nep-hme New Economics Papers
on Heterodox Microeconomics
Issue of 2025–11–17
fifteen papers chosen by
Carlo D’Ippoliti, Università degli Studi di Roma “La Sapienza”
  1. Understanding women’s time use in farming communities: Insights from the Women’s Empowerment in Agriculture Index By Abdu, Aishat; Malapit, Hazel J.; Go, Ara
  2. 'The more, the merrier': John R. McCulloch and the 'Corn Model' By Stefano Di Bucchianico; Alessandro Le Donne
  3. HIGHER EDUCATION AND THE REPRODUCTION OF THE WORLD SYSTEM By Korolija, Aleksandar
  4. The Elusive Domestic Revolution: Time Use and Gender Roles in Colombia By Juliana Jaramillo-Echeverri; Andrea Otero-Cortés; Ana María Tribín-Uribe; Marta Juanita Villaveces-Niño
  5. Modeling Uncertainty in Integrated Assessment Models By Yongyang Cai
  6. Feasibility of Fairtrade Adoption by Cashew Farmers and its Potential Contribution to the Sustainability in Guinea- Bissau By Nsengiyumva, Jean Claude; Monteiro, Filipa; Ferreira, Joana; Barai, Amidu Silva; Font, Montserrat Costa
  7. How Mises Goes Beyond Knight — and Why It Matters: Entrepreneurship, Calculation, and the Republic of Entrepreneurs By Heng-fu Zou
  8. Más allá del centro: periferias de género, conflicto y construcción de paz en Colombia By Angelika Rettberg; Luisa Salazar-Escalante; María Gabriela Vargas; Santiago Giraldo
  9. Evolutionary Finance: Models with Long-Lived Assets By Zerong Chen
  10. Evolutionary Dynamics of Industrial Policy in Chile (1990–2022): State Capacity and Innovation for Endogenous Development By Barra Novoa, Rodrigo
  11. Understanding The Virtue of Complexity By Bryan T. Kelly; Semyon Malamud
  12. Subordinating ‘alt-finance’: how British venture capital became dependent on the US By Kampmann, David; Peters, Nils
  13. EXTRACTIVE IMPERIALISM AND THE EXPERIENCES OF THE “LITHIUM TRIANGLE” By Korolija, Aleksandar
  14. Financialization, Personal Debt Burden, & the Black-White Pay Gap in the United States By Gouzoulis, Giorgos; Papadopoulou, Aggela
  15. Rediscovering Entrepreneurship in Cooperatives: Implications for Organization and Management in the Context of the German Wine Industry By Schulz, Frederik Nikolai; Hanf, Jon H.
  1. By: Abdu, Aishat; Malapit, Hazel J.; Go, Ara
    Abstract: Agricultural programs targeting women may increase women’s work burdens and shift the distribution of work between productive and reproductive tasks. Complementary information on women’s sense of control over their time highlights additional benefits of agricultural programs beyond changes in women’s workloads. Despite program interventions, gender norms often persist, affecting how communities perceive work intensity and division of responsibilities between men and women. The relationship between women’s time use and nutrition is complex and interacts with mediating factors, requiring a multifaceted approach to program design and evaluation. Evidence linking time use data to nonfarm work is lacking, highlighting the need to leverage WEAI time use data to fill this critical gap.
    Keywords: women; agriculture; gender; female labour; division of labour
    Date: 2025–05–06
    URL: https://d.repec.org/n?u=RePEc:fpr:othbrf:174463
  2. By: Stefano Di Bucchianico; Alessandro Le Donne
    Abstract: This paper offers new textual evidence supporting the Sraffian 'corn-ratio' interpretation of David Ricardo's early theory of profits. We analyze the first edition (1825) of John Ramsay McCulloch's Principles of Political Economy, arguing that it provides a clear articulation of the profit rate’s physical determination. McCulloch, Ricardo’s pupil, defines profit as the excess of commodities produced over those expended in production and calculates the profit rate directly in physical quantities of corn. This finding parallels the evidence found in Torrens, ultimately reinforcing the argument that the ‘corn model’ was deeply rooted in the early classical tradition. At last, our comparative analysis contrasts this initial, clear physical framework with McCulloch’s later shift towards value-centric reasoning.
