nep-hme New Economics Papers
on Heterodox Microeconomics
Issue of 2019‒01‒21
fifteen papers chosen by
Carlo D’Ippoliti
Università degli Studi di Roma “La Sapienza”

  1. Piero Sraffa and the project to publish Saint-Simon’s works By Michel Bellet; Adrien Lutz
  2. “From Each according to Ability; To Each according to Needs” Origin, Meaning, and Development of Socialist Slogans By Luc Boven; Adrien Lutz
  3. Women in Economics: Stalled Progress By Lundberg, Shelly; Stearns, Jenna
  4. On the Origins of Piero Sraffa’s Equations. New Evidence Following Pierangelo Garegnani’s Lead By Naldi, Nerio
  5. The Role of Bargaining Power: How Unions Affect Income Distribution By Vincent Victor
  6. Employment Protection, Employment and Unemployment Rates in European Union Countries During the Great Recession By Jesus Ferreiro; Carmen Gómez
  7. Afrodescendent women in Latin America and the Caribbean: Debts of equality By -
  8. Evaluative judgments between positive and normative: For an axiological economy By Jérôme Ballet
  9. An Enduring Platform for Public and Cooperative Economics Research: a Centennial Perspective By Marini, Marco A.; Thiry, Bernard
  10. The Saint-Simonians and the birth of social justice in France By Adrien Lutz
  11. The Beneficences that Happened to Indian Society from the Teachings and Thoughts of Nivedita By Baishaki Das Saha; Debarati Mukherjee
  12. Upstreamness, social upgrading and gender: Equal benefits for all? By Nicola Gagliardi; Benoît Mahy; François Rycx
  13. Kenneth Arrow, moral obligations, and public policies By Susumu Cato; Adrien Lutz
  14. Principios y conceptos de la economía social y solidaria : para una economía plural, feminista y política By Isabelle Hillenkamp
  15. The Danger of a “Geyser Disease” Effect: Structural Fragility of the Tourism-Led Recovery in Iceland By Francesco Macheda; Roberto Nadalini

  1. By: Michel Bellet (Univ Lyon, UJM Saint-Etienne, GATE UMR 5824, F-42023 Saint- Etienne, France); Adrien Lutz (Univ Lyon, UJM Saint-Etienne, GATE UMR 5824, F-42023 Saint- Etienne, France)
    Abstract: There are three slogans in the history of Socialism that are very close in wording, namely, the famous Cabet-Blanc-Marx slogan: From each according to his ability; To each according to his needs; the earlier Saint-Simon–Pecqueur slogan: To each according to his ability; To each according to his works; and the later slogan in Stalin’s 1936 Soviet Constitution: From each according to his ability; To each according to his work. We trace the earliest occurrences of these slogans and their biblical sources and we show how the progression from one slogan to the next casts light on the development of early socialist thought.
    Keywords: socialism, utopian socialism, bible, Christianity, slogans
    JEL: B14 N00 Z12
    Date: 2018
  2. By: Luc Boven (UNC at Chapel Hill, Department of Philosophy, Caldwell Hall, CB# 3125, 240 East Cameron, Chapel Hill, NC 27599-3125); Adrien Lutz (Univ Lyon, UJM Saint-Etienne, GATE UMR 5824, F-42023 Saint- Etienne, France)
    Abstract: There are three slogans in the history of Socialism that are very close in wording, namely, the famous Cabet-Blanc-Marx slogan: From each according to his ability; To each according to his needs; the earlier Saint-Simon–Pecqueur slogan: To each according to his ability; To each according to his works; and the later slogan in Stalin’s 1936 Soviet Constitution: From each according to his ability; To each according to his work. We trace the earliest occurrences of these slogans and their biblical sources and we show how the progression from one slogan to the next casts light on the development of early socialist thought.
    Keywords: socialism, utopian socialism, bible, Christianity, slogans
    JEL: B14 N00 Z12
    Date: 2018
  3. By: Lundberg, Shelly (University of California, Santa Barbara); Stearns, Jenna (University of California, Davis)
    Abstract: In this paper, we first document trends in the gender composition of academic economists over the past 25 years, the extent to which these trends encompass the most elite departments, and how women's representation across fields of study within economics has changed. We then review the recent literature on other dimensions of women's relative position in the discipline, including research productivity and income, and assess evidence on the barriers that female economists face in publishing, promotion, and tenure. While underlying gender differences can directly affect the relative productivity of men and women, due to either differential constraints or preferences, productivity gaps do not fully explain the gender disparity in promotion rates in economics. Furthermore, the progress of women has stalled relative to that in other disciplines in the past two decades. We propose that differential assessment of men and women is one important factor in explaining this stalled progress, reflected in gendered institutional policies and apparent implicit bias in promotion and editorial review processes.
