DOCSLIB.ORG

John Maynard Keynes Great Thinkers in Economics Series Series Editor: Professor A

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
John Maynard Keynes Great Thinkers in Economics Series Series Editor: Professor A John Maynard Keynes Great Thinkers in Economics Series Series Editor: Professor A. P. Thirlwall, is Professor of Applied Economics, University of Kent, UK. Great Thinkers in Economics is designed to illuminate the economics of some of the great historical and contemporary economists by exploring the interactions between their lives and work, and the events surrounding them. The books will be brief and written in a style that makes them not only of interest to professional economists, but also intelligible for students of economics and the interested lay person. Titles include: William J. Barber GUNNAR MYRDAL Paul Davidson JOHN MAYNARD KEYNES Gordon Fletcher DENNIS ROBERTSON Peter D. Groenewegen ALFRED MARSHALL Gavin Kennedy ADAM SMITH John E. King NICOLAS KALDOR Alessandro Roncaglia PIERO SRAFFA Michael Szenberg and Lall Ramrattan FRANCO MODIGLIANI Forthcoming titles include: Gerhard Michael Ambrosi ARTHUR C. PIGOU Esben Sloth Anderson JOSEPH A. SCHUMPETER Robert Dimand JAMES TOBIN G. C. Harcourt and Prue Kerr JOAN ROBINSON AND HER CIRCLE Michael A. Lebowitz KARL MARX Julio Lopez and Michaël Samuel Assous KALECKI’S THEORY OF CAPITALIST ECONOMIES Roger Middleton ROBERT SOLOW Paul Mosley and Barbara Ingham SIR ARTHUR LEWIS Charles Rowley JAMES MCGILL BUCHANAN J. R. Stanfield JOHN KENNETH GALBRAITH Warren Young and Esteban Perez ROY HARROD Great Thinkers in Economics Series Standing Order ISBN 978–1–4039–8555–2 (Hardback) 978–1–4039–8556–9 (Paperback) (outside North America only) You can receive future titles in this series as they are published by placing a standing order. Please contact your bookseller or, in case of difficulty, write to us at the address below with your name and address, the title of the series and the ISBN quoted above. Customer Services Department, Macmillan Distribution Ltd, Houndmills, Basingstoke, Hampshire RG21 6XS, England John Maynard Keynes Paul Davidson © Paul Davidson 2007, 2009 All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No portion of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, Saffron House, 6-10 Kirby Street, London EC1N 8TS. Any person who does any unauthorized act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The author has asserted his right to be identified as the author of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 2007 Published in paperback 2009 by PALGRAVE MACMILLAN Palgrave Macmillan in the UK is an imprint of Macmillan Publishers Limited, registered in England, company number 785998, of Houndmills, Basingstoke, Hampshire RG21 6XS. Palgrave Macmillan in the US is a division of St Martin's Press LLC, 175 Fifth Avenue, New York, NY 10010. Palgrave Macmillan is the global academic imprint of the above companies and has companies and representatives throughout the world. Palgrave® and Macmillan® are registered trademarks in the United States, the United Kingdom, Europe and other countries ISBN 978-0-230-22920-4 ISBN 978-0-230-23547-2 (eBook) DOI 10.1007/978-0-230-23547-2 This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. Logging, pulping and manufacturing processes are expected to conform to the environmental regulations of the country of origin. A catalogue record for this book is available from the British Library. A catalog record for this book is available from the Library of Congress. 10 9 8 7 6 5 4 3 2 1 18 17 16 15 14 13 12 11 10 09 To Louise, Robert, Diane, Greg, Chris, Emily, Arik, Gavi, and Zakkai This page intentionally left blank Contents List of Figures x List of Tables xi Preface xiii Chapter 1 An Introduction to Keynes and His Revolutionary Views 1 I. Keynes’s early intellectual surroundings 3 II. Keynes’s intellectual development 5 Chapter 2 How the Great War and Its Aftermath Affected Keynes’s Thinking 7 Chapter 3 Keynes’s Middle Way: Liberalism is Truly a New Way 13 Chapter 4 The Before and After of Keynes’s General Theory 18 I. Keynes’s revolutionary theory versus mainstream classical theory 18 II. Axioms and theory building 26 III. The neutral money axiom 27 IV. The gross substitution axiom 30 V. Uncertainty and the ergodic axiom 31 VI. Aborting Keynes’s revolutionary analysis 35 Chapter 5 The Conceptual Difference between Keynes’s General Theory and Classical Theory – Savings and Liquidity 38 I. What is a classic book? 38 II. Say’s Law 40 III. The aggregate supply function 44 IV. The aggregate demand function 44 V. A note on Friedman’s alternative definition of saving 55 Chapter 6 Further Differentiating Keynes’s Aggregate Demand Function 58 I. Two aggregate demand components 58 II. Investment spending 60 vii viii Contents III. What about other components of D2?64 IV. Government taxes and spending 65 Appendix to chapter 6: deriving the aggregate supply and aggregate demand functions 68 Chapter 7 The Importance of Money, Contracts, and Liquid Financial Markets 75 I. The reality of money contracts 75 II. Contracts, markets, and the security blanket of liquidity 78 III. Liquidity and contracts 87 IV. The role of financial markets 90 V. Financial markets and Keynes’s liquidity theory 96 VI. The need for market orderliness 97 VII. Booms and busts 98 VIII. Is reality predetermined, immutable, and ergodically knowable or nonergodic, unknowable, and transmutable? 