Alternative post-keynesian models of money supply determination

(Post) Keynesian alternative to inflation targeting

While the mainstream policies can not be surpassed in the enchanted ‘optimizable’ world, (Post) Keynesians have to resign themselves to manage without magic wand in the uncertain real world. The paper discusses the monetary rules proposed in the recent Post Keynesian literature. It argues that the long-term interest rate is too imperfectly controlled for such rules being feasible. Consequently,...

An empirical evaluation of three post Keynesian models

Structuralist and post Keynesian models differ in their assumptions about firms’ investment behavior and pricing/output decisions. This paper compares three benchmark models: Kaleckian, Robinsonian and Kaldorian. We analyze the implications of these models for the steady growth path and the cyclical properties of the economy, and evaluate the consistency of the theoretical predictions with empi...

Keynesian Models of Unemployment

Towards Post - Keynesian Ecological Macroeconomics

The paper starts with a brief criticism of macroeconomic analyses of different schools of thought for their focus on economic growth and maximisation of output. This applies to the traditional Keynesian approach, which has focused on the achievement of sufficient aggregate demand to underpin full employment and full capacity utilisation, down-playing aggregate supply constraints. This also appl...

Intermediate Macroeconomics: Keynesian Models

At the risk of some oversimplification, the leading alternatives to the neoclassical / real business cycle model for understanding short run fluctuations are Keynesian models. I phrase this in the plural because there are multiple different versions of the Keynesian model, which differ in terms of how the aggregate supply block of the economy is formulated. Whereas neoclassical models emphasize...