    Keywords: gender, economics, promotion, tenure, publishing
    JEL: J16 J71 J21
    Date: 2018–11
  4. By: Naldi, Nerio (La Sapienza University of Rome)
    Abstract: The paper investigates the origins of the equations which form the structure of Piero Sraffa’s Production of Commodities by means of Commodities. Following an interpretation first developed by Pierangelo Garegnani in a paper that highlighted the importance of a manuscript headed ‘Notes Lon-don, Summer 1927 (Physical Real Costs etc.)’, we single out new evidence relevant to the reconstruction of the path which led Sraffa to conceive his equations. In particular, we stress how Sraffa came to pay special attention to the case of a subsistence economy (‘a community that produces just what is sufficient to keep it going’) and how this led him to shift his attention from the idea of reducing heterogeneous physical costs to an ‘absolutely necessary commodity’ to the determination of exchange ratios by the solution of systems of simultaneous equations.
    Keywords: Sraffa; Piero Sraffa Papers; Production of Commodities; costs; relative prices
    JEL: B24 B31 B51
    Date: 2018–12
  5. By: Vincent Victor
    Abstract: Neoclassical theory omits the role of bargaining power in the determination of wages. As a result, the importance of changes in the bargaining position for the development of income shares in the last decades is underestimated. This paper presents a theoretical argument why collective bargaining power is a main determinant of workers’ share of income and how its decline contributed to the severe changes in the distribution of income since the 1980s. In order to confirm this hypothesis, a panel data regression analysis is performed that suggests that unions significantly influence the distribution of income in developed countries.
    Keywords: bargaining power, collective bargaining, income distribution, macroeconomics, unions, wages
    Date: 2019–01
  6. By: Jesus Ferreiro; Carmen Gómez
    Abstract: For mainstream economics, rigidities in the labour market are the primary determinants of high and persistent long-term unemployment rates, leading to the need to reform labour market institutions and make them more flexible. Flexible labour markets would not only help to smooth normal business cycle fluctuations (implying a small impact of these fluctuations on employment and unemployment) but also to reduce the negative impacts on labour market of structural shocks. If we focus on the labour market performances in the European Union during the Great Recession, we can easily detect the existence of significant differences in the impact of this common structural shock on the domestic labour markets. For mainstream economics, the countries with the best results in terms of unemployment and employment would have been those that had a more flexible labour market at the beginning of the crisis and/or those having implemented reforms to increase this flexibility. The aim of this paper is to determine the validity of this argument, that is, whether labour reforms making the labour market more flexible effectively ensure macroeconomic stability by reducing the impact on the labour market of economic shocks. Using panel data techniques, we investigate whether, as mainstream studies argue, the evolution of employment and unemployment in the EU labour markets is explained, and to what extent, by the levels and changes registered in the indicators of employment protection legislation. Conversely, we examine whether, as heterodox and post-Keynesian studies suggest, this evolution is explained by the changes registered in economic activity (i.e., GDP growth).
    Keywords: employment, unemployment, Great Recession, employment protecti on
    JEL: C23 E24 J21 J64 J88
    Date: 2019–01
  7. By: -
    Abstract: The multiple inequalities historically experienced by women of African descent in Latin America and the Caribbean form part of a complex system of structural discrimination handed down from the colonial era of slavery. Analysis of the effects of intersecting forms of discrimination in the region shows that most Afrodescendent women still lack the socioeconomic resources and power they need to attain physical, economic and decision-making autonomy. In order to link up efforts to combat racism with endeavours to end gender discrimination and achieve Afrodescendent women’s autonomy, society must assume the major challenges involved in ensuring the individual and collective recognition of Afrodescendent women as bearers of rights.
    Date: 2019–01–09
  8. By: Jérôme Ballet
    Abstract: This article argues that the distinction between positive and normative, which is the basis of much of economics, is not relevant. By inserting the distinction between norms and values, the article makes it possible to insert a new perspective between the two parts of the dichotomy: that of value judgments that are not necessarily normative. The article then supports the idea of an axiological economy that enriches evaluative judgments and provides a broader informational base for policy decisions.
