Monday , January 18 2021
Home / Post-Keynesian

Post-Keynesian

On The Empirical Verification Of The Cambridge Capital Controversy

1.0 Introduction My consistent position is that Sraffa and his followers, besides recovering an alternate approach to value and distribution found in classical economics and Marx, demonstrated the logical invalidity of marginalist economics. Empirical results are irrelevant to questions of logical validity. Wage curves, as constructed from input-output matrices, are rational functions with the numerator and denominator both being some high order polynomial functions. I would have liked to...

Read More »

Books To Make You More Muddled

I have not read all of these, and you might think I am being unfair with this post title. If you want critiques of post modernism, try the Amin and Eagleton referenced at the end of this post. Sokal, after the cited book, participated in interesting colloquia with those who were scholars of what he was attacking and mocking. If you want to see how little I know about this area, you can look at my posts on Gramsci, Foucault, Wittgenstein, or Zizek. Gellner, Ernest. 1959. Words and...

Read More »

John Roemer’s Reproducible Solution

Can I adapt Roemer's work, suitably taking into account later work by D'Agata and Zambelli, to found this approach to markup pricing? As a start, I here quote Roemer on a reproducible solution (RS), before he takes into account unequal rates of profits and a choice of technique. Given the role of endowments, is this a neoclassical approach, like Hahn's 1984 CJE paper? Even so, is it a valid justification for Sraffa's price equations? Notice there are no subscripts for time below. "There...

Read More »

23 February 1981: King Juan Carlos Becomes A Spanish National Hero

I only know about this at the level of a Wikipedia article. Or maybe a short newspaper article. Some of you doubtlessly know more. Some Spanish military officers, pining for the certainty of a fascist authortarian state, assaulted the Congress of Deputies in 1981. They held the deputies hostage. Some showed real physical courage. The prime minister and deputy prime minister refused to sit down when ordered so, despite having guns pointed at them. I'd like to conclude that, despite this...

Read More »

The Tractor-Corn Model: A Start

1.0 Introduction In my ROBE article, I consider fluke switch points arising from perturbations of coefficients of production in the Samuelson-Gargenani model, but in the case with only circulating capital. An obvious generalization is to consider fixed capital. This generalization is simplified by restricting oneself to the case in which machines operate with constant efficiency. Steedman (2020) analyzes this case, and this post is a start on working through elements of the corn-tractor...

Read More »

The Truncation Of The Economic Lives Of Machines

'Paradoxes' and 'Perversities' PhenomenonExampleRegionReswitching'One good'5Schefold reswitching3Schefold roundabout3Baldone8Recurrence of technique (without reswitching)Baldone9Recurrence of truncation (without reswitching or recurrence of technique)Two sectors with fixed capital2Non-monotonic variation of economic life of machine (without reswitching or recurrence of technique or of truncation)Baldone10'Non-continuous' variation in economic life of machine associated with infinitesimal...

Read More »

More On Baldone Example

Figure 1: A Two-Dimensional Pattern Diagram, Enlarged1.0 Introduction This post further generalizes an example from Salvatore Baldone.. Like an example from Bertram Schefold, I find that Baldone's example is in a wedge near the edge of the appropriate region in one of my partitions of a parameter space. I have some very complicated spreadsheets that allow me to quickly visualize the effects of varying parameters. Baldone and Schefold were working long before Visicalc, Microsoft Excel, or...

Read More »

An Extension Of An Example From Salvatore Baldone

Figure 1: A Pattern Diagram, Enlarged1.0 Introduction This post looks at and generalizes an example of the recurrence of techniques by Salvatore Barone. It is an example with fixed capital illustrating the recurrence of the period of truncation. In the generalization, I find what I call patterns over the axis for the rate of profits, a patern over the wage axis, a three-technique pattern, and a reswitching pattern. Barone's example demonstrates that around a switch point, a lower rate of...

Read More »

Political Novels?

I would like suggestions to add to this list: Benjamin Disraeli, Coningsby or the New Generation. Anthony Trollope, The Way We Live Now. Allen Drury, Advise and Consent: A Novel of Washington Politics. John Ehrlichman, The Company. Anonymous (Joel Klein) Primary Colors: A Novel of Politics. This is not for Christmas, but some of my personal reading. I am aware that Coningsby is the first of a trilogy, that Advise and Consent is the first of a series, and that Primary Colors has a...

Read More »

Triple Switching and Fluke Switch Points

Figure 1: A Pattern Diagram with Triple Switching In demonstrating the lack of foundation for claims of the Austrian school about the supposed relationships between a greater supply of capital, a consequent lower rate of profits, and a longer period of production, I have so far only presented examples in which the economic life of an existing machine can be extended or truncated. Schefold (1980: 170) interprets a more roundabout technique as one in which a long-lived machine is used to...

Read More »