American economists and the high cost of living: The late progressive era

In the years immediately preceding World War I, American economists indicated their intense concern with the problems of high and rising prices. Despite disagreements over the role of monetary phenomena in causing inflation, most observers saw it as a serious problem and considered the middle class its chief victim. However, more recent work indicates that the rise in prices was quite moderate and that middle income groups probably suffered less than others. This suggests that anxieties about the future of middle class careers, values, and family life influenced economists' theorizing about inflation. Rising prices seemed to threaten the doctrine of success through individual effort, thrift and restraint in consumption, and a patriarchal family structure. The article traces the ways in which many leading economists displayed these concerns in their discussions of inflation and the cost of living.