Following Lavoie et al. (2004), this paper empirically assesses four investment functions closing the Kaleckian baseline model in the long-run: (a) the Naive-Kaleckian specification without any long-run adjustment; (b) the Intermediate-Kaleckian specification with an endogenous adjustment of the...

These educational notes were prepared for a summer camp organised by Ideas Left Out at Elbow Lake, Ontario in the summer of 2015. I suggested to the organisers that I could produce a fairly simplified introduction to the discussion which would be pluralist, in the sense that it would introduce...

This paper proposes two theoretical dynamic models (Models A and B) to analyze the interaction between distributive and financial cycles in capitalist economies. Model A assumes investment equals savings at the aggregate level but assumes a delay between capitalists saving their income and...

The analysis of a sustained long-run equilibrium path of economic growth goes back to Marx’s discussion of the schemes of reproduction and capital accumulation. In this paper, we indicate that the Harrodian ‘knife edge’ instability is a feature of the inner nature of the capitalist mode of...

Kaleckian models are widely used for macroeconomic analysis due to their flexibility and simplicity. Sraffians counter that the Kaleckian model fails to capture a central fact of modern economies, the existence and importance of intermediate consumption. The critique is correct, but as the...

The economic crisis that inflicted Greece is international in character and its cause is in the decreasing profitability of capital which from a certain point onwards leads to the stagnation of profits, discourages new investment, reduces production and increases unemployment. If these are...