    Keywords: John R. McCulloch, corn model, Sraffian interpretation, David Ricardo, rate of profit Jel Classification: A31, B12, B30
    Date: 2025–11
    URL: https://d.repec.org/n?u=RePEc:usi:wpaper:933
  3. By: Korolija, Aleksandar
    Abstract: The paper discusses the role of higher education in the reproduction of society. In the context of the world system, an attempt is made to shift the focus of reproduction from individual social formations to the world system as a whole. While Marxist and functionalist theories, which are used as a theoretical framework in this paper, were primarily focused on the reproduction of class societies at the level of social formations, this paper considers reproduction at the level of the world system. Analogous to internal class selection, it is claimed that nation-states are drawn into the reproduction of the world system so that peripheral countries train a part of their personnel for free for the countries of the core. This reproduction, which is based on unequal relations in the wider world economy, explains the phenomenon of ‘brain drain.’ In accordance with that, the possibility of political interventions within the individual states of the (semi)periphery, which would significantly disrupt the current systemic processes of reproduction, is viewed as pessimistically inadequate.
    Date: 2025–10–27
    URL: https://d.repec.org/n?u=RePEc:osf:socarx:afq2t_v1
  4. By: Juliana Jaramillo-Echeverri; Andrea Otero-Cortés; Ana María Tribín-Uribe; Marta Juanita Villaveces-Niño
    Abstract: This study examines the historical transformations in time use and gender roles in Colombia throughout the 20th century and their persistence in contemporary patterns. Drawing on census microdata and the 2016–2017 and 2020–2021 National Time Use Surveys, we document the evolution of paid and unpaid work across five generations of women and men. The findings confirm a swift increase in female labour force participation, particularly among highly educated women. However, the redistribution of household care lags, with perceptions of gender roles and social norms persisting. While women have succeeded in gaining a space in the public sphere, the division of unpaid work remains unequal, especially when kids are present in the household. Our analysis highlights the need for broader societal and policy interventions to address these structural disparities. **** RESUMEN: Este estudio examina las transformaciones históricas en el uso del tiempo y los roles de género en Colombia a lo largo del siglo XX, así como su persistencia hoy en día. A partir de microdatos censales y de las Encuestas Nacionales de Uso del Tiempo 2016–2017 y 2020–2021, documentamos la evolución del trabajo remunerado y no remunerado en cinco generaciones de mujeres y hombres. Los resultados muestran un rápido incremento en la participación femenina en el mercado laboral, particularmente entre las mujeres con mayores niveles educativos. Sin embargo, la redistribución de las responsabilidades de cuidado doméstico avanza a un ritmo más lento, con percepciones tradicionales sobre los roles de género y normas sociales que persisten en el tiempo, sobre todo cuando hay niños en el hogar. Nuestro análisis sugiere que aún se requieren intervenciones sociales y de política pública para enfrentar estas desigualdades estructurales.
    Keywords: Gender, social norms, paid work, non-paid work, time-use, Género, normas sociales, trabajo remunerado, trabajo no remunerado, uso del tiempo
    JEL: J16 J22 J13
    Date: 2025–11
    URL: https://d.repec.org/n?u=RePEc:bdr:cheedt:66
  5. By: Yongyang Cai
    Abstract: Integrated Assessment Models (IAMs) are pivotal tools that synthesize knowledge from climate science, economics, and policy to evaluate the interactions between human activities and the climate system. They serve as essential instruments for policymakers, providing insights into the potential outcomes of various climate policies and strategies. Given the complexity and inherent uncertainties in both the climate system and socio-economic processes, understanding and effectively managing uncertainty within IAMs is crucial for robust climate policy development. This review aims to provide a comprehensive overview of how IAMs handle uncertainty, highlighting recent methodological advancements and their implications for climate policy. I examine the types of uncertainties present in IAMs, discuss various modeling approaches to address these uncertainties, and explore recent developments in the field, including the incorporation of advanced computational methods.
