanese speaking support, Email: cs-japan@wiley.com. ProQuest Research Library (ProQuest)
Visit our Online Customer Help available in 7 languages at https://hub.wiley.com/community/support/onlinelibrary ProQuest Social Science Database (ProQuest)
Production Editor: Mariel Jane Abellana (email: AJES@wiley.com) ProQuest Social Science Plus Text (ProQuest)
View this journal online at wileyonlinelibrary.com/journal/AJES. RePEc: Research Papers in Economics
Social Sciences Citation Index (Clarivate Analytics)
Wiley is a founding member of the UN-backed HINARI, AGORA, and OARE initiatives. They are now collectively known as Social Services Abstracts (ProQuest)
Research4Life, making online scientific content available free or at nominal cost to researchers in developing countries. Please
visit Wiley’s Content Access – Corporate Citizenship site: http://www.wiley.com/WileyCDA/Section/id-390082.html SocINDEX (EBSCO Publishing)
Sociological Abstracts (ProQuest)
Wiley’s Corporate Citizenship initiative seeks to address the environmental, social, economic, and ethical challenges faced in Sociological Collection (EBSCO Publishing)
our business and which are important to our diverse stakeholder groups. Since launching the initiative, we have focused on
sharing our content with those in need, enhancing community philanthropy, reducing our carbon impact, creating global
Studies on Women & Gender Abstracts (T&F)
guidelines and best practices for paper use, establishing a vendor code of ethics, and engaging our colleagues and other stake- Worldwide Political Sciences Abstracts (ProQuest)
holders in our efforts. Follow our progress at www.wiley.com/go/citizenship The Journal is also available on JSTOR, with a 5 year “moving wall.”
AIMS AND SCOPE The American Journal of Economics and Sociology (AJES) was founded in 1941, with support from the
Robert Schalkenbach Foundation, to encourage the development of transdisciplinary solutions to social problems. In the journal’s
first issue, John Dewey commended this journal for its intention to promote “synthesis in the social field.” In order to develop
a more synthetic approach to practical problems, the AJES board has decided to publish five thematic issues each year, with
each issue devoted to a specific problem, condition, or methodological controversy.
In keeping with its origins, the ideas of the American economic and social philosopher Henry George (1839–1897) will receive
special consideration. Although George is best known for his views on taxation and concentrated land ownership, he also held
prescient views on topics such as racial equality, governance, and theories of history. As these examples indicate, George was
concerned with the human condition and the ways in which institutions support or undermine the full flourishing of the human
spirit. That orientation will guide the selection of issues for the journal.
ABSTRACTING AND INDEXING SERVICES For A&I services please visit the journal homepage at www.wileyonlinelibrary.
com/journal/AJES.
Printed in Singapore by Markono Print Media Pte Ltd
ISSN 0002-9246 (Print)
ISSN 1536-7150 (Online)
For submission instructions, subscription and all other information visit: www.wileyonlinelibrary.com/journal/AJES
The American Journal of Economics and Sociology accepts articles for Open Access publication. Please visit https://authorser-
vices.wiley.com/author-resources/Journal-Authors/open-access/onlineopen.html for further information about OnlineOpen.