    Keywords: value, norm, ethics, information base
    JEL: B41
    Date: 2019
  9. By: Marini, Marco A.; Thiry, Bernard
    Abstract: We introduce the special centennial issue of Annals of Public and Cooperative Economics
    Keywords: Public Economics, Cooperative Economics
    JEL: A10 L2 L3 L31 P3 P35 P5
    Date: 2018–03–01
  10. By: Adrien Lutz (GATE Lyon Saint-Étienne - Groupe d'analyse et de théorie économique - ENS Lyon - École normale supérieure - Lyon - UL2 - Université Lumière - Lyon 2 - UCBL - Université Claude Bernard Lyon 1 - Université de Lyon - UJM - Université Jean Monnet [Saint-Étienne] - Université de Lyon - CNRS - Centre National de la Recherche Scientifique)
    Abstract: This paper concerns the birth of the idea of social justice, which in France dates to the 19th century. It argues that the idea of social justice was able to emerge in France due to particular conditions, which were met for the first time by the Saint-Simonians. We first shed light on the transition in France from a commercial system to one marked by increasing industrialization, which raised new questions regarding economic justice and the composition of ownership. The Saint-Simonians were among the first to criticize this new composition, and to seek a means to organize society on a fair basis. We then explain how the Saint-Simonians came to theorize this new organization: according to them, the value of things lies in work. The difference from the classical framework, which is also utilitarian, is that they posit an opposition between workers and idlers: each and every individual must be useful to society. Finally, we analyse how the Saint-Simonians identify this opposition as existing throughout history, on which basis they not only justify their innovative views on social justice, but legitimize their project as a whole.
    Keywords: Saint-Simonianism,Social justice,Ability,Industrialism
    Date: 2018–12–21
  11. By: Baishaki Das Saha (Women’s College, Kolkata, India); Debarati Mukherjee (Jadavpur University, Kolkata, India)
    Abstract: With the evolution of society the concept of well-being keeps on changing with initial emphasis on socio-cultural empowerment of human being. Any civilization reaches its highest excellence with the help of organized integrated human being. In the context of continuous changes of social structure - education, culture and creation has the prior role to fulfill this duty as, with the help of this three, human being can manifest its thought and work. Manifestation of thought and work are very much required for a civilization to sustain. The existence of human-being and society is closely interdependent and values have a very important role in this. In this new era of continuous changes, unification of culture and civilization, gives us a new path where by combining the old culture (ancient and medieval) with the new culture (modern) can take our society to its highest excellence. In 19th century when culturally rich Hindu civilization was in endangered situation, to protect the society Bhogini Nivedita started advocacy of real education and the rich Indian culture. The effects of her acts are still flowing in this 21st century. The purpose of this paper is to raise the important issues of ‘well-being’ of human and how it is going to play a role in making the future society – by the inspiration of sister Nivedita. The two main pillars of the Indian culture, that is ‘self-sacrifice’ and ‘service for others’ have an effect on education. Education and progress of women are the key powers of a nation. These two powers are the prime tools for socialization and organizing a society. It acts as a catalyst in realizing nationalism which can transmigrate into internationalism.
    Keywords: Empowerment, human being, Nationalism
    Date: 2018–11
  12. By: Nicola Gagliardi (SBS-EM, CEB and DULBEA); Benoît Mahy (University of Mons (humanOrg) and DULBEA); François Rycx (Université libre de Bruxelles (CEB and DULBEA), humanOrg, IRES, GLO and IZA)
    Abstract: This paper examines social upgrading related to firms’ participation in Global Value Chains (GVCs) from a developed countries’ perspective. Merging detailed matched employer-employee data relative to the Belgian manufacturing industry with unique information on firm-level upstreamness, we investigate whether workers on the upstream stage of GVCs benefit from higher wages. We also enrich our analysis with a gender dimension. Unconditional quantile regressions and decomposition methods reveal that firms’ upstreamness fosters workers’ social upgrading. Nevertheless, gains are found to be unequally shared among workers. Male top-earners are the main beneficiaries; whereas women, irrespective of their earnings, appear to be unfairly rewarded.
    Keywords: Social upgrading, global value chains, WagesGender, Developed countries
    JEL: J16 J31
    Date: 2018–12
  13. By: Susumu Cato (Institute of Social Science, the University of Tokyo, 7-3-1, Hongo, Bunkyo-ku, Tokyo 113-0033, Japan.); Adrien Lutz (Univ Lyon, UJM Saint-Etienne, GATE UMR 5824, F-42023 Saint- Etienne, France)
    Abstract: Kenneth Arrow is a founder of the social choice theory as well as a main developer of modern theories of market economies. Moral obligations and social norms are at the core of Arrow's ethical considerations to understand and overcome his well-known impossibility theorem of preference aggregation. Interestingly, he thinks that moral obligations and social norms are very important to overcome failures of market economies. Also, he proposed some interaction between public policies and evolution of social norms. Here, we can find a consistent and systematic thinking of Arrow's ethical considerations, which might be overlooked in spite of its importance. We believe that Arrow has political philosophy (or a theory of justice), which is quite useful to understand recent developments of behavioral economics and theories of non-market economies. Arrow's thought is totally different from Amartya Sen and John Rawls, which are dominant in modern theories of justice. Arrow's approach can shed some new lights on the subject of social justice.
