Richard Theodore Ely (April 13, 1854 – October 4, 1943) was an American
economist
An economist is a professional and practitioner in the social sciences, social science discipline of economics.
The individual may also study, develop, and apply theories and concepts from economics and write about economic policy. Within this ...
, author, and leader of the
Progressive movement who called for more
government intervention
A market intervention is a policy or measure that modifies or interferes with a market, typically done in the form of state action, but also by philanthropic and political-action groups. Market interventions can be done for a number of reas ...
to reform what it saw as the injustices of
capitalism
Capitalism is an economic system based on the private ownership of the means of production and their use for the purpose of obtaining profit. This socioeconomic system has developed historically through several stages and is defined by ...
, especially regarding factory conditions, compulsory education,
child labor
Child labour is the exploitation of children through any form of work that interferes with their ability to attend regular school, or is mentally, physically, socially and morally harmful. Such exploitation is prohibited by legislation w ...
, and
labor union
A trade union (British English) or labor union (American English), often simply referred to as a union, is an organization of workers whose purpose is to maintain or improve the conditions of their employment, such as attaining better wages ...
s.
Ely is best remembered as a founder and the first Secretary of the
American Economic Association
The American Economic Association (AEA) is a learned society in the field of economics, with approximately 23,000 members. It publishes several peer-reviewed journals, including the Journal of Economic Literature, American Economic Review, an ...
, as a founder and secretary of the Christian Social Union, and as the author of a series of widely read books on the
organized labor movement,
socialism
Socialism is an economic ideology, economic and political philosophy encompassing diverse Economic system, economic and social systems characterised by social ownership of the means of production, as opposed to private ownership. It describes ...
, and other social issues. He also promoted views on eugenics, redlining, and
race suicide.
Biography
Early years
Ely was born in 1854 in
Ripley,
New York, the oldest child of Ezra Sterling and Harriet Gardner (Mason) Ely.
He grew up on his family's 90-acre farm near
Fredonia, New York
Fredonia is a village in Chautauqua County, New York, United States. The population was 9,871 as of the 2020 census. Fredonia is in the town of Pomfret south of Lake Erie. The village is the home of the State University of New York at Fredonia ...
, carrying wood, milking cows, churning butter, and picking rock in the fields. He later recalled that life on the farm taught him much.
Richard's father was a self-taught engineer, and young Richard helped him lay out a railroad in
Pennsylvania
Pennsylvania, officially the Commonwealth of Pennsylvania, is a U.S. state, state spanning the Mid-Atlantic (United States), Mid-Atlantic, Northeastern United States, Northeastern, Appalachian, and Great Lakes region, Great Lakes regions o ...
.
[ But Richard's father was not a successful farmer, relying too much on questionable ideas from popular farm magazines rather than local experience. Fluctuating prices further complicated farming.][
Richard's father was a devout ]Presbyterian
Presbyterianism is a historically Reformed Protestant tradition named for its form of church government by representative assemblies of elders, known as "presbyters". Though other Reformed churches are structurally similar, the word ''Pr ...
who avoided tobacco, allowed no work or play on Sunday, and refused to grow hops
Hops are the flowers (also called seed cones or strobiles) of the hop plant ''Humulus lupulus'', a member of the Cannabaceae family of flowering plants. They are used primarily as a bittering, flavouring, and stability agent in beer, to whic ...
because they would have been used to make beer. Yet he read poetry and studied Latin. Ely's mother painted and taught art in the local teachers' college. Ely transferred his affiliation to the Episcopal Church in college, and through his life remained devout and active.[
]
Education and career
Ely attended Columbia University
Columbia University in the City of New York, commonly referred to as Columbia University, is a Private university, private Ivy League research university in New York City. Established in 1754 as King's College on the grounds of Trinity Churc ...
in New York City
New York, often called New York City (NYC), is the most populous city in the United States, located at the southern tip of New York State on one of the world's largest natural harbors. The city comprises five boroughs, each coextensive w ...
