Sir John R. HicksArticle Free Pass Sir John R. Hicks, in full
Sir John Richard Hicks (born April 8, 1904, Leamington Spa,
Warwickshire, England—died May 20, 1989, Blockley,
Gloucestershire), English economist who made pioneering
contributions to general economic equilibrium theory and, in
1972, shared (with Kenneth J. Arrow) the Nobel Prize for
Economics. He was knighted in 1964. Hicks made major
contributions to many areas of 20th-century economics; four, in
particular, stand out. First, he showed that, contrary to what
Karl Marx had believed, labour-saving technological progress
does not necessarily reduce labour’s share of the income.
Second, he devised a diagram—the IS-LM diagram—that graphically
depicts John M. Keynes’s conclusion that an economy can be in
equilibrium with less-than-full employment. Third, through his
book Value and Capital (1939), Hicks showed that much of what
economists believe about value theory (the theory about why
goods have value) can be reached without the assumption that
utilit