nep-hme New Economics Papers
on Heterodox Microeconomics
Issue of 2021‒02‒01
ten papers chosen by
Carlo D’Ippoliti
Università degli Studi di Roma “La Sapienza”

  1. Exploring Narrative Economics: An Agent-Based-Modeling Platform that Integrates Automated Traders with Opinion Dynamics By Kenneth Lomas; Dave Cliff
  2. Financialisation and rental housing: A case study of Berlin By Davies, Clementine
  3. An Application of Searle’S Theory of Social Phenomena to New Institutional Economics By Javier Legris; Paulo Pascuini
  4. Does poverty have a future? Today's realities, tomorrow's utopias By Villela Jean-Marie
  5. Nourrir, produire, protéger les personnes et les ressources - Les voies d’une transition agroécologique du système bioalimentaire québécois By Patrick Mundler
  6. The Informal Economy and Collective Cooperation in India: Lessons from Ela Bhatt By Pravin Sinha
  7. Financial Cooperatives in Haiti By Ilka Funke; World Bank Group
  8. An obituary for austerity narratives? An experimental analysis of public opinion shifts and class dynamics during the Covid-19 crisis By Ferragina, Emanuele; Zola, Andrew
  9. The Origin of the Sharing Economy Meets the Legacy of Fractional Ownership By Francesco Pasimeni
  10. La Economía y la Política Económica en la Crisis de 1962/3 By Aníbal Jáuregui

  1. By: Kenneth Lomas; Dave Cliff
    Abstract: In seeking to explain aspects of real-world economies that defy easy understanding when analysed via conventional means, Nobel Laureate Robert Shiller has since 2017 introduced and developed the idea of Narrative Economics, where observable economic factors such as the dynamics of prices in asset markets are explained largely as a consequence of the narratives (i.e., the stories) heard, told, and believed by participants in those markets. Shiller argues that otherwise irrational and difficult-to-explain behaviors, such as investors participating in highly volatile cryptocurrency markets, are best explained and understood in narrative terms: people invest because they believe, because they have a heartfelt opinions, about the future prospects of the asset, and they tell to themselves and others stories (narratives) about those beliefs and opinions. In this paper we describe what is, to the best of our knowledge, the first ever agent-based modelling platform that allows for the study of issues in narrative economics. We have created this by integrating and synthesizing research in two previously separate fields: opinion dynamics (OD), and agent-based computational economics (ACE) in the form of minimally-intelligent trader-agents operating in accurately modelled financial markets. We show here for the first time how long-established models in OD and in ACE can be brought together to enable the experimental study of issues in narrative economics, and we present initial results from our system. The program-code for our simulation platform has been released as freely-available open-source software on GitHub, to enable other researchers to replicate and extend our work
    Date: 2020–12
  2. By: Davies, Clementine
    Abstract: This paper seeks to understand the extent financialisation has had an impact on the rental housing market in Berlin. Specifically, it focuses on the financialisation of non-financial rental housing companies. The financial statements of five large, publicly listed, commercial rental housing companies in Berlin are examined for three operationalisations of financialisation: as a means of accumulation, as a mode of corporate governance, and as the prioritisation of short-term perspectives. Findings show no trends of firms increasingly relying on financial instruments for profit but did show increased shareholder orientation and short termism. Implications for the supply, price and quality of rental housing in Berlin are discussed.
    Keywords: financialisation,homeownership,firm ownership structure,rental housing,rental market,Berlin
    JEL: G3 G32 L2 N2 R21 R31
    Date: 2021
  3. By: Javier Legris (Instituto Interdisciplinario de Economía Política de Buenos Aires - UBA - CONICET); Paulo Pascuini (Instituto Interdisciplinario de Economía Política de Buenos Aires - UBA - CONICET)
    Abstract: In Economics the notion of institution is not sufficiently defined, at least not in a formal way. In this paper, some elements of Searle’s foundation for the formal study of social phenomena are taken to propose a more comprehensive and formal characterization of the concept. Also, for the purposes of an intuitive understanding of the proposal’s attributes, it is tried out an application to the concept of institution in the case of New Institutional Economics, at least Williamson’s account (1975).
    Keywords: New Institutional Economics, Institution, John Searle, Philosophy of Sociality, Philosophy of Economics
    JEL: B41 B52 D23
  4. By: Villela Jean-Marie (CRULH - Centre de Recherche Universitaire Lorrain d'Histoire - UL - Université de Lorraine)
    Abstract: Asking the question about the future of poverty is, in a way, postulating that our societies will not succeed, contrary to what the programmes or plans to fight poverty suggest, in "eradicating" it. The traditional monetary dimension of poverty, if it is analysed as a consequence of the loss or absence of the fundamentals of existence (work, social status, rights and obligations, etc.), provides objective data to qualify poverty both from a historical point of view and in a prospective approach. It is this first, traditional approach that is first addressed in this contribution, while being aware of its limits. We close this first moment with an approach to the representations of poverty, particularly in its relative aspects. Secondly, we open the reflection on the recurrent, still unresolved question of global warming and, more immediately, that of the pandemic linked to Covid 19, as contemporary determinants of the increase in poverty. We conclude by re-examining the dominant political and economic model in Western societies, whose perpetuation without radical change, or, on the contrary, the realisation that other paths are possible, seems to us to be one of the challenges of change, no doubt including a part of utopia, towards a world truly free of poverty. This article is part of a wider research project organised by CNAHES Grand Est and ARHESS Lorraine Champagne Ardennes: "Poverty, yesterday, today and tomorrow?