100 IX. Crucial decisions and Schumpeterian entrepreneurship 112 X. Designing policy 114 Chapter 8 World War II and the Postwar Open Economies System 116 I. Planning for the postwar open economy system 117 Chapter 9 Classical Trade Theory versus Keynes’s General Theory of International Trade and International Payments 126 I. The benefits associated with the classical theory of international trade 126 II. International trade and liberalized markets: the facts 127 III. Trade, the wealth of nations, and the law of comparative advantage 128 IV. Can a reduction (devaluation) in the exchange rate always cure an unfavorable trade balance? 138 Chapter 10 Reforming the World’s Money 145 I. A lesson from the early post–World War II history 145 II. The Bretton Woods experience and the Marshall Plan 146 Contents ix III. Keynes, free trade, and an international payments system that promotes full employment 148 IV. Changing the international payments system 152 Chapter 11 Inflation 160 I. Contracts, prices, and inflation 161 II. The inflation process in a Keynes world 162 III. Incomes inflation 163 IV. Incomes policy 164 Chapter 12 Keynes’s Revolution: The Evidence Showing Who Killed Cock Robin 169 I. Fixed wages and the problem of unemployment 174 II. Who actually aborted Keynes’s revolution? 176 III. Samuelson’s Neoclassical Synthesis Keynesianism 176 IV. The coming of Keynesianism to America 179 V. How did Samuelson learn Keynes’s theory? 180 VI. The axiomatic differences between Samuelson’s Neoclassical Keynesianism and Keynes/post-Keynesian theory 183 VII. What about Hicks’s IS-LM model? 185 VIII. Conclusion 187 Postscript: The Great Financial Crisis of 2008–2009 190 I. What caused the economic and financial crisis of 2008? 190 II. Financial market policy 198 III. Policy to create a recovery in the real economy in 2009 201 Notes 203 Bibliography 214 Index 220 List of Figures 5.1 Two-stage spending decision-making process for saving out of current income 49 6.1 Aggregate demand and supply 70 6.2 Deriving the demand-outlay curve 73 x List of Tables 7.1 Real GDP (annualized growth rate) 96 9.1 United States international payments balances (in billions of dollars) 142 xi This page intentionally left blank Preface In economics you cannot convict your opponent of error, you can only convince him of it. And even if you are right you cannot convince him … if his head is already filled with contrary notions. — Attributed to John Maynard Keynes The purpose of this book is to convince the reader, whether an intelligent layperson, a student of economics, or even a professional economist, that what passes as the conventional economic wisdom espoused by the talking heads on television or written about in the mass media and mainstream professional economics journals is not applicable to the world in which we live. I hope to demonstrate that the revolutionary economic analysis of John Maynard Keynes, the greatest thinker in eco- nomics in the 20th century, is the most apt description of our market- oriented, money-using entrepreneurial economy. The less the reader has been exposed to traditional economic analy- sis, the less his/her head is filled with what Harvard Professor John Kenneth Galbraith described as the “conventional wisdom” and “inno- cent frauds” of orthodox economists. Consequently, convincing the lay reader of how a monetary economy really operates will be an easier task for me than convincing an economics student, while the hardest task will be convincing the professional economist who professes the con- ventional wisdom by rote. Accordingly, although I have tried to provide a clear exposition, I have found it necessary occasionally to introduce technical jargon and tools into the discussion in order to jog the minds of students and their professors. The most difficult of these technical discourses I have relegated to the appendix to chapter 6. I suggest that the lay reader can readily skip this appendix without loss. The first three chapters of this book briefly describe Keynes’s early development into a traditional orthodox economist, and how the eco- nomic realities of World War I and its aftermath convinced Keynes that the economics that he taught and practiced was deficient.