    Keywords: Efficiency, Equity, Social justice, Moral obligation, Social choice, Communitarianism
    JEL: B22 D62 D63
    Date: 2018
  14. By: Isabelle Hillenkamp (CESSMA UMRD 245 - Centre d'études en sciences sociales sur les mondes africains, américains et asiatiques - IRD - Institut de Recherche pour le Développement - Inalco - Institut National des Langues et Civilisations Orientales - UPD7 - Université Paris Diderot - Paris 7, IRD - Institut de Recherche pour le Développement)
    Abstract: Principios y conceptos de la economía social y solidaria: para una economía plural, feminista y política Isabelle Hillenkamp, investigadora del Instituto de Investigaciones para el Desarrollo (IRD-CESSMA), Francia, París e investigadora asociada al Programa de pos-graduación en sociología de la Universidad Federal de São Carlos (PPGS-UFSCar), Brasil. Introducción Objetivos Esta ponencia tiene como objetivo proponer principios y conceptos para el análisis de la economía social y solidaria (ESS). Esta propuesta es desarrollada desde una triple mirada de economía plural, feminista y política. Resulta de un ejercicio de abstracción a partir de una diversidad de casos, de los cuales se intenta resaltar los principios y características conceptuales comunes. No es, por lo tanto, un ejercicio meramente teórico, sino que más bien parte de observaciones de campo. Estas son los resultados de mis propias investigaciones, en Bolivia, junto con organizaciones de productores y con grupos de mujeres y, en Brasil, también junto con grupos de mujeres, así como con llamados "Bancos Comunitarios de Desarrollo". Además, me baso en los resultados de investigaciones de otros autores que resumiré aquí muy brevemente. Es, pues, este universo que los organizadores de este seminario me pidieron que resuma y conceptualice. Ejemplos y contornos de la ESS Antes de empezar la discusión de los principios y conceptos, y tomando en cuenta que mi ponencia es la primera de este seminario, quisiera dar algunos ejemplos de lo que me refiero a través del término de ESS. Un primero caso son las asociaciones o cooperativas campesinas y agrícolas, como, por ejemplo, las Cooperativas del Ceibo en Bolivia, que representa un caso de organización colectiva en dos niveles-las cooperativas de base y la Central de cooperativas-para el acopio, la transformación y la comercialización del cacao. Otro caso importante, presente en todos los países de América latina, son los colectivos de mujeres, a menudo informales, y vinculados a espacios de socialización femenina como es, típicamente, la costura, la artesanía o la cocina. Una pregunta recurrente de este tipo de experiencia se refiere a las condiciones para que se consoliden y favorecen el empoderamiento de sus participantes, evitando el riesgo de reproducir la división sexual del trabajo y la explotación de las mujeres de bajo nivel de ingreso. En Brasil, en las últimas dos décadas, se desarrolló el modelo de Banco Comunitario de Desarrollo, a partir de la experiencia pionera del Banco Palmas, en la periferia de la ciudad de Fortaleza, en el nordeste de este país. Hoy en día, existen más de 100 de estos bancos en todo Brasil. Son,
    Date: 2017–08–30
  15. By: Francesco Macheda; Roberto Nadalini
    Abstract: The fall of the Icelandic economy in 2008 highlighted the destructive effects of unbridled markets. Yet, the small Nordic country has experienced an impressive recovery, so much so that in recent years its annual growth rates have been significantly higher than those of the overwhelming majority of advanced capitalist countries. Several commentators have attributed this extraordinary accomplishment to the interventionist state policies adopted by successive Icelandic governments. The aim of this article is to debunk this myth by delving into the fragile foundations that the current Icelandic economic boom rests on. We argue that the substantial growth of the real exchange rate has made the rapid absorption of unemployment compatible with price stability during the recovery period. At the same time, the boom in tourism services made the impressive appreciation of the Icelandic króna compatible with the country’s external balance. However, the laissez-faire approach shown by the Icelandic authorities towards the krona appreciation hasseverely penalized most of the tradable sector, in which the bulk of skilled labor is usually concentrated. Arguably, the heavy specialization in the tourism sector, by restricting sources of productivity growth and international competitiveness, will render the current level of unemployment and real wages inconsistent with internal and external equilibrium in Iceland in the long run.
    Keywords: Natural rate, Wage, Real exchange rate, Human Capital, Marxian
    JEL: E24 F31 J24 O33 B51
    Date: 2019–01

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