, from which he received a bachelor's degree
A bachelor's degree (from Medieval Latin ''baccalaureus'') or baccalaureate (from Modern Latin ''baccalaureatus'') is an undergraduate degree awarded by colleges and universities upon completion of a course of study lasting three to six years ...
in 1876 and a master's degree
A master's degree (from Latin ) is a postgraduate academic degree awarded by universities or colleges upon completion of a course of study demonstrating mastery or a high-order overview of a specific field of study or area of professional prac ...
in 1879. The same year, he received a Doctor of Philosophy
A Doctor of Philosophy (PhD, DPhil; or ) is a terminal degree that usually denotes the highest level of academic achievement in a given discipline and is awarded following a course of Postgraduate education, graduate study and original resear ...
degree in economics
Economics () is a behavioral science that studies the Production (economics), production, distribution (economics), distribution, and Consumption (economics), consumption of goods and services.
Economics focuses on the behaviour and interac ...
from the University of Heidelberg
Heidelberg University, officially the Ruprecht Karl University of Heidelberg (; ), is a public university, public research university in Heidelberg, Baden-Württemberg, Germany. Founded in 1386 on instruction of Pope Urban VI, Heidelberg is List ...
, where he studied with Karl Knies, who belonged to the historical school of economics
The German historical school of economics was an approach to academic economics and to public administration that emerged in the 19th century in Germany, and held sway there until well into the 20th century. The professors involved compiled massi ...
, and Johann Kaspar Bluntschli. He also received a Doctorate of Laws from Hobart College in 1892.
Ely was a professor and head of the political economy
Political or comparative economy is a branch of political science and economics studying economic systems (e.g. Marketplace, markets and national economies) and their governance by political systems (e.g. law, institutions, and government). Wi ...
department at Johns Hopkins University
The Johns Hopkins University (often abbreviated as Johns Hopkins, Hopkins, or JHU) is a private university, private research university in Baltimore, Maryland, United States. Founded in 1876 based on the European research institution model, J ...
from 1881 to 1892.
In 1885, Ely was a founder of the American Economic Association
The American Economic Association (AEA) is a learned society in the field of economics, with approximately 23,000 members. It publishes several peer-reviewed journals, including the Journal of Economic Literature, American Economic Review, an ...
, serving until 1892 as the group's Secretary. He also served a term as president of the organization from 1899 to 1901. The AEA Distinguished Lecture series was formerly known as the Richard T. Ely Lecture; it was renamed in 2020. Ely also founde
Lambda Alpha International
in 1930. Its purposes included the encouragement of the study of land economics at universities; the promotion of a closer affiliation between its members and the professional world of land economics; and the furtherance of the highest ideals of scholarship and honesty in business and the universities. Ely is known as the "Father of Land Economics".
In April 1891, Ely was a founder and the first Secretary of the Christian Social Union, a membership organization advocating the application of Christian
A Christian () is a person who follows or adheres to Christianity, a Monotheism, monotheistic Abrahamic religion based on the life and teachings of Jesus in Christianity, Jesus Christ. Christians form the largest religious community in the wo ...
principles to social problems.
From 1892 until 1925, he was professor of Political Economy and director of the School of Economics, Political Science, and History at the University of Wisconsin–Madison
The University of Wisconsin–Madison (University of Wisconsin, Wisconsin, UW, UW–Madison, or simply Madison) is a public land-grant research university in Madison, Wisconsin, United States. It was founded in 1848 when Wisconsin achieved st ...
. In 1894, Oliver Elwin Wells, Superintendent of Public Instruction of Wisconsin and ''ex officio'' member of the University's Board of Regents, attempted to expel Ely from his chair at Wisconsin for purportedly teaching socialistic doctrines. This effort failed, with the Wisconsin
Wisconsin ( ) is a U.S. state, state in the Great Lakes region, Great Lakes region of the Upper Midwest of the United States. It borders Minnesota to the west, Iowa to the southwest, Illinois to the south, Lake Michigan to the east, Michig ...
state Board of Regents
In the United States, a board often governs institutions of higher education, including private universities, state universities, and community colleges. In each US state, such boards may govern either the state university system, individual co ...
issuing a ringing proclamation in favor of academic freedom
Academic freedom is the right of a teacher to instruct and the right of a student to learn in an academic setting unhampered by outside interference. It may also include the right of academics to engage in social and political criticism.
Academic ...