Load more

Recommended publications
  • (1899-1992) Born in Austria in 1899, Nobel Prize-Winning Economist Friedrich Von Hayek Was an Advocate of Free-Market Capitalism
    Friedrich von Hayek 1 (1899-1992) Born in Austria in 1899, Nobel Prize-winning economist Friedrich von Hayek was an advocate of free-market capitalism. He is known for his criticism of the prevailing economic theories of the 20th century, Keynesian economic models and socialism. Excerpt from The Commanding Heights by Daniel Yergin and Joseph Stanislaw, 1998 ed., pp. 141-144. In retrospect, it was the awarding of the 1974 Nobel Prize in economics that first captured, almost by chance, the great intellectual change. The Swedish academy wanted to honor Gunnar Myrdal, distinguished Keynesian, a father of development economics, and a great figure of Swedish socialism. But the grantors, worried about the appearance of choosing so local a favorite, decided that they ought to balance the ticket with a more conservative figure, and they awarded the prize to Myrdal jointly with Friedrich von Hayek. A good part of the economics profession was scandalized by the choice of Hayek; many economists in the United States, if polled, would have hardly even considered him an economist. He was regarded as right-wing, certainly not mainstream, even something of a crank as well as a fossil from an archaic era.... Yet the award documented the beginning of a great shift in the intellectual center of gravity of the economies profession toward a restoration of confidence in markets, indeed a renewed belief in the superiority of markets over other ways of organizing economic activity. Within a decade and a half, the shift would be largely complete. And the eventual victory of this viewpoint was really a tale of two cities—Vienna and Chicago.
    [Show full text]
  • Nicholas Kaldor
    PROFILES OF WORLD ECONOMISTS 26 NICHOLAS KALDOR NICHOLAS KALDOR – ONE OF THE FIRST CRITICS OF MONETARISM doc. Ing. Ján Iša, DrSc. Known in economic circles as one of the thought in several fields, but it was his work founders of Post-Keynesianism, Nicholas on the theory of distribution and economic Kaldor (1908–1986) ranks among the worl- growth that stirred the greatest reaction. d's foremost economists of the second half Less well-known, however, is Kaldor's con- of the 20th century. Kaldor contributed to tribution to monetary theory, which has long the development of modern economic been standing quietly in the background. Nicholas Kaldor was born in Budapest on 12 May 1908. rous Third World countries, as well as an advisor to central His father was a lawyer and his mother came from wealthy banks and to the United Nations Economic Commission for business family. Although his father had wanted him to Latin America. Most significant, however, was his role as an study law, Kaldor opted for economics. He began his studi- advisor to Labour finance ministers from 1964 to 1968 and es at the University of Berlin in 1925 and then after two 1974 to 1976. After completing his two-year mission in years moved to the London School of Economics (LSE), Geneva in 1949, Kaldor began to work at Cambridge Uni- from which he graduated in 1930. He remained at the LSE versity and became, as John Maynard Keynes had been, a as lecturer until 1947, during which time his colleagues inc- fellow of King's College, Cambridge.