AJES_v78_i1_cover.indd C2 16-01-2019 12:38:11

 The AMERICAN JOURNAL of ECONOMICS and SOCIOLOGY
Disclaimer: The Publisher, The American Journal of Economics and Sociology, Inc. and Editors cannot be held responsible for
errors or any consequences arising from the use of information contained in this journal; the views and opinions expressed do
not necessarily reflect those of the Publisher, The American Journal of Economics and Sociology, Inc., and Editors, neither does
the publication of advertisements constitute any endorsement by the Publisher, The American Journal of Economics and Sociol-
ogy, Inc., and Editors of the products advertised.
Copyright and Copying Copyright © 2019 The American Journal of Economics and Sociology. All rights reserved. No part of
this publication may be reproduced, stored or transmitted in any form or by any means without the prior permission in writing
from the copyright holder. Authorization to copy items for internal and personal use is granted by the copyright holder for
libraries and other users registered with their local Reproduction Rights Organisation (RRO), e.g. Copyright Clearance Center
(CCC), 222 Rosewood Drive, Danvers, MA 01923, USA (www.copyright.com), provided the appropriate fee is paid directly to
the RRO. This consent does not extend to other kinds of copying such as copying for general distribution, for advertising or
promotional purposes, for republication, for creating new collective works or for resale. Permissions for such reuse can be
obtained using the RightsLink “Request Permissions” link on Wiley Online Library. Special requests should be addressed to: Bibliographical Aids to The Journal
permissions@wiley.com
Bibliographical aids for locating material in The American Journal of Economics and Sociology are
INFORMATION FOR SUBSCRIBERS The American Journal of Economics and Sociology is published in five issues per year. listed below. Librarians, compilers, and editors are invited to report omissions.
Institutional subscription prices for 2019 are: Print & Online: US$330 (US), US$482 (Rest of World), €328 (Europe), £257 (UK).
Prices are exclusive of tax. Asia-Pacific GST, Canadian GST/HST and European VAT will be applied at the appropriate rates. Indexed and/or Abstracted (in whole or in part):
For more information on current tax rates, please go to https://onlinelibrary.wiley.com/library-info/products/price-lists/payment. ABI/INFORM Database (ProQuest)
The price includes online access to the current and all online back files to January 1st 2015, where available. For other pricing Academic ASAP (GALE Cengage)
options, including access information and terms and conditions, please visit https://onlinelibrary.wiley.com/library-info/products/
price-lists. AGRICOLA Database (National Agricultural Library)
America: History & Life (EBSCO Publishing)
Terms of use can be found here: https://onlinelibrary.wiley.com/terms-and-conditions Business ASAP (GALE Cengage)
DELIVERY TERMS AND LEGAL TITLE Where the subscription price includes print issues and delivery is to the recipient’s CAB Abstracts® (CABI)
address, delivery terms are Delivered at Place (DAP); the recipient is responsible for paying any import duty or taxes. Title to Criminal Justice Abstracts (EBSCO Publishing)
all issues transfers Free of Board (FOB) our shipping point, freight prepaid. We will endeavour to fulfil claims for missing or CSA Biological Sciences Database (ProQuest)
damaged copies within six months of publication, within our reasonable discretion and subject to availability. CSA Environmental Sciences & Pollution Management Database (ProQuest)
BACK ISSUES Single issues from current and recent volumes are available at the current single issue price from cs-journals@ Current Contents: Social & Behavioral Sciences (Clarivate Analytics)
wiley.com. Earlier issues may be obtained from Periodicals Service Company, 351 Fairview Avenue – Ste 300, Hudson, NY 12534, EBSCO Online (EBSCO Publishing)
USA. Tel: +1 518 822 9300, Fax: +1 518 822 9305, Email: psc@periodicals.com Ecology Abstracts (ProQuest)
MAILING The AMERICAN JOURNAL OF ECONOMICS AND SOCIOLOGY, (ISSN 0002-9246 print; ISSN 1536-7150 online), is pub- EconLit (AEA)
lished five times a year during the months of Jan, Mar, May, Sep and Nov by Wiley Subscription Services, Inc., a Wiley Company, ERA: Educational Research Abstracts Online (T&F)
111 River St., Hoboken, NJ 07030-5774 USA. FRANCIS Database (INIST/CNRS)
Postmaster: Send all address changes to AMERICAN JOURNAL OF ECONOMICS AND SOCIOLOGY, John Wiley & Sons Inc., Historical Abstracts (EBSCO Publishing)
C/O The Sheridan Press, PO Box 465, Hanover, PA 17331 USA. IBSS: International Bibliography of the Social Sciences (ProQuest)
PUBLISHER The American Journal of Economics and Sociology is published by Wiley Periodicals, Inc., Commerce Place, 350 InfoTrac (GALE Cengage)
