The Harvard "Pareto Circle" and the Development of Organization Theory.

A small group of influential scholars who met at Harvard during the 1930's and early 1940's to discuss the ideas of Vilfredo Pareto are shown to have significantly influenced the development of organization theory and the behavioral sciences. The concepts of social system and social equilibrium were posited in a physiological, homeostatic system framework that was a paramount theory for over three decades. It is proposed that the development of organization theory can be best understood from an historical perspective that includes the influence of cultural, economic and political conditions and the values of those who developed theoretical formulations. In addition, the personal academic and institutional prestige of those who propose a theory are argued to contribute to the influence and acceptance of the theory.