    [Show full text]
  • Myrdal Revisited May 2011
    1 GUNNAR MYRDAL REVISITED: CUMULATIVE CAUSATION, ACCUMULATION AND LEGITIMISATION The aim of this paper is to provide a reconstruction of Myrdal’s analysis of the factors determining the path of accumulation, in view of the pivotal role played by political institutions in promoting it. It will be shown that Myrdal’s theory of cumulative causation, combined with his idea that consensus on the existing social order is a “created harmony”, is a powerful analytical tool in understanding a key contradiction of capitalist reproduction (particularly in a neo-liberal regime): namely the trade-off between accumulation and legitimisation. Keywords: Gunnar Myrdal, accumulation, welfare state, political institutions JEL: B25, H11, E25 by Guglielmo Forges Davanzati* 1 - Introduction Gunnar Myrdal’s contribution can be regarded as diametrically opposed to the Walrasian picture of the functioning of market economies on two main grounds. First, the idea that the economic process does not develop in equilibrium conditions, and that – by contrast – disequilibrium is the normal outcome of the dynamics of deregulated market economies. Second, the conviction that the power factor – in market relations as well in socio-political arena - plays a crucial role in economic theory (cf. Dostaler, Ethier, Lepage, eds., 1992; Applequist and Andersson, eds., 2004). In the Walrasian world, the absence of different degrees of bargaining power among agents is justified on the grounds that markets are in equilibrium, so that – as Samuelson (1957, p.894) maintained - “in
    [Show full text]
  • Myrdal's Circular Cumulative Causation Theory
    Myrdal’s Circular Cumulative Causation Theory Definition: Circular cumulative causation is a theory developed by Swedish economist Gunnar Myrdal in the year 1956. It is a multi-causal approach where the core variables and their linkages are delineated. The idea behind it is that a change in one form of an institution will lead to successive changes in other institutions. These changes are circular in that they continue in a cycle, many times in a negative way, in which there is no end, and cumulative in that they persist in each round. The change does not occur all at once as that would lead to chaos, rather the changes occur gradually. To put Myrdal’s view in a better perspective let us see what he has to say on the subject. According to Myrdal,- “if things were left to market forces unhampered by any policy interferences, industrial production, commerce, banking, insurance, shipping and indeed almost all those economic activities which in developing economy tend to give a bigger than average return and, in addition, science, art, literature, educational higher culture generally – would cluster in certain localities and regions, leaving the rest of the country more or less in a backwater”. By whatever factors-natural, manmade, or historical space growth gets started in a particular regions and meets with initial success, all sorts of economic and non-economic activities start concentrating there. This happens because of ever increasing internal and external economies – interpreted in the widest sense of the word to include, for instance, a working of population trained in a various crafts, easy communications, the feeling of growth and elbow room and the spirit of new enterprise”.
