REVIEWS.
Science of Statistics. Part II, "Statistics and Economics." By RICHMOND MAYO-SMITH, Pn.D. New York : The Macmillan Co.
HAVING in Part I, " Statistics and Sociology," considered statistics in their application to social phenomena, the author in the present work undertakes their application to economic phenomena, which, he declares, are but a part of the social, that cannot be separated from the non-economic by any fast and sharp lines. Stating the method and scope of the work in the introduction, he says :
The function of economic statistics, therefore, is to verify theory, and, at the same time, to furnish data for the guidance of economic policy or prac- tice.
With this purpose in view we have arranged the statistics according to the categories of economic analysis, viz.: consumption and production, exchange, distribution, and the various subdivisions. In each chapter we have in addi- tion, under the head of "Economic Purpose," considered the topics of theory and practice upon which the statistical method seems fitted to throw light. Then, under the head of " Statistical Data," we have given the statistics them- selves, criticised methods under the head of " Scientific Tests," and given what seem valid conclusions.
Maintaining the value of statistics in confirming economic theory, this author, chapter after chapter, furnishes cumulative reasons for rejecting the statistical method, at least for rejecting his method; and, notwithstanding the numerous favorable reviews of the work in economic journals of recognized standing, I venture the assertion that it is more admirable in its plan than in its execution, and can be safely used only by investigators capable of such clear and independent thinking as will enable them to avoid the confused and inconsistent conclusions of the author. To such it will be useful because of its large amount of statistical data and pertinent criticisms of the same, together with references to important criticisms by others. A verification of the data seems, however, advisable.
The author's unreliability, not only in conclusion, but as to fact, is shown in his discussion of the employment of women and children. He says (p. 76) :
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