A Reconsideration of the Formal Minskyan Analysis : Microfundations, Endogenous Money and the Public Sector

The paper presents a survey of the literature that has grown out of the work of Hyman Minsky and, in particular, of the main models which have mathematically formalized the cyclical dynamics of a capitalist economy implied by the Financial Fragility Hypothesis. We identify some of the issues that the existing literature has left unresolved. We then briefly summarize the contributions by Chiarella and Di Guilmi (2011a; 2011d), highlighting how these papers have addressed the open questions and how they could be further developed