    [Show full text]
  • Nine Lives of Neoliberalism
    A Service of Leibniz-Informationszentrum econstor Wirtschaft Leibniz Information Centre Make Your Publications Visible. zbw for Economics Plehwe, Dieter (Ed.); Slobodian, Quinn (Ed.); Mirowski, Philip (Ed.) Book — Published Version Nine Lives of Neoliberalism Provided in Cooperation with: WZB Berlin Social Science Center Suggested Citation: Plehwe, Dieter (Ed.); Slobodian, Quinn (Ed.); Mirowski, Philip (Ed.) (2020) : Nine Lives of Neoliberalism, ISBN 978-1-78873-255-0, Verso, London, New York, NY, https://www.versobooks.com/books/3075-nine-lives-of-neoliberalism This Version is available at: http://hdl.handle.net/10419/215796 Standard-Nutzungsbedingungen: Terms of use: Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Documents in EconStor may be saved and copied for your Zwecken und zum Privatgebrauch gespeichert und kopiert werden. personal and scholarly purposes. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle You are not to copy documents for public or commercial Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich purposes, to exhibit the documents publicly, to make them machen, vertreiben oder anderweitig nutzen. publicly available on the internet, or to distribute or otherwise use the documents in public. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, If the documents have been made available under an Open gelten abweichend von diesen Nutzungsbedingungen die in der dort Content Licence (especially Creative
    [Show full text]
  • ΒΙΒΛΙΟΓ ΡΑΦΙΑ Bibliography
    Τεύχος 53, Οκτώβριος-Δεκέμβριος 2019 | Issue 53, October-December 2019 ΒΙΒΛΙΟΓ ΡΑΦΙΑ Bibliography Βραβείο Νόμπελ στην Οικονομική Επιστήμη Nobel Prize in Economics Τα τεύχη δημοσιεύονται στον ιστοχώρο της All issues are published online at the Bank’s website Τράπεζας: address: https://www.bankofgreece.gr/trapeza/kepoe https://www.bankofgreece.gr/en/the- t/h-vivliothhkh-ths-tte/e-ekdoseis-kai- bank/culture/library/e-publications-and- anakoinwseis announcements Τράπεζα της Ελλάδος. Κέντρο Πολιτισμού, Bank of Greece. Centre for Culture, Research and Έρευνας και Τεκμηρίωσης, Τμήμα Documentation, Library Section Βιβλιοθήκης Ελ. Βενιζέλου 21, 102 50 Αθήνα, 21 El. Venizelos Ave., 102 50 Athens, [email protected] Τηλ. 210-3202446, [email protected], Tel. +30-210-3202446, 3202396, 3203129 3202396, 3203129 Βιβλιογραφία, τεύχος 53, Οκτ.-Δεκ. 2019, Bibliography, issue 53, Oct.-Dec. 2019, Nobel Prize Βραβείο Νόμπελ στην Οικονομική Επιστήμη in Economics Συντελεστές: Α. Ναδάλη, Ε. Σεμερτζάκη, Γ. Contributors: A. Nadali, E. Semertzaki, G. Tsouri Τσούρη Βιβλιογραφία, αρ.53 (Οκτ.-Δεκ. 2019), Βραβείο Nobel στην Οικονομική Επιστήμη 1 Bibliography, no. 53, (Oct.-Dec. 2019), Nobel Prize in Economics Πίνακας περιεχομένων Εισαγωγή / Introduction 6 2019: Abhijit Banerjee, Esther Duflo and Michael Kremer 7 Μονογραφίες / Monographs ................................................................................................... 7 Δοκίμια Εργασίας / Working papers ......................................................................................
    [Show full text]
  • Human Rights and the End of the Age of Keynes
    HUMAN RIGHTS AND THE END OF THE AGE OF KEYNES © Howard Richards, 2008 http://howardrichards.org/peace/content/view/87/120/ The purpose of this paper is to argue that learning how to establish social democracy should be a goal of peace research regarded as including human rights research. This paper is not mainly a report on research that has already been done. It is mainly about why research on social democracy should be done by peace and human rights researchers. I shall be claiming that to a great extent because of the influence of Keynesian and related forms of economics, which are associated with a middle path between state planned economies and market economies, the economic context for human rights was more favorable in the three decades immediately after World War II than it is now. Today anti- social democratic trends; also known as neoliberalism, conservatism, and neo- conservatism; have become globally dominant. I shall be claiming that even though the proponents of these anti social-democratic trends are often also proponents of human rights, the current eclipse of Keynes poses obstacles for making human rights real. If we consider the excuses most commonly given for the frequent and massive violations of the solemn commitments of nations to honor human rights, we will find, I suggest in brief shorthand, two major types of excuse: the emergency excuses, and the impossibility excuses. "Emergency" is shorthand for excusing the violations of rights during periods of civil war and whenever civil order is threatened or said to be threatened by people who are said to be so dangerous that extreme measures are required to subdue them .
