“Every System of Scientific Theory Involves Philosophical Assumptions” (Talcott Parsons). The Surprising Weberian Roots to Milton Friedman’s Methodology

Abstract

The main point of this paper is to contribute to understanding Milton Friedman’s 1953 “The Methodology of Positive Economics” (hereafter F1953), one of the most influential statements of economic methodology of the twentieth century, and, in doing so, help discern the non trivial but complex role of philosophic ideas in the shaping of economic theorizing and economists’ self-conception.¹ It also aims to contribute to a better understanding of the theoretical origins of the socalled ‘Chicago’ school of economics.