nep-pke New Economics Papers
on Post Keynesian Economics
Issue of 2009‒05‒30
four papers chosen by
Karl Petrick
University of the West Indies

  1. The State and Local Drag on the Stimulus By Dean Baker; Rivka Deutsch
  2. Pay for Play? Tax Credits for Paid Time Off By Dean Baker
  3. Empowering the IMF: Should Reform be a Requirement for Increasing the Fund's Resources? By Mark Weisbrot; Jose Cordero; Luis Sandoval
  4. David Riazanov e a edição das obras de Marx e Engels By Hugo Eduardo da Gama Cerqueira

  1. By: Dean Baker; Rivka Deutsch
    Abstract: This report shows that the $787 billion included in the 2009 ARRA will not have as much of an immediate effect on the economy as initially anticipated. After subtracting the annual AMT patch and acounting for state level spending and tax cuts, the full effect of federal stimulus will equal a little more than 1 percent of GDP a year, falling far short of what is needed to re-ignite the economy. While the 2009 recovery act was a vital first step towards restoring the nations economic foundation, this paper puts some perspective on the immediate effects of the stimulus.
    Keywords: economic stimulus, fiscal stimulus, recession, ARRA, unemployment
    JEL: H H2 H25 H3 I I1 I18 E E2 E24 E6 E62 E64
    Date: 2009–05
  2. By: Dean Baker
    Abstract: Economists are increasingly coming to the recognition that the current downturn is likely to be longer and more severe than they had expected at the time the last stimulus package was approved in February. As a result, there is likely to be interest in additional stimulus in order to boost the economy and lower the unemployment rate. This paper briefly outlines a method for Congress to quickly boost demand in the economy, while at the same time promoting important public ends: an employer tax credit for paid time off. This paid time off can take the form of paid family leave, paid sick days, paid vacation, or a shorter workweek. This tax credit can both provide short-term stimulus and also provide an incentive to restructure workplaces in ways that are more family friendly. It is possible that many workplaces may leave in place changes made to take advantage of this tax credit even after it has expired.
    Keywords: economic stimulus, fiscal stimulus, ARRA, recession, paid time off
    JEL: H H2 H25 H3 I I1 I18 E E2 E24 E6 E62 E64
    Date: 2009–03
  3. By: Mark Weisbrot; Jose Cordero; Luis Sandoval
    Abstract: This paper briefly reviews the IMF’s current practices and policy-making in the context of a proposed quadrupling of IMF resources to $1 trillion dollars, and a consequent increase in the Fund’s influence over economic policy-making in developing countries. It finds that the IMF is still prescribing inappropriate policies that could unnecessarily exacerbate economic downturns in a number of countries. The paper concludes that these pro-cyclical policies can exacerbate the world economic downturn. Perhaps more importantly, the re-establishment of the IMF as a major power in economic and decision-making in low-and-middle income countries, with little or no voice for these countries in the IMF’s decision-making, could have long-term implications for growth, development, and social indicators in many countries. The authors propose some reforms in the areas of governance and accountability to be attached of funding increases, in order to help prevent adverse outcomes.
    Keywords: IMF
    JEL: F F1 F13 F2 F21 F3 F31 F32 F33 F34 F37 F5 F53 F54
    Date: 2009–04
  4. By: Hugo Eduardo da Gama Cerqueira (Cedeplar-UFMG)
    Abstract: This article presents an outline of the biography of David Riazanov. The article discusses Riazanov’s participation in the political and intellectual life of Russia, and his role in the discovery and the publication of the literary legacy of Karl Marx and Friedrich Engels, which culminated in the first attempt to edit the Marx Engels Gesamtausgabe (MEGA).
    Keywords: David (Borisovich Goldendach) Riazanov; Karl Marx; Friedrich Engels; MEGA
    JEL: B31 B24 A31
    Date: 2009–05

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