    [Show full text]
  • An Inquiry Into the Development of Nations
    OUP CORRECTED PROOF – FINAL, 05/08/19, SPi Asian Transformations OUP CORRECTED PROOF – FINAL, 05/08/19, SPi UNU World Institute for Development Economics Research (UNU-WIDER) was established by the United Nations University as its first research and training centre and started work in Helsinki, Finland, in 1985. The mandate of the institute is to undertake applied research and policy analysis on structural changes affecting developing and transitional economies, to provide a forum for the advocacy of policies leading to robust, equitable, and environmentally sustainable growth, and to promote capacity strengthening and training in the field of economic and social policymaking. Its work is carried out by staff researchers and visiting scholars in Helsinki and via networks of collaborating scholars and institutions around the world. United Nations University World Institute for Development Economics Research (UNU-WIDER) Katajanokanlaituri 6B, 00160 Helsinki, Finland <www.wider.unu.edu> OUP CORRECTED PROOF – FINAL, 05/08/19, SPi Asian Transformations An Inquiry into the Development of Nations Edited by DEEPAK NAYYAR A study prepared for the United Nations University World Institute for Development Economics Research (UNU-WIDER) 1 OUP CORRECTED PROOF – FINAL, 05/08/19, SPi 1 Great Clarendon Street, Oxford, OX2 6DP, United Kingdom Oxford University Press is a department of the University of Oxford. It furthers the University’s objective of excellence in research, scholarship, and education by publishing worldwide. Oxford is a registered trade mark of Oxford University Press in the UK and in certain other countries © United Nations University World Institute for Development Economics Research (UNU-WIDER) 2019 World Institute for Development Economics Research of the United Nations University (UNU-WIDER), Katajanokanlaituri 6B, 00160 Helsinki, Finland The moral rights of the authors have been asserted First Edition published in 2019 Impression: 1 Some rights reserved.
    [Show full text]
  • Course Information
    ECON 452: Senior Seminar Sweet Briar College, Fall 2012 Sherry Forbes Gray 317 T/R 1030-1200 434.381.6177 [email protected] j j j Course Information Description The original will of Alfred Nobel (1895) established Nobel Prizes in only five fields - physics, chemistry, medicine or physiology, literature, and peace - and the Prize continues to be considered one of the most prestigious awards for advances in those fields today. But in 1968, the Sveriges Riksbank established a Nobel Prize in the field of Economic Sciences, establishing an award for economists who "have during the previous year rendered the greatest service to mankind." But why economics? Nobel Prizes were not originally established for any field in the social sciences, so why was economics the only one to get a Nobel Prize? What is this "service" that economists provide, and what is the relevance of this "science of economics" for today’s problems? These are the questions we are going to address in this seminar as we study the contributions of the Nobel laureates. Specifically, we are going to examine 1.) the development of modern economics through the contributions of the Nobel Prize winners in economics, and 2.) how those ideas influenced (and continue to influence) every day life and how we think about the "big ideas" of today. Economics is not a "settled" discipline - the development of economic ideas and of economics as a science has not been neat, organized, or even at times very coherent. Why is there so much controversy? Much of the debate, of course, revolves around the appropriate role for government and how much we should rely on free markets or government intervention to solve society’sproblems.
    [Show full text]
  • Prebisch and Myrdal: Development Economics in the Core and on the Periphery
    Journal of Global History (2011) 6, pp. 29–52 ª London School of Economics and Political Science 2011 doi:10.1017/S1740022811000039 Prebisch and Myrdal: development economics in the core and on the periphery Andre´s Rivarola Puntigliano Institute of Latin American Studies and Department of Economic History, Stockholm University, SE-10691, Stockholm, Sweden E-mail: [email protected] O¨ rjan Appelqvist International Relations at the Department of Economic History, Stockholm University, SE-10691, Stockholm, Sweden E-mail: [email protected] Abstract The ideas on development issues of two ‘pioneers in development’, Rau´l Prebisch and Gunnar Myrdal, are tracked in their formation and evolution. The central role of these two ‘defiant bureaucrats’ in the Economic Commission for Europe (ECE) and the Economic Commission for Latin America (CEPAL) are used to reflect on the interaction between intellectuals and international institutions in different historical contexts. Both men represented a liberal–uni- versal strand in development thinking. Their divergent conclusions and assessments of the role of international institutions are compared, and are related to their different origins in core and periphery. It is argued that such roots influenced two different approaches to devel- opment problems within the UN system. Keywords development, international organizations, Myrdal, Prebisch, regionalism Introduction After a period of neo-liberal predominance in thinking about development, there is renewed criticism of beliefs in self-regulating markets, a smaller state, and the rejection of ambitious forms of income redistribution. Moreover, there is a developing critique of looking at coun- tries as single units that compete under the same conditions to achieve development.
