Pure Time-Preference Theory of Interest, The

14 15 16 17 so, he peevishly deleted this discussion from the second edition of
his Principles ofEconomics.14 Böhm-Bawerk's Capital and Interest (1884) is the
locus classicus of the time–preference theory of interest. In his first, historical
volume, he demolished all other theories, in particular the productivity theory of
interest; but five years later, in his Positive Theory of Capital (1889), Böhm-
Bawerk brought back the productivity theory in an attempt to combine it with a
time-preference ...