Main Street, Malden, MA 02148; Tel: (781)388-8200; Fax: (781) 388-8210. Wiley Periodicals, Inc. is now part of John Wiley & Sons. International Political Science Abstracts (IPSA)
Journal Customer Services: For ordering information, claims and any enquiry concerning your journal subscription please go
Journal Citation Reports/Social Science Edition (Clarivate Analytics)
to www.wileycustomerhelp.com/ask or contact your nearest office. OmniFile Full Text Mega Edition (HW Wilson)
Americas: Email: cs-journals@wiley.com; Tel: +1 781 388 8598 or +1 800 835 6770 (toll free in the USA & Canada). OmniFile Full Text Select (HW Wilson)
Europe, Middle East and Africa: Email: cs-journals@wiley.com; Tel: +44 (0) 1865 778315. PAIS: Public Affairs Information Service (ProQuest)
Asia Pacific: Email: cs-journals@wiley.com; Tel: +65 6511 8000. ProQuest Central (ProQuest)
Japan: For Japanese speaking support, Email: cs-japan@wiley.com. ProQuest Research Library (ProQuest)
Visit our Online Customer Help available in 7 languages at https://hub.wiley.com/community/support/onlinelibrary ProQuest Social Science Database (ProQuest)
Production Editor: Mariel Jane Abellana (email: AJES@wiley.com) ProQuest Social Science Plus Text (ProQuest)
View this journal online at wileyonlinelibrary.com/journal/AJES. RePEc: Research Papers in Economics
Social Sciences Citation Index (Clarivate Analytics)
Wiley is a founding member of the UN-backed HINARI, AGORA, and OARE initiatives. They are now collectively known as Social Services Abstracts (ProQuest)
Research4Life, making online scientific content available free or at nominal cost to researchers in developing countries. Please
visit Wiley’s Content Access – Corporate Citizenship site: http://www.wiley.com/WileyCDA/Section/id-390082.html SocINDEX (EBSCO Publishing)
Sociological Abstracts (ProQuest)
Wiley’s Corporate Citizenship initiative seeks to address the environmental, social, economic, and ethical challenges faced in Sociological Collection (EBSCO Publishing)
our business and which are important to our diverse stakeholder groups. Since launching the initiative, we have focused on
sharing our content with those in need, enhancing community philanthropy, reducing our carbon impact, creating global
Studies on Women & Gender Abstracts (T&F)
guidelines and best practices for paper use, establishing a vendor code of ethics, and engaging our colleagues and other stake- Worldwide Political Sciences Abstracts (ProQuest)
holders in our efforts. Follow our progress at www.wiley.com/go/citizenship The Journal is also available on JSTOR, with a 5 year “moving wall.”
AIMS AND SCOPE The American Journal of Economics and Sociology (AJES) was founded in 1941, with support from the
Robert Schalkenbach Foundation, to encourage the development of transdisciplinary solutions to social problems. In the journal’s
first issue, John Dewey commended this journal for its intention to promote “synthesis in the social field.” In order to develop
a more synthetic approach to practical problems, the AJES board has decided to publish five thematic issues each year, with
each issue devoted to a specific problem, condition, or methodological controversy.
In keeping with its origins, the ideas of the American economic and social philosopher Henry George (1839–1897) will receive
special consideration. Although George is best known for his views on taxation and concentrated land ownership, he also held
prescient views on topics such as racial equality, governance, and theories of history. As these examples indicate, George was
concerned with the human condition and the ways in which institutions support or undermine the full flourishing of the human
spirit. That orientation will guide the selection of issues for the journal.
ABSTRACTING AND INDEXING SERVICES For A&I services please visit the journal homepage at www.wileyonlinelibrary.
com/journal/AJES.
Printed in Singapore by Markono Print Media Pte Ltd
ISSN 0002-9246 (Print)
ISSN 1536-7150 (Online)
For submission instructions, subscription and all other information visit: www.wileyonlinelibrary.com/journal/AJES
The American Journal of Economics and Sociology accepts articles for Open Access publication. Please visit https://authorser-
vices.wiley.com/author-resources/Journal-Authors/open-access/onlineopen.html for further information about OnlineOpen.

AJES_v78_i1_cover.indd C2 16-01-2019 12:38:11

 V78
N01
1/19

THE AMERICAN JOURNAL OF ECONOMICS AND SOCIOLOGY

Published QUARTERLY with an
ANNUAL SUPPLEMENT in the The Growing Failure of the
Neoclassical Paradigm in Economics
interest of constructive synthesis in Edited by Alberto Ruiz-Villaverde

the social sciences. This publication

sets no ideological standards for its
collaborators or contributors. It
affords contributors the widest
freedom consistent with scientific
VOLUME 78
integrity as defined by the American
NUMBER 1
professional learned societies in the
fields it covers. JANUARY 2019

AJES_v78_i1_cover.indd C1 16-01-2019 12:38:11