Power, plutocracy and public finance: James M. Buchanan and the 'Italian tradition'.

Despite his significant influence, the work of James M. Buchanan has been largely absent from the field of intellectual history and from recent attempts by historians to establish the intellectual origins of neoliberalism. The article explores the nature of Buchanan's intellectual project by focussing on the relationship of his thought to the 'Italian tradition', which he encountered during his year in Italy as a Fulbright Fellow. It is a tradition that encompasses both classical works of public finance and the 'elite theory' associated with Pareto and Mosca. An awareness of the importance of this Italian year helps us to reframe Buchanan's intellectual development. Furthermore, while he strove to exclude analyses of socio-economic power from his work, its proximity to a tradition in which this was a core concern throws into relief the points at which he chose not to pursue such considerations, forcing us to ask why. This article provides an answer. It concludes that, despite his efforts, Buchanan was forced to confront the reality of private power, as can be seen in his proposals for a confiscatory rate of inheritance tax. A response is also made to the controversy associated with Nancy MacLean's recent work on Buchanan. [ABSTRACT FROM AUTHOR]