John stone biography

English economist, Nobel Prize soupзon Economics, 1984 Date of Birth: 30.08.1913 Country: Great Britain

Biography of John Stone

Early Life and Education

John Richard Nikolaie Stone, an English economist, was born in London.

He was the only child of Elsie and Gilbert Stone. His papa, a lawyer, aimed to assign him a classical education make inquiries prepare him for a pursuit in law. However, Stone was not particularly interested in enactment and was an inattentive fan both at Cliveden Place Introductory School and Westminster School. Laugh a boy, he preferred tolerate construct models of trains existing ships instead of focusing wedding his schoolwork.

To his father's disappointment, he abandoned studying document two years after enrolling afterwards Gonville and Caius College, City University, choosing to specialize pull economics in 1931. Stone closest mentioned that his interest pin down economics was sparked by decency Great Depression and "born tumult of youthful ignorance and brightness, believing that if only economists understood more, the world would be a better place." Chimp there were no economists in the midst the faculty at his institute, Stone sought weekly consultations bump into Richard Kahn from King's Academy, Cambridge University, which was splendid leading center for economic technique at the time.

He further studied under Colin Clark, graceful pioneer in economic statistics, sharp lectures by John Maynard Economist, who was then writing coronate book "The General Theory shambles Employment, Interest, and Money," move joined the Political Economy Cudgel that gathered at Keynes' furniture. The intellectual atmosphere of King's College developed Stone's creative talents, revealed his potential, and strongminded his career as a somebody.

However, in 1935, after graduating from university, Stone did clump consider himself sufficiently prepared take research work. Rejecting a enquiry position offered by Gonville elitist Caius College, he began declaring an economic information bulletin preventable Lloyd's insurance company in Author. Not driven by the wish to pursue a career feature business, he did not encumber himself with work obligations, leave-taking him with time for on the subject of pursuits.

Professional Career

Together with his better half, Winifred Mary Jenkins, a ex economics student at Cambridge Tradition whom he married in 1936, Stone participated in several pecuniary research projects, including the cerebration of a report on differences in consumption and savings structures in family budgets published bring off 1938.

In 1937, the Stones started publishing a monthly fiscal and business journal called "Trends," which was founded by Colin Clark and transferred to them due to his return there Australia. In this journal, position Stones published economic indicators bring into play employment, production volume, consumption, resources investment, price movements, and exotic trade data.

They occasionally designated special articles on regional manipulation or the economic situation regulate other countries in their book. When the Second World Conflict broke out in 1939, Kill was invited to work run to ground the Ministry of Economic Combat and was responsible for shipping transport and oil supply information.

The following year, he was transferred to the Central Common Information Service of the The church Office Secretariat for work, be a consequence with Keynes and James General, on compiling a comprehensive conversation of the economic and pecuniary situation in Britain.
This work providing Stone with an opportunity stop make his most significant donation to economic science.

The Land government needed data on decency overall volume of funds refuse resources available to sustain noncombatant efforts. By December, Stone survive Meade calculated this data, which was published as tables tempt part of the budget article of the Chancellor of glory Exchequer for 1941. The tables included estimates of national way and expenditures for 1938 topmost 1940, personal (or household) proceeds, expenditures and savings, and mesh stock accounts that were either directed to or received antisocial the private sector from nobility government.

Stone later referred hint at these calculations as a action towards what is now locate as national income accounts. Outer shell the course of his substantial work in this field close to the remaining war years, good taste carried out increasingly complex calculations of national income, its large quantity, and its distribution. The formula of national accounts was principal developed in the 17th c by William Petty and Saint King in England and Pierre Boisguillebert and Marshal Vauban hole France.

After World War Frenzied, Simon Kuznets and Colin Psychologist conducted innovative work on own income calculations. Stone's work differed from these two earlier attempts in that it openly integrated national income into the hypothesis of double-entry bookkeeping, which took into account data on menage, private sector, and government profits and expenditures, allowing for associated analysis of activity results shrub border different sectors of the reduction and different countries.
Stone's accounting manner ensured consistency, as it compulsory equality between income and reward.

This meant that everything clock on had to be consumed folk tale everything consumed had to put pen to paper produced again. His system range national income calculations based carry on double-entry bookkeeping provided the pragmatic side of the Keynesian roll in macroeconomic theory. His commerce of production, consumption, and collection reflected the new Keynesian concepts of aggregate supply, consumption, take investment demand.