    [Show full text]
  • Ideological Profiles of the Economics Laureates · Econ Journal Watch
    Discuss this article at Journaltalk: http://journaltalk.net/articles/5811 ECON JOURNAL WATCH 10(3) September 2013: 255-682 Ideological Profiles of the Economics Laureates LINK TO ABSTRACT This document contains ideological profiles of the 71 Nobel laureates in economics, 1969–2012. It is the chief part of the project called “Ideological Migration of the Economics Laureates,” presented in the September 2013 issue of Econ Journal Watch. A formal table of contents for this document begins on the next page. The document can also be navigated by clicking on a laureate’s name in the table below to jump to his or her profile (and at the bottom of every page there is a link back to this navigation table). Navigation Table Akerlof Allais Arrow Aumann Becker Buchanan Coase Debreu Diamond Engle Fogel Friedman Frisch Granger Haavelmo Harsanyi Hayek Heckman Hicks Hurwicz Kahneman Kantorovich Klein Koopmans Krugman Kuznets Kydland Leontief Lewis Lucas Markowitz Maskin McFadden Meade Merton Miller Mirrlees Modigliani Mortensen Mundell Myerson Myrdal Nash North Ohlin Ostrom Phelps Pissarides Prescott Roth Samuelson Sargent Schelling Scholes Schultz Selten Sen Shapley Sharpe Simon Sims Smith Solow Spence Stigler Stiglitz Stone Tinbergen Tobin Vickrey Williamson jump to navigation table 255 VOLUME 10, NUMBER 3, SEPTEMBER 2013 ECON JOURNAL WATCH George A. Akerlof by Daniel B. Klein, Ryan Daza, and Hannah Mead 258-264 Maurice Allais by Daniel B. Klein, Ryan Daza, and Hannah Mead 264-267 Kenneth J. Arrow by Daniel B. Klein 268-281 Robert J. Aumann by Daniel B. Klein, Ryan Daza, and Hannah Mead 281-284 Gary S. Becker by Daniel B.
    [Show full text]
  • Keynesianism and the Scandinavian Models of Economic Policy
    Jukka Pekkarinen* KEYNESIANXSM AND THE SCANDINAVIAN MODELS OF ECONOMIC POLICY * Labour Institute for Economic Research, Helsinki, and University of Helsinki, Finland. This study is partly based on the author's joint work with Juhana Vartiainen of the University of Helsinki. Special thanks are due to Peter A. Hall of Harvard University for his extensive help and encouragement. Financial support by the Ministry for Foreign affairs of the Goverment of Finland is gratefully acknowledged. 1. INTRODUCTION The relations between economic theory, economic policy and economic development are complex, The most common perception of this triangle of interactions derives from the conventional Keynesian view best represented by Keynes' famous description of politicians as the slaves of some defunct economist. According to this view, economic policy is capable of moulding economic development quite strongly. But economic policy makers, in turn, are heavily dependent on the advice of economists when choosing policy moves, Consequently, economic theory assumes a key role. This essay takes as its starting point this Keynesian view which, in its strong version, sees a unilateral chain of in£hence from economic theory through economic policy to the economy. I do not want to deny outright the existence of such a chain of influence, but I shall maintain that it is conditioned by a set of crucial economic- structural, institutional, ideological and political intervening variables which are too often neglected by economists. A study from an economist's point of view of the role of these intervening variables in the diffusion of economic ideas is the main aim of this essay, These intervening variables are investigated in a limited context, that of the Nordic economies, Contrary to what one might suppose, economic policies in the different Nordic countries display clear and systematic differences which call into question the notion of a common Scandinavian model.
    [Show full text]