John Hicks is acclaimed as one of the most important and influential economists of the twentieth century. This new edition provides an insight into the evolutionary journey of Hicks' ideas and work, and demonstrates how his analysis has helped to extend and transform economic theory. Since the first edition of his book, originally published in 1932, Hicks' ideas on the theory of wages had changed drastically. In 1963, to meet continuing demand, Hicks reissued a new edition that included original articles and a commentary reviewing the chapters from a new standpoint. This comprehensive volume marks Hicks' revolutionary thinking about wages, providing some important developments in economic theory. It includes discussions on the reformulation of marginal productivity theory, the introduction of the elasticity of substitution as an analytical tool, and an examination of wage regulation and unemployment, and the growth of trade union power.

This book is indispensable reading for all interested in history in economic thought and labor economics.