2,216 research outputs found
The Marxian schemes of reproduction and the theory of effective demand
No full textThe paper deals with some theoretical and analytical issues raised by a recent book by Trigg on Marx's schemes of reproduction. The paper presents a generalized model of expanded reproduction and concentrates on the attempt to develop Marx's schemes along Keynesian lines. Trigg tries to develop a Keynesian interpretation of the schemes without significant changes to Marx's original approach; the paper argues that the abandonment of some of Marx's hypotheses, in particular that of free competition, is necessary to allows us to provide a Marxian determination of underemployment equilibria and to use a Marxian version of the Keynesian concept of multiplier. In considering Marx's and Keynes's analyses of capitalist economies, the paper also emphasizes their similarities with respect to the importance of money and the capitalists' liquidity preference in the process of reproduction and growth. Copyright The Author 2008. Published by Oxford University Press on behalf of the Cambridge Political Economy Society. All rights reserved., Oxford University Press.
Money and its Future: A response to Mary Mellor
No full textMary Mellor, in a recent book, points out the social nature of money, as opposed to the traditional view according to which money is the outcome of individuals’ optimization. Claudio Sardoni argues that Mellor's view of money is not satisfactory. In particular, he questions Mellor's notion of ‘privatization of money’ and criticizes Mellor's approach. On the basis of Keynes, Sardoni proposes a different approach to money as a social phenomenon.
Some Notes on the Nature of Money and the Future of Monetary Policy
No full textIn a debate on the future of monetary policy and the displacement of money, Woodford argued that, even if innovations should lead to a situation in which the banks' demand for reserves at the central bank is zero, the central bank can still influence the economy's interest rates because its liability is the economy's unit of account. This paper deals with these topics by considering the implications of emphasizing the function of money as unit of account. In the analysis of money from this perspective, social, institutional and economic factors play a crucial role. Money is a social and historical relation. Therefore, the displacement of money and central banks, though possible, is a complex process involving economic, social and political factors, not merely the result of innovations. The paper also looks at some aspects of Kaldor's theory, which is centered on the fundamental importance of money as unit of account.money, central banking,
Incomes Policy: two approaches
No full textPost-Keynesians in general, and Geoff Harcourt in particular, have always laid much emphasis on incomes policies, which allow policy-makers to implement expansionary demand-side policies and ensure price stability. Mainstream economics, instead, gives little, if any, relevance to incomes policies. The central bank's monetary policy is the main tool to be used to ensure price stability. In the mainstream approach, price stability is ensured by constraining the economy's level of output and employment below full employment. This can be defined as the mainstream implicit incomes policy. This article argues that policy indications different from the mainstream can be derived. This, in particular, is done by removing the typical hypothesis that, in the short period, productivity is constant and independent of variations of aggregate output. This sort of approach allows for non-inflationary demand expansionary policies, which at the same time can promote the productivity and efficiency of the economy as a whole. This line of analysis is largely influenced by the work of Geoff Harcourt
Marx’s theory of money and interest: a reconsideration in the light of Robertson and Keynes
No full textThe provocative Joan Robinson: The making of a Cambridge economist, by Nahid Aslambeigui and Guy Oakes
No full textA review of a book on the biography of one of the most important Cambridge economists in the 20th centur
The new consensus in macroeconomics and non-mainstream approaches
No full textFirst paragraph: Giuseppe Fontana and Mark Setterfield have edited an interesting book on the relationship between recent developments in macroeconomics and the teaching of the discipline at the undergraduate and intermediate levels (Fontana/Setterfield 2009). The editors have chosen to focus the book on the ›New Consensus‹ in macroeconomics, on criticisms of such an approach and alternatives to it. The ›New Consensus‹ is presented in its simplest version as it is presented when teaching macroeconomics at the introductory and intermediate level. The ›New Consensus‹ is characterized by a three-equation model. In this model, the quantity of money is endogenously determined and the ›old Keynesian‹ LM curve is abandoned. The collection of essays presented by Fontana and Setterfield offers a presentation of the ›New Consensus‹ model and critical alternatives to it by scholars engaged both in the mainstream and in the heterodox (mainly post-Keynesian) camps
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