Marshall on mind and society: neurophysiological models applied to industrial and business organization

The paper examines Marshall's views on industrial organization in the light of his early interest in mental philosophy: routines are necessary for the functioning not only of mind but also of society, though in both cases they enhance the dangers of excessive specialization and 'overburdening'. Marshall's ideal mix, already clear in his early paper Ye Machine, was the subordination of a powerful and growing set of routines to human creativity and foresight. The 'neurophysiological analogy' helps to understand Marshall's opinions on division of labour, business concentration, industrial districts, 'character' and other general issues of social evolution.