, acknowledging the necessity of freely " sifting and winnowing" competing claims.
In 1906, Ely co-founded the American Association for Labor Legislation (AALL) with other economists.
In 1925, Ely moved to Northwestern University
Northwestern University (NU) is a Private university, private research university in Evanston, Illinois, United States. Established in 1851 to serve the historic Northwest Territory, it is the oldest University charter, chartered university in ...
in Chicago
Chicago is the List of municipalities in Illinois, most populous city in the U.S. state of Illinois and in the Midwestern United States. With a population of 2,746,388, as of the 2020 United States census, 2020 census, it is the List of Unite ...
, where he accepted a position as professor of economics. He remained at Northwestern until retiring in 1933.
Political views
Although regarded as a radical by his detractors on the political right, Ely in fact opposed socialism. "I condemn alike," he declared, "that individualism that would allow the state no room for industrial activity, and that socialism which would absorb in the state the functions of the individual." He argued that socialism was not needed, and "the alternative of socialism is our complex socio-economic order, which is based, in the main, upon private property." He warned that the proper "balance between private and public enterprise" is "menaced by socialism, on the one hand, and by plutocracy
A plutocracy () or plutarchy is a society that is ruled or controlled by people of great wealth or income. The first known use of the term in English dates from 1631. Unlike most political systems, plutocracy is not rooted in any established ...
, on the other."
Ely's critique of socialism made him a political target of the socialists themselves. In his 1910 book ''Ten Blind Leaders of the Blind'', Arthur Morrow Lewis acknowledged that Ely was a "fair opponent" who had "done much to obtain a hearing for ocialism among the unreasonable", but charged he was merely one of those "bourgeois intellectuals" who were "not sufficiently intellectual to grasp the nature of our position."
Ely was a product of the German historical school with an emphasis on evolution to new forms, and never accepted the marginalist revolution that was transforming economic theory in Britain and the U.S. He was strongly influenced by Herbert Spencer
Herbert Spencer (27 April 1820 – 8 December 1903) was an English polymath active as a philosopher, psychologist, biologist, sociologist, and anthropologist. Spencer originated the expression "survival of the fittest", which he coined in '' ...
and strongly favored competition over monopoly
A monopoly (from Greek language, Greek and ) is a market in which one person or company is the only supplier of a particular good or service. A monopoly is characterized by a lack of economic Competition (economics), competition to produce ...
or state ownership
State ownership, also called public ownership or government ownership, is the ownership of an Industry (economics), industry, asset, property, or Business, enterprise by the national government of a country or State (polity), state, or a publi ...
, with regulation to "secure its benefits" and "mitigate its evils". What was needed was "to raise its moral and ethical level." But whereas Spencer believed that free competition was best served by deregulation and a smaller state, Ely believed that more regulation and a more interventionist state was the policy to follow. Also on social Darwinism
Charles Darwin, after whom social Darwinism is named
Social Darwinism is a body of pseudoscientific theories and societal practices that purport to apply biological concepts of natural selection and survival of the fittest to sociology, economi ...
, Spencer believed that the state should not get involved in supporting one ethnic group over another, while Ely believe the state should support white " Nordic" people against people of other races (in line with the opinions of his colleagues at the University of Wisconsin, Edward Alsworth Ross and Charles R. Van Hise).
Ely favored eugenics
Eugenics is a set of largely discredited beliefs and practices that aim to improve the genetic quality of a human population. Historically, eugenicists have attempted to alter the frequency of various human phenotypes by inhibiting the fer ...
, arguing the "unfit" should be kept from reproducing. He argued that blacks were "for the most part grownup children, and should be treated as such." Ely was an advocate for redlining
Redlining is a Discrimination, discriminatory practice in which financial services are withheld from neighborhoods that have significant numbers of Race (human categorization), racial and Ethnic group, ethnic minorities. Redlining has been mos ...
(which entails racial segregation and discrimination in real estate), and has been considered influential in the institutionalization of redlining practices in the United States.
Ely did support labor unions and opposed child labor, as did many leaders of the Progressive Movement, and also some conservatives, such as Mark Hanna. Ely was close to the Social Gospel movement, emphasizing that the Gospel of Christ applied to society as a whole, not merely individuals; he worked hard to convince churches to advocate on behalf of workers. Ely strongly influenced his friend Walter Rauschenbusch, a leading spokesman for the Social Gospel.
