Keynes's General Theory argues there is no self-regulating mechanism that guarantees full employment. Keynes's vision has been distorted by mainstream Keynesians to mean that it is the warts on the body of capitalism, not capitalism itself, that are the problem: frictions and imperfections and...

"Keynes's General Theory has been misunderstood as relying on frictions to justify the need for the visible hand of government to complement the invisible hand of the market. Fleshing out the GT with tools not available to Keynes, Marglin exposes the fundamental failure of markets to...

The principal aim of this essay is to restate John Maynard Keynes's (1936) view of the economy as tending towards an equilibrium which will in general fall short of full employment. The approach outlined here, in sharp contrast to what has become standard theory, does not depend on nominal...