    Date: 2025–10
    URL: https://d.repec.org/n?u=RePEc:arx:papers:2511.00378
  6. By: Nsengiyumva, Jean Claude; Monteiro, Filipa; Ferreira, Joana; Barai, Amidu Silva; Font, Montserrat Costa
    Abstract: Guinea-Bissau, a former Portuguese colony, has been heavily affected by constant political instabilities since its independence in 1973. The country produces high-quality cashew nuts, but the dysfunctionality of home institutions has produced an inefficient supply chain which pushed smallholder farmers into poverty and severe food insecurity. Voluntary certifications which encourage micro-level organizations based on cooperatives present a solution to thousands of farmers. This empirical study provided primary insights on determining the feasibility of Fairtrade adoption for the cashew cooperatives and analysed whether the promises of Fairtrade can potentially contribute to the sustainability of the supply chain in Guinea Bissau. The study considered four cooperatives covering four different regions. The findings showed that cashew cooperatives meet some of the Fairtrade standards such as consisting of smallholder farmers and being primary decision makers of their cashew orchard management. Still, there are practices and behaviours which don’t align with Fairtrade principles such as the use of hired child labour. Adoption of Fairtrade would contribute to the sustainability of the supply chain through increasing farmgate prices, reliable market, etc which would increase farmers’ income, improve food security, and enhance communities’ development. Future research should include other players in the supply chain such as traders and exporters.
    Keywords: Crop Production/Industries, Labor and Human Capital, Supply Chain, Sustainability
    URL: https://d.repec.org/n?u=RePEc:ags:aes024:355330
  7. By: Heng-fu Zou (Institute for Advanced Study, Wuhan University; World Bank)
    Abstract: Frank H. Knight's Risk, Uncertainty and Profit(1921) gave economics the canonical distinction between risk and uncertainty and explained profit as the residual return to the bearer of genuine (non-probabilistic) uncertainty. Ludwig von Mises's Human Action (1949) subsumes Knight's insight within a far more comprehensive architecture. Mises embeds en trepreneurship in a praxeological theory of action; shows that monetary calculation and market prices are the preconditions for entrepreneurial judgment; analytically separates entrepreneurial profit from interest, wages, and monopoly gains; locates entrepreneurial roles throughout firms and markets (not only in owner-insurers); frames competition as a dynamic selection process guided by profit and loss; links monetary-financial regimes to systematic entrepreneurial error (business cycles); and derives the institutional constitution-private property, open entry, freedom of contract - of what we call a republic of entrepreneurs. This paper reconstructs Mises's entrepreneur in depth, contrasts it with Knight's narrower uncertainty- bearing vantage, and develops measurable implications for growth, policy, and political economy.
    Date: 2025–10–31
    URL: https://d.repec.org/n?u=RePEc:cuf:wpaper:800
  8. By: Angelika Rettberg (Universidad de los Andes); Luisa Salazar-Escalante (Universidad de los Andes); María Gabriela Vargas (Universidad de los Andes); Santiago Giraldo (Universidad de los Andes)
    Abstract: Esta investigación nace de la necesidad de escuchar las narrativas que no siempre caben en los discursos hegemónicos sobre género, conflicto y paz. A través de una metodología cualitativa, participativa e interseccional, nos acercamos a las voces de mujeres rurales, afrodescendientes e indígenas en Montes de María, Urabá, Chocó y Caquetá, para comprender su percepción del impacto de las dinámicas centro-periferia en el conflicto armado y la construcción de paz en Colombia, con un enfoque en las desigualdades de género en estos territorios. Parte de los hallazgos dan cuenta de que las mujeres situadas en estos territorios enfrentan múltiples formas de violencia (estructural, armada, política y doméstica), al tiempo que despliegan prácticas de resistencia, cuidado, liderazgo y memoria que configuran una política desde abajo. El estudio visibiliza el papel de las mujeres en las periferias como actoras con agencia transformadora, cuyas prácticas desafían la centralización de saberes, recursos y legitimidad. Asimismo, identifica tensiones internas entre agendas feministas, marcadas por diferencias étnicas, generacionales, territoriales y de acceso a recursos que amplían el repertorio político del feminismo colombiano. También se profundiza en las condiciones estructurales que enfrentan las mujeres, como la triple jornada laboral y la triple inseguridad, y en el papel estratégico de la memoria como forma de economía política y resistencia simbólica. Finalmente, se cuestiona la eficacia de los marcos normativos nacionales e internacionales cuando no se adaptan a las realidades territoriales, y se argumenta que el activismo de las mujeres en las periferias representa una propuesta política de fondo para la transformación social y la construcción de una paz más incluyente.