During World War I
World War I or the First World War (28 July 1914 – 11 November 1918), also known as the Great War, was a World war, global conflict between two coalitions: the Allies of World War I, Allies (or Entente) and the Central Powers. Fighting to ...
, Ely worked to build popular support for the American war effort, taking part in the activities of the League to Enforce Peace. He headed the committee of arrangements for a "Win the War Convention" held in Madison on November 8–10, 1918. Ely's political activities during World War I included his campaign against Senator Robert M. La Follette. Though a Progressive, La Follette did not support the war, and so Ely regarded him as unfit for office. Ely tried to have him removed from the United States Senate
The United States Senate is a chamber of the Bicameralism, bicameral United States Congress; it is the upper house, with the United States House of Representatives, U.S. House of Representatives being the lower house. Together, the Senate and ...
and end his influence in Wisconsin politics.
Ely edited Macmillan's ''Citizen's Library of Economics, Politics, and Sociology'' and ''Social Science Textbook Series'' and Crowell's ''Library of Economics and Politics''. He was a frequent contributor to periodical literature, both scientific and popular.
Death and legacy
Richard Ely died in Old Lyme, Connecticut
Old Lyme is a coastal town in New London County, Connecticut, United States, bounded on the west by the Connecticut River, on the south by the Long Island Sound, on the east by the town of East Lyme, and on the north by the town of Lyme. The town ...
, on October 4, 1943, and was buried at Forest Hill Cemetery in Madison. A large portion of his library was purchased by Louisiana State University
Louisiana State University and Agricultural and Mechanical College, commonly referred to as Louisiana State University (LSU), is an American Public university, public Land-grant university, land-grant research university in Baton Rouge, Louis ...
and is now a part of LSU's Special Collections division. Ely's papers are housed at the Wisconsin Historical Society
The Wisconsin Historical Society (officially the State Historical Society of Wisconsin) is simultaneously a state agency and a private membership organization whose purpose is to maintain, promote and spread knowledge relating to the history of ...
.
The American Economic Association instituted the annual "Richard T. Ely Lecture" in 1960 in his memory, which, unlike the Association's other honors, is open to non-American economists. It was renamed the AEA Distinguished Lecture series in 2020.
His former home, now known as the Richard T. Ely House, is on the National Register of Historic Places
The National Register of Historic Places (NRHP) is the Federal government of the United States, United States federal government's official United States National Register of Historic Places listings, list of sites, buildings, structures, Hist ...
.
The television series ''Profiles in Courage'' did an episode in 1964 titled "Richard T. Ely" about the "sifting and winnowing" incident. Ely was played by Dan O'Herlihy
Daniel Peter O'Herlihy (1 May 1919 – 17 February 2005) was an Irish actor. His best-known roles included his Oscar-nominated portrayal of the title character in Luis Buñuel's ''Robinson Crusoe'' (1954), Brigadier General Warren A. Black in ...
; Wells by Edward Asner; and Ely's attorney, former Congressman Burr Jones, by Leonard Nimoy
Leonard Simon Nimoy ( ; March 26, 1931 – February 27, 2015) was an American actor and director, famous for playing Spock in the ''Star Trek'' franchise for almost 50 years. This includes Development of Spock, originating Spock in Star Trek: T ...
.
Works
''French and German Socialism in Modern Times.''
New York: Harper & Brothers, 1883.
''The Past and Present of Political Economy.''
(contributor) Baltimore, MD: Johns Hopkins University, 1884.
''Recent American Socialism.''
Baltimore, MD: Johns Hopkins University, 1885.
''The Labor Movement in America.''
New York: Thomas Y. Crowell & Co., 1886.
''Taxation in American States and Cities.''
New York: Thomas Y. Crowell & Co., 1888.
''Problems of Today: A Discussion of Protective Tariffs, Taxation, and Monopolies.''
(1888). Revised and enlarged edition. New York: Thomas Y. Crowell & Co., 1890.
Introduction to Political Economy.''
New York: Chautauqua Press, 1889.
