Post Keynesian Economics: Debt, Distribution and the Macro Economy

Cover......Page 1
Half-Title......Page 2
Title......Page 4
Copyright......Page 5
Contents......Page 6
List of Figures and Tables......Page 9
Preface......Page 12
Acknowledgements......Page 15
1 Introduction......Page 16
2.1 Introduction......Page 23
2.2 Theoretical coherence......Page 24
2.3 Institutional coherence......Page 32
2.4 Epistemological coherence......Page 36
3.1 Introduction......Page 40
3.2 Demand determined equilibrium versus supply constrained equilibrium......Page 41
3.3 General equilibrium, the Keynesian revolution, and the revival of "supply constraint" economics......Page 48
3.4 Conclusion......Page 54
4.1 Introduction......Page 56
4.2 A digression on money and macroeconomic theory......Page 57
4.3 Price level adjustment and the Fisher debt effect......Page 59
4.4 Stability analysis with fixed nominal wages......Page 70
4.5 Stability analysis with flexible nominal wages......Page 71
4.6 Conclusion......Page 79
Appendix 1......Page 80
Appendix 2......Page 82
5.1 Introduction......Page 86
5.2 A brief retrospective on aggregate supply in The General Theory......Page 87
5.3 Time and the production process: a simple model......Page 88
5.4 A full macro model......Page 90
5.5 The model with exogenous price expectations......Page 91
5.6 The model with endogenous price expectations......Page 93
5.7 Conclusion......Page 98
Appendix......Page 99
6.1 Introduction......Page 102
6.2 Representations of uncertainty......Page 103
6.3 Constructivism and economists' constructions of decision making in the presence of uncertainty......Page 105
6.4 Expectations and the rational expectations revolution......Page 107
6.5 Knowledge, constructivism, and expectations: a theory of reflexive rational expectations......Page 111
6.6 Conclusion......Page 116
7.1 Introduction......Page 118
7.2 Three competing models of the money supply......Page 119
7.3 Evaluating the competing models: some empirical evidence......Page 132
7.4 Conclusion......Page 135
Appendix 2......Page 136
Appendix 3......Page 137
8.1 Introduction......Page 141
8.2 Endogenous money: a recapitulation......Page 142
8.3 Endogenous finance......Page 143
8.4 Empirical evidence on endogenous finance......Page 150
Appendix......Page 156
9.2 A Post Keynesian short period model......Page 159
9.3 Model specification issues......Page 165
9.4 Comparative static analysis......Page 171
9.5 Conclusion......Page 178
10.1 Introduction......Page 181
10.2 Unemployment and the problem of sectoral demand shocks: a static model......Page 182
10.3 Nominal demand growth with sectoral demand shifts: foundations of the Phillips relation......Page 185
10.4 Further issues: inflation expectations and supply side shocks......Page 191
10.5 Conclusion......Page 195
11.1 Introduction......Page 197
11.2 A macro model......Page 198
11.3 Conflict and the dynamics of inflation......Page 200
11.4 The conflict model with endogenous targets......Page 206
11.5 The monetary sector reconsidered......Page 212
11.6 Conclusion......Page 214
12.1 Introduction......Page 216
12.2 Debt and the business cycle: three simple models......Page 218
12.3 Conclusion......Page 228
13 Competing Visions: A Post Keynesian Summing Up......Page 231
References......Page 237
Name Index......Page 247
Subject Index......Page 249