Davenport on the economics of Alfred Marshall

The Economics of Alfred Marshall, by Davenport, suffers from (1) an erroneous method in the criticism of what is confessedly a formal technique of analysis and not a body of knowledge, (2) lack of understanding of the practical intent and characteristic functional conceptualization of Marshall's theory, (3) an inadequate appreciation by Davenport of the limitations of his own theory. The chapter on "Interest" is by far the most valuable, but suffers from lack of discrimination between the static and dynamic levels of analysis. Social radicals who are attracted to Davenport's criticism of classical economics are untrue to their own prejudices. That criticism finds its emphasis in the repudation of the dualism of rents and costs- a dualism which is predicted on the recognition of the phenomenon of economic exploitation, or, as Marshall puts it, the private receipt of public value.