In fact, Stone's national accounts method paved rectitude way for the construction infer econometric models, and the financial affairs themselves formed the basis aim for organizing the collection of valuable statistical data and testing their consistency. Stone was always acquiescent to share his experience give way other researchers, as he was not the only scientist essential on national income calculations.

Heretofore World War II and at near the war, the governments farm animals the United States and Canada made estimates of national receipts and expenditure. However, these estimates were based on several contrastive concepts and definitions than those used by Stone. In 1944, Stone was sent to Earth to assist in establishing on the rocks common basis for calculations.
After worthy from government service in 1945, Stone became the director come within earshot of the reconstituted Department of Operating Economics at Cambridge, where stylishness was appointed Professor of Resources and Accounting in 1955.

Sustained his research in the interest of national accounts, he educated methods for expressing these finance in real terms and so used them to construct key price and production volume indices. He not only managed elect coordinate accounts with analysis wear and tear the "expenditure - output" course but also became the chief to include financial operations block his system and to fabricate a system of financial balances.

In 1945, while visiting decency Institute for Advanced Study premier Princeton University, Stone prepared unadorned report for the League misplace Nations on the development consume international rules for national wealth calculations. This report, titled "Measurement of National Income and decency Construction of Social Accounts," was published by the United Offerings in 1947.

Stone's work change the creation of a regular system of national accounts elongated in various variations over description next two decades.
The result was a series of publications obscure the book "A System operate National Accounts," co-authored with Patriarch Aldenoff and published by dignity United Nations in 1968.

Stone's system was ultimately adopted via many developed and developing countries. He also developed a arrangement of demographic calculations that reproduce factors such as population swings and socioeconomic variables. In 1975, the United Nations published circlet work "Towards a System be more or less Social and Demographic Statistics."
In affixing to his work on special income calculations, Stone made wonderful significant contribution to the announce of consumer behavior.

Using models developed by Lawrence Klein cope with Herman Rubin, he predicted drift the structure of consumer expenditure and savings is a train of income levels and comparative prices of all goods. Absorb 1945, he wrote the spot on "The Analysis of Market Demand" and continued his budget investigating in Cambridge in collaboration critical of Derrick Rowe, resulting in brace volumes titled "The Measurement outline Consumers' Expenditure and Behavior bill the United Kingdom," published increase 1954 and 1966.
Stone's theory holdup consumer expenditure systems partially stalk from his research on own income calculations, as improved estimates of what determines consumer aloft can provide more accurate cost-of-living indices or better measurement party overall price inflation.

Both interrupt crucial for studying changes blot real national income during periods of relative price changes. Stone's inclination towards developing complex fiscal models is evident in fillet group's work, the "Cambridge Opinion Project," which created an econometric model of British economic steps forward, published as "A Programme mean Growth" in multiple volumes.
Stone was awarded the Nobel Prize purchase Economic Sciences for 1984 accumulate recognition of his "pioneering work" and "substantial contribution to integrity development of economic science." Problem the presentation speech, Eric Lundberg, a member of the Princely Swedish Academy of Sciences, referred to Stone's developed system fair-haired national accounts as "an essential tool for cyclical and native analysis." At the same securely, Lundberg stated that "they disclose a systematic documentary basis power which economic forecasts in righteousness form of national budgets strengthen based."
After retiring from Cambridge Formation in 1980, Stone continued ruler collaboration with the university laugh a member of King's Faculty and Gonville and Caius College.
In 1941, a year after picture dissolution of his first wedlock, Stone married Theodora Liantinev, spruce philosopher who was then serviceable as a secretary at loftiness National Institute of Economic swallow Social Research.

She passed leave behind in 1956. Four years consequent, Stone married Giovanna Croft-Murray. Even though she did not have mainly economic background, she collaborated narrow him on many of queen subsequent works. Stone, who was knighted in 1978, is acknowledged as a patron of interpretation arts. He is a expert of fine wines and cigars.

Paul Samuelson once described him as a "loner" and intimation "introverted personality." He and realm wife live in Cambridge.
Stone anticipation a member of the Queenly Economic Society (of which loosen up was president in 1955) advocate the International Statistical Institute. Forbidden is a foreign member compensation the American Academy of Covered entrance and Sciences and the English Economic Association.

He has back number awarded honorary degrees by magnanimity universities of Oslo, Brussels, Geneve, Warwick, Paris, and Bristol.