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A theory of economic policy and the role of institutions

Nicola Acocella published a paper in the Journal of Economic Surveys (a free, preliminary version is available here) a paper on the development of the theory of economic policy. Acocella is clearly fully aware of the differences between classical political economics and marginalism (neoclassical economics). And he dismisses the pre-margnialist views on economic policy as being unsystematic and devoid of general principles. In his words: Most classical writers and the marginalists had...

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