George, Wicksell and Gaffney: a three‐factor model of the boom and bust cycle

The purpose of this paper is to compare and contrast three‐factor models of boom and bust from Henry George, Knut Wicksell and Mason Gaffney.

The approach takes the form of an analysis and discussion and mathematical appendix.

It was found that gaffney modifies and incorporates features of both George and Wicksell into his own model.

The works of George, Wicksell and Gaffney are highly relevant, especially given the current economic crisis.

The paper should be useful both to historians of economic thought and contemporary economists. It brings together ideas that have been neglected in recent years, and contributes to the understanding of economic crises.