"Ironically, Krugman makes the best case as to why not consider Hayek fully a neoclassical,
That description, except for the reference to behavioral economics, fits Hayek. Austrians stress the reality and the necessity of disequilibrium — see previous posts here, here, (these two are on Mises and disequilibrium) and here (this one is on instability as a precondition for progress) —, and while L. Mises really set the stage for the idea that the pricing process is what allows for an efficient allocation of resources, he and other Austrians were/are never maximizers. Further, while, again, Austrians probably cannot be fit into the behavioral school, they do have much in common with complexity theory."What would truly non-neoclassical economics look like? It would involve rejecting both the simplification of maximizing behavior, going for full behavioral, and rejecting the simplification of equilibrium, going for a dynamic story with no end state.
Well of course they talk about disequilibrium, but the adjustment from one point to another is the interesting thing about any model. That doesn't quite break the gravitational pull of neoclassicism. Yes, the disequilibrium interests Hayek but the whole structure of his economics is a series of re-equilibrating mechanisms! That's equilibrium economics. It's hard to even conceive of what disequilibrium economics really implies unless we completely jettison these re-equilibrating mechanisms.
Mises might get into that, I don't know him well enough. People get together and they act. That's certainly the makings of a non-neoclassical economics. But I'm guessing he doesn't wander too far from where Hayek took that, which was very neoclassical. Anyway - I wouldn't want to stake a claim on Mises.
But Mises on action brings us to the second half of Jonathan's retort:
"while L. Mises really set the stage for the idea that the pricing process is what allows for an efficient allocation of resources, he and other Austrians were/are never maximizers."
I think we should be very careful about too closely identifying utility or profit maximization with the actual math of optimization. No, Mises does not read like Mas-Colell. But if he says that agents choose a more preferred option to a less preferred option, then Mises is a theorist of maximizing agents. Whether he does calculus on functions or not is irrelevant. Utility and production functions are modeling conveniences. As I've noted before, we all believe in ordinal preference relations. The mainstream simply says "we seem to be able to get a lot more work done if we represent ordinal preference relations with a reasonable cardinal function".
I mean it in the kindest way when I say Hayek is a neoclassical. I like neoclassical economics.
Now you may have a point when it comes to those hippy-dippy hermeneutician Austrians, not that that necessarily reflects well on them.