    Keywords: centro-periferia, género, feminismos, seguridad, conflicto armado, construcción de paz.
    JEL: B54 D71 D74 I31 J16
    Date: 2025–10
    URL: https://d.repec.org/n?u=RePEc:col:000089:021738
  9. By: Zerong Chen
    Abstract: Evolutionary Finance explores the "survival and extinction" questions of investment strategies (portfolio rules) in the market selection process. It models the stochastic dynamics of financial markets based on behavioral and evolutionary principles, where asset prices are determined endogenously by short-run equilibrium between supply and demand, arising from the interaction of competing portfolio rules. This paper presents a survey of developments in Evolutionary Finance with a focus on long-lived, dividend-paying risky securities, where the budget of each investor comes from asset dividends and capital gains. We review several key models in this area addressing the following problems in order: 1) the most general results under the most general assumptions; 2) global evolutionary stability under restrictive assumptions; 3) viewing the model from a different, game-theoretic, perspective and examining almost sure Nash equilibrium strategies under restrictive assumptions. A central goal of the study is to identify an investment strategy that allows an investor to survive in the market selection process, i.e., to keep with probability one, a strictly positive, bounded away from zero share of market wealth over an infinite time horizon, irrespective of the strategies used by other investors. The main results are under general assumptions, such a survival strategy -- an analogue of the famous Kelly rule of "betting one's beliefs" exists -- and is asymptotically unique (within a specific class of strategies called basic). Moreover, under the required stronger assumptions, the Kelly rule is globally evolutionarily stable and is the unique investment strategy that forms a symmetric Nash equilibrium almost surely.
    JEL: C73 D53 G11 D58
    Date: 2025–10
    URL: https://d.repec.org/n?u=RePEc:man:sespap:2501
  10. By: Barra Novoa, Rodrigo
    Abstract: The study examines the evolution of Chile’s industrial policy between 1990 and 2022 through the lens of state capacity, innovation, and endogenous development. In a global context where governments are reclaiming a proactive role in fostering innovation, Chile presents a paradox. It is a stable and open economy that has expanded investment in science, technology, and innovation but still faces structural barriers to turning that investment into sustainable capabilities. Drawing on the works of Mazzucato, Aghion, Howitt, Mokyr, Samuelson, and Sampedro, the research integrates evolutionary economics, public policy, and humanist ethics to assess Chile’s capacity for innovation-driven transformation. Using a longitudinal case study approach and official data, the study finds institutional progress but persistent coordination gaps, regional disparities, and a fragile culture of knowledge. It concludes that inclusive and sustainable innovation will require adaptive governance, long-term vision, and an ethical understanding of innovation as a public good.
    Keywords: State capacity, Innovation, endogenous development, industrial policy, Chile, entrepreneurial state
    JEL: O25 O1 O38 E02 L52 P42
    Date: 2025
    URL: https://d.repec.org/n?u=RePEc:zbw:esprep:330597
  11. By: Bryan T. Kelly (Yale SOM; AQR Capital Management, LLC; National Bureau of Economic Research (NBER)); Semyon Malamud (Ecole Polytechnique Federale de Lausanne; Centre for Economic Policy Research (CEPR); Swiss Finance Institute)
    Abstract: Recent papers have challenged certain aspects of the "virtue of complexity" described by Kelly et al. (2024b) (KMZ) and related work. These challenges ultimately have little bearing on the theoretical arguments or empirical findings of KMZ. They do, however, provide a valuable opportunity to better understand the nuanced behavior of complex models. In addition to responding to recent challenges, we provide detailed discussions of how complex models learn in small samples, the roles of "nominal" and "effective" complexity, the unique effects of implicit regularization, and the importance of limits to learning. We then present new empirical and theoretical analyses that expand on KMZ. Finally, we introduce and demonstrate the virtue of ensemble complexity.
