Frank Knight

Date of Birth: November 7, 1885

Zodiac Sign: Scorpio

Date of Death: April 15, 1972

Biography

Frank Hyneman Knight was a pioneering American economist and one of the founders of the Chicago School of Economics. Born in 1885 in White Oak Township, McLean County, Illinois, Knight made significant contributions to the field of economics, particularly through his work on risk, uncertainty, and profit. He earned his Ph.D. from Cornell University in 1916, where he wrote his influential dissertation, later published as “Risk, Uncertainty, and Profit” in 1921. Knight began his academic career at the University of Iowa before moving to the University of Chicago in 1927, where he spent most of his career. He was known for his critical views on both socialism and laissez-faire capitalism, advocating instead for a balanced approach that recognized the limitations and strengths of both systems. Knight’s work laid the foundation for future economists like Milton Friedman and George Stigler. He was also a founding member of the Mont Pelerin Society, an international neoliberal organization.

5 Interesting Facts about Frank Knight

1. Frank Knight’s book “Risk, Uncertainty, and Profit” is considered a seminal work in economic theory, distinguishing between calculable risks and unmeasurable uncertainties.

2. Knight was a professor who significantly influenced the Chicago School of Economics, mentoring several Nobel laureates in Economics.

3. He was a founding member of the Mont Pelerin Society, which aimed to promote classical liberal ideas across the world.

4. Knight was critical of both socialism and unregulated capitalism, advocating for a mixed economic approach.

5. He was awarded the Francis A. Walker Medal in 1957 for his contributions to economics, the highest honor given by the American Economic Association.

5 Most Interesting Quotes from Frank Knight

1. “The chief thing which the common-sense individual can do to improve the world is to improve himself.”

2. “All science is static in the sense that it describes the unchanging aspects of things.”

3. “Progress is not an illusion; it happens, but it is slow and invariably disappointing.”

4. “The truth is that the want of an adequate theory on any subject is always felt as a lack; and where there is no need for a theory, there is no need for any language.”

5. “The best things in life are never rationed. Friendship, loyalty, love, do not require coupons.”

Highest Net Worth Achieved

Frank Knight’s work as an economist did not make him wealthy by modern standards. The highest net worth he achieved was modest and primarily derived from his academic positions and publications.