    Abstract: Poser la question de l'avenir de la pauvreté, c'est en quelque sorte, postuler que nos sociétés ne parviendront pas, contrairement à ce que suggèrent les programmes ou plans de lutte contre la pauvreté, à « éradiquer » celle-ci. La dimension monétaire traditionnelle de la pauvreté , si elle s'analyse comme une conséquence de la perte ou de l'absence de fondamentaux de l'existence (un travail, un statut social, des droits et obligations…), fournit une donnée objective pour qualifier la pauvreté tant d‘un point de vue historique que dans une approche prospective. C'est cette première approche, traditionnelle qui est dans un premier temps abordée dans cette contribution, tout en étant conscient de ses limites. Nous clôturons ce premier moment par une approche des représentations de la pauvreté, notamment dans ses aspects relatifs. Dans un deuxième temps, nous ouvrons la réflexion sur la question récurrente, toujours non résolue, du réchauffement climatique, et, plus immédiate, celle de la pandémie liée à la Covid 19, comme déterminants contemporains de l'accroissement de la pauvreté. Nous concluons en réinterrogeant le modèle politique et économique dominant dans les sociétés occidentales, dont la perpétuation sans évolution radicale, ou au contraire la prise de conscience que d'autres voies sont possibles, nous semble être l'un des enjeux du changement, comprenant sans doute une part d'utopie, vers un monde réellement sans pauvreté. Cet article est réalisé dans le cadre d'une recherche plus large organisée par le CNAHES Grand Est et l'ARHESS Lorraine Champagne Ardennes: "La pauvreté, hier aujourd'hui et demain?".
    Keywords: pauvreté,réchauffement climatique,immigration,pandémie,Covid 19,sous-développement
    Date: 2020–12–07
  5. By: Patrick Mundler
    Abstract: La pandémie de la COVID 19 a suscité de nombreuses réflexions relatives à notre système alimentaire et à sa résilience. Dans un contexte d’inquiétude concernant la sécurité des approvisionnements, le système alimentaire québécois a fait preuve d’une remarquable capacité d’adaptation. Cette crise révèle néanmoins les dangers réels qui menacent l’humanité du fait de l’effondrement de la biodiversité et des changements climatiques. Dans ce contexte, les débats concernant une amélioration de l’autonomie alimentaire du Québec devraient s’appuyer sur un inventaire exhaustif et critique des multiples dépendances qui caractérisent notre système bioalimentaire. Ces dépendances ne concernant pas seulement les produits alimentaires, mais également la main d’œuvre, les équipements et les intrants. L’analyse de notre actuel système alimentaire montre divers déséquilibres avec des productions très excédentaires et tournées vers l’exportation, et des productions, notamment les céréales et les oléo protéagineux destinés à l’alimentation humaine, qui ne représentent qu’une part infime de notre assolement dominé par le maïs et le soya destinés à l’alimentation animale. Cette spécialisation pousse à la concentration et est à la source de diverses pratiques dommageables pour la préservation de nos agroécosystèmes. Dans ce contexte, la crise de la COVID 19 crée un choc spécifique ouvrant la possibilité de repenser le soutien au secteur bioalimentaire, afin de favoriser une transition agroécologique vers des modèles de production, de transformation et de distribution plus économes et plus autonomes, dont la vocation serait à la fois de nourrir les québécois et de prendre soin de nos ressources naturelles et humaines. Faisant appel à la théorie des transitions, nous défendons la thèse selon laquelle la réponse à la crise ne peut se restreindre au remplacement de quelques importations par des productions locales. La crise devrait être l’occasion de réfléchir plus globalement aux mesures à prendre pour accompagner la transition agroécologique de notre système bioalimentaire de façon à le rendre plus durable et résilient. Le rôle des politiques publiques dans cette nécessaire transition est majeur. Il s’agit tout à la fois de définir une vision et de l’appuyer avec des incitations utilisant divers outils dont l’éco-conditionnalité; d’ouvrir les politiques de soutien à l’innovation, trop souvent pensées dans la seule perspective d’améliorer la productivité et la compétitivité; de repenser le système d’innovation afin de le rendre moins descendant; de favoriser l’éclosion et le développement de niches prometteuses porteuses d’avenir et capables d’infléchir le régime en place; et de procéder à une analyse critique des programmes actuels de soutien afin petit à petit de retirer ceux qui favorisent le maintien du statu quo et d’examiner quels leviers pourraient être utilisés pour favoriser les transformations souhaitées.