    Keywords: Portfolio choice, machine learning, random matrix theory, benign overfit
    JEL: C58 C61 G11 G12 G14
    Date: 2025–07
    URL: https://d.repec.org/n?u=RePEc:chf:rpseri:rp2596
  12. By: Kampmann, David; Peters, Nils
    Abstract: Is the formation of venture capital (VC) markets a national phenomenon? Against the common view that VC emerged in the US in the post-WWII period and later (yet independently) in Europe, we argue that the uneven relation between US and UK VC markets was crucial for British VC formation since the 1980s. Based on an empirical analysis of secondary literature and financial data, the article demonstrates that this relation is better understood through the lens of international financial subordination and identifies three types of dependencies to qualify this relation: the dependencies of UK VC on US start-up investments, US growth capital, and US exit deals. This type of financial subordination is specific to ‘alternative finance’, because highly profitable VC exits kick-started a flywheel effect in UK VC in the 2000s, and the subsequent expansion of British VC went hand in hand with a concentration of capital because UK VC followed a ‘winners-take-all’ logic that is characteristic of alt-finance in general. This suggests, counterintuitively, that after UK VC formed, the US economy benefitted more in financial, economic, and technological terms from the growing British VC market than its UK counterpart mainly because most large exit deals took place in the US.
    Keywords: international financial subordination; dependency; technological innovation; US finance; UK start-up economy; venture capital
    JEL: F3 G3
    Date: 2025–11–11
    URL: https://d.repec.org/n?u=RePEc:ehl:lserod:130147
  13. By: Korolija, Aleksandar
    Abstract: This paper examines the concept of extractive imperialism through the lens of the experiences in the “Lithium Triangle.” Extractive imperialism represents a contemporary iteration of historical colonial practices, characterised by the exploitation of natural resources by transnational corporations in underdeveloped countries, frequently resulting in socio-environmental conflicts. This work concentrates on the Lithium Triangle in South America, comprising Chile, Argentina, and Bolivia, where extensive lithium deposits have attracted considerable foreign investment. The analysis demonstrates how the interplay between global capital and national governments frequently results in the marginalisation of local communities, thereby exacerbating social tensions and environmental degradation. The work elucidates the contrasting definitions of extractivism and neo-extractivism, underscoring the persistent exploitation and centralisation of wealth. By focusing on the socio-political dynamics and ownership structures in these regions, the paper emphasises the necessity for sustainable and equitable resource management practices. The work contributes to a broader understanding of extractive practices in the Global South, advocating for policies that prioritise the rights and livelihoods of indigenous populations and local communities over transnational corporate interests.
    Date: 2025–05–13
    URL: https://d.repec.org/n?u=RePEc:osf:socarx:ksf8v_v1
  14. By: Gouzoulis, Giorgos; Papadopoulou, Aggela
    Abstract: This paper examines the Black-White pay gap in the United States from 1989 to 2024 using quarterly data from the Bureau of Labor Statistics and the Federal Reserve's Distributional Financial Accounts. Building on existing political economy research, which suggests that personal debt reduces workers' bargaining power by making them more risk-averse in wage negotiations - particularly when job loss threatens their ability to service debt - this study argues that racial discrimination in both personal credit markets and wage negotiations disproportionately disciplines racialized social groups. Regression analysis shows that rising household debt liabilities-to-assets ratios for Black households and a higher share of white business owners have crucially contributed to the persistent wage gap between Black and White Americans. Interestingly, interacting the two coefficients shows that a higher share of white businesses slightly mitigates the effect of debt held by Black workers on the black-white earnings gap. This potentially implies that, despite discriminatory practices, white businesses might represent a relatively more stable employment option for indebted Black workers, thereby reinforcing a vicious cycle of self-perpetuating racialized economic inequality.
    Keywords: Racial Pay Gap, Personal Debt, Household Financialization, United States
    JEL: B50 J15 J31 J70
    Date: 2025
    URL: https://d.repec.org/n?u=RePEc:zbw:glodps:1686
  15. By: Schulz, Frederik Nikolai; Hanf, Jon H.
    Keywords: Agribusiness
    Date: 2024
    URL: https://d.repec.org/n?u=RePEc:ags:gewi24:364757
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