''Social Aspects of Christianity, and Other Essays.''
New York: Thomas Y. Crowell & Co., 1889.
''The Universities and the Churches: An Address Delivered at the 31st University Convocation, State Chamber, Albany, New York, July 5, 1893.''
Albany: State University of New York, 1893.
''Outlines of Economics.''
New York: Flood and Vincent, 1893.
''Socialism: An Examination of Its Nature, Its Strength and Its Weakness.''
(1894) New York: Thomas Y. Crowell & Co., 1895. —Reissued as ''The Strength and Weakness of Socialism.''[Ramage, B.J., ‘Dr. Ely on Social Reform’, ''The Sewanee Review'' 3 (1894), pp. 105-110.]
''The Social Law of Service.''
New York: Eaton and Mains, 1896.
''Monopolies and Trusts.''
New York: Macmillan, 1900.
''The Coming City.''
New York: Thomas Y, Crowell & Co., 1902.
''Studies in the Evolution of Industrial Society.''
New York: Macmillan, 1903.
''Elementary Principles of Economics: Together with a Short Sketch of Economic History.''
With G.R. Wicker. New York: Macmillan, 1904.
* ''Property and Contract in their Relation to the Distribution of Wealth.'' In two volumes. New York: Macmillan, 1914
Volume 1
Volume 2
"Private Colonization of Land,"
offprint from ''American Economic Review.'' Madison, WI: Office of the Secretary of the American Association of Agricultural Legislation, Sept. 1918.
* ''Elements of Land Economics.'' With Edward Ward Morehouse. New York: Macmillan, 1924.
* ''Hard Times: The Way In and the Way Out: With a Special Consideration of the "Seen and the Unseen."'' New York: Macmillan, 1932.
* ''The Great Change: Work and Wealth in the New Age.'' With Frank Bohn. New York: Thomas Nelson and Sons, 1935.
* ''Ground Under Our Feet: An Autobiography.'' New York: Macmillan, 1938.
* ''Land Economics.'' With G.S. Wehrwein. New York: Macmillan, 1941.
See also
* Social democracy
Social democracy is a Social philosophy, social, Economic ideology, economic, and political philosophy within socialism that supports Democracy, political and economic democracy and a gradualist, reformist, and democratic approach toward achi ...
References
Further reading
* Sidney Fine, "Richard T. Ely, Forerunner of Progressivism, 1880–1901," ''The Mississippi Valley Historical Review.'' vol. 37, no. 4 (March 1951)
in JSTOR
* Robert J. Gough
"Richard T. Ely and the Development of the Wisconsin Cutover"
''Wisconsin Magazine of History'', vol. 75, no. 1 (Autumn 1991), pp. 2–38.
* Arthur M. Lewis
''Ten Blind Leaders of the Blind.''
Chicago: Charles H. Kerr & Co., 1910. See "Chapter 4: Richard T. Ely," pp. 65–82.
* Benjamin G. Rader, "Richard T. Ely: Lay Spokesman for the Social Gospel," ''Journal of American History,'' vol. 53, no. 1 (June 1966)
in JSTOR
* Theron F. Schlabach
"An Aristocrat on Trial: The Case of Richard T. Ely"
''Wisconsin Magazine of History'', vol. 47, no. 2 (Winter 1963–64), pp. 140–159.
"Richard T. Ely's Social Creed,"
''Literary Digest,'' vol. 10, no. 1, whole no. 237 (Nov. 3, 1894), pp. 5–6.
External links
Guide to Ely's papers at Wisconsin Historical Society
{{DEFAULTSORT:Ely, Richard T.
1854 births
1943 deaths
19th-century American Episcopalians
20th-century American Episcopalians
American economics writers
American male non-fiction writers
Burials at Forest Hill Cemetery (Madison, Wisconsin)
Columbia College (New York) alumni
Converts to Anglicanism from Presbyterianism
Economists from Illinois
Economists from New York (state)
Heidelberg University alumni
Johns Hopkins University faculty
Labor historians
People from Ripley, New York
Presidents of the American Economic Association
University of Wisconsin–Madison faculty
Writers from Chicago
Writers from New York (state)
Writers from Wisconsin