    Keywords: , Système bioalimentaire,Autonomie alimentaire,Transition agroécologique,Régime sociotechnique,Niches d’innovation
    Date: 2020–12–03
  6. By: Pravin Sinha
    Abstract: Increasing informality and inequality have been recognised as the two primary outcomes of the twenty-first century globalisation. With growing intensity of the two problems, the world seems to be returning to the nineteenth-century precarious conditions in the world of work. Absence of judiciable status of the worker in informal economy has caused widespread violations of workers’ rights. Consequently, all the protective legislations and ILO standards have failed to extend the desired protection to informal workers, amongst whom the presence of women is dominant, more so in countries of the Global South. Mahatma Gandhi’s philosophy of ‘Trusteeship’ functional on the principle of classless cooperation that has proved successful, particularly among women self-employed workers, needs to be examined and emulated. The practice of ‘collective cooperation’ as against ‘collective bargaining’ has not only led to the establishment of harmonious relationship between capital and labour, but has also enabled the SEWA entrepreneurs to work towards securing decent conditions of work with justifiable returns. As collective bargaining is the central principle of social dialogues in a formal economy, collective cooperation ought to become the basic rule for informal economy.
    Date: 2021–01
  7. By: Ilka Funke; World Bank Group
    Keywords: Finance and Financial Sector Development - Finance and Development Finance and Financial Sector Development - Financial Regulation & Supervision Law and Development - Financial Law Rural Development - Rural Microfinance and SMEs
    Date: 2019–01
  8. By: Ferragina, Emanuele; Zola, Andrew
    Abstract: The Covid-19 pandemic is disrupting the international political economy context unlike any event since World War II. As a consequence, the French government has, at least momentarily, reversed decades of fiscal consolidation policies sedimented around austerity narratives by instating a costly emergency furlough scheme for a third of the workforce. This crisis provides a natural setting to investigate the relations among an emerging "critical juncture" in political economy, public preferences, and the salience of austerity narratives. We collected panel data and administered two experiments to test if citizens' viewpoints are sensitive to the trade-off between health and economics, still receptive to austerity narratives, and conditioned by socioeconomic status in supporting them. We find public viewpoints were highly swayable between health and economic concerns at the first peak of the epidemic outbreak in April 2020, but they were not influenced by the austerity narratives during the phase-out of the lockdown in June, with the exception of the upper class. Overall, public support is shifting in favor of increased social spending, and austerity might no longer inhabit the majority's "common sense." We conclude with further implications for the study of class and conflict in a post-pandemic world.
    Keywords: austerity narratives,class dynamics,constructivism,Covid-19,crisis,public opinion,welfare state
    Date: 2020
  9. By: Francesco Pasimeni (Science Policy Research Unit (SPRU), University of Sussex.)
    Abstract: The sharing economy is changing the consumption and ownership of goods. As consumption becomes more and more characterised by sharing and access-based consumption, ownership is becoming more concentrated. The literature on the sharing economy focuses almost exclusively on shared consumption practices and rather overlooks the question of ownership despite a substantial body of work on forms of shared ownership, that is, fractional ownership. In this paper, I study the extent of the linking between these two streams of work and whether they have a common conceptual base. I analyse the citations networks of these academic literatures, using the Leiden algorithm of community detection and main-path analysis. I find that the sharing economy literature originated in consumer research that debates over sharing as opposed to possession, and in work on transaction costs. I draw on the strand of work on fractional ownership and identify three sharing economy aspects: psychological ownership, anticommons and exclusion of group cooperation. The findings allow a better understanding of the characteristics of the sharing economy and open avenues for future research on fractional ownership models in the sharing economy.
    Keywords: Sharing Economy; Fractional Ownership; Leiden Community Detection, MainPath Analysis, Citation Network
    Date: 2020–12
  10. By: Aníbal Jáuregui (Instituto Interdisciplinario de Economía Política de Buenos Aires - UBA - CONICET)
    Abstract: El golpe de Estado inconcluso de marzo de 1962 disparó una serie de respuestas económicas en buena medida inesperadas por los actores concentrados en resolver los agudos problemas institucionales del momento. Con la economía a la deriva, los ministros del ramo buscaron encaminar con escasos recursos la situación acudiendo a las recomendaciones ortodoxas del Fondo. Sin embargo, en este contexto se consolida un nuevo tipo de heterodoxia liderada por Prebisch y la Comisión Económica para América Latina.
    Keywords: Ruptura Institucional, Presidencia De Guido, Ministerio De Economía, Planificación Económica
    JEL: N16 N46 H60

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