|
on Post Keynesian Economics |
| By: | Matías Vernengo (Bucknell University) |
| Abstract: | This paper critically analyzes Geoffrey Hodgson’s definition of heterodox economics as the refutation of the orthodox view that emphasizes utility maximization as its main theoretical core, and his view that it is the fragmentation of heterodox economics that explains its subsidiary role within the profession. Hodgson’s views led to a series of responses, that criticize his definition, but also present significant problems of their own. The limitations of Hodgson and his critics’ views are contrasted with an alternative definition that emphasizes the importance of conflictive distribution and the principle of effective demand in the long run. The idea of a broad tent, from a sociological point of view, does not preclude the need for a clear analytical definition of heterodoxy. The broad tent should be seen as part of a strategy of survival. |
| Keywords: | Economic Methodology; Heterodox Economics |
| JEL: | B4 B5 |
| Date: | 2025–02 |
| URL: | https://d.repec.org/n?u=RePEc:ris:sraffa:023857 |
| By: | Stamegna, Marco; D’Alessandro, Simone; Heydenreich, Till; Morlin, Guilherme |
| Abstract: | This paper uses the Eurogreen+ macrosimulation model to assess the macroeconomic effects of the increase in Italy’s military expenditure needed to meet the NATO target for core defence requirements adopted in 2025. Eurogreen+ is a stock-flow consistent model of the Italian economy, grounded in post-Keynesian theory and featuring a dynamic input-output structure (Cano Ortiz et al., 2026). The analysis simulates the effects of a 1.5-percentage-point increase in military expenditure over a five-year horizon under alternative fiscal and monetary policy stances. The results indicate that a deficit-financed increase in military expenditure raises GDP and employment while lowering the debt-to-GDP ratio, but at the cost of a significant deterioration in the trade balance. By contrast, when the increase in military expenditure is financed through proportional cuts to other components of public expenditure, the effects become strongly contractionary, reducing GDP and employment, increasing the debt-to-GDP ratio, and crowding out social expenditure. These findings suggest that military expenditure exhibits a lower fiscal multiplier than the civilian expenditures it displaces. Finally, a more accommodative monetary policy partly offsets the adverse effects on the debt-to-GDP ratio but leaves the negative effects on GDP, employment, social expenditure, and the trade balance largely unchanged. |
| Keywords: | Military expenditure; fiscal multipliers; input-output; dynamic macrosimulation |
| JEL: | E17 E62 H50 H56 |
| Date: | 2026–09 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:130923 |
| By: | Villalobos López, José Antonio |
| Abstract: | This paper analyses the influence of the philosophical principles of thinkers such as Plato, Aristotle, Thomas Aquinas, Locke, Montesquieu, Rousseau, Kant, Smith, Mill, Marx, Keynes, Popper, Rawls and Sen on the shaping of Mexican economic policy during the 2019–2024 presidential term. A qualitative approach involving a literature review and critical-interpretative analysis is employed, combining classical philosophical texts with official documents from the New Economic Policy, structured around five key pillars: democracy, justice, honesty, austerity and well-being. The results show that the public policies and social programmes implemented (including an increase in the number of elderly pensioners and universal grants for state school pupils, amongst others) contributed to a 30 per cent reduction in multidimensional poverty over the period and succeeded in increasing the real minimum wage by 116 per cent. The study demonstrates that the fundamental principles of Mexican economic policy are underpinned by the philosophical reflections of the authors analysed. |
| Keywords: | Economic policy; political economy; political philosophy; public ethics; social justice |
| JEL: | E65 |
| Date: | 2026–10–13 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:131401 |
| By: | Bui Trinh (FPT School of Business and Technology, FPT University, Hanoi, Vietnam) |
| Abstract: | Marxian, Sraffian, and Miyazawa approaches share an important analytical concern: production, income distribution, and economic reproduction cannot always be treated as independent phenomena. Nevertheless, they approach this relationship from fundamentally different theoretical and mathematical perspectives. Marx developed a theory of capitalist reproduction in which the production of commodities and surplus value is inseparable from class relations and the accumulation process. Sraffa constructed a system of production of commodities by means of commodities in which relative prices, the wage-profit distribution, and the surplus are determined from the technical conditions of production together with a distributional variable. Miyazawa, by contrast, extended the Leontief input-output system by endogenizing household consumption and income formation, thereby establishing an explicit feedback between production and income distribution. This paper examines the relationship between these approaches through the structure of the extended Miyazawa multiplier. The resulting structure reveals an income-consumption-production-income feedback mechanism, which the paper argues can be interpreted as an operator of economic propagation and reproduction. The interpretation does not identify Miyazawa with Marx or Sraffa; rather, it shows that the Miyazawa framework provides an empirical input-output representation of a mechanism that is conceptually related to the broader classical and Marxian concern with reproduction and distribution. The paper further discusses how this operator interpretation can be extended to demographic-economic models and interregional input-output systems, offering a possible bridge between input-output analysis, demographic-economic feedback, and classical political economy. |
| Keywords: | Miyazawa multiplier, Marx, Sraffa, input-output analysis, income distribution, economic reproduction, Leontief inverse, demographic-economic model, interregional input-output, propagation operator |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:dpc:wpaper:0203 |
| By: | André Moulin (CPN - Centre Pierre Naville - UEVE - Université d'Évry-Val-d'Essonne - Université Paris-Saclay, SOPHIAPOL - Sociologie, philosophie et anthropologie politiques - UPN - Université Paris Nanterre) |
| Abstract: | This collection brings together analytical summaries of articles by André Moulin (University of Évry, CPN laboratory) focusing on the characterisation of contemporary capitalism and its possible developments. It brings together critical analyses (Category C and D articles from the research programme ‘Actualisation and Mobilisation of Spinoza in the Humanities and Social Sciences'), the common aim of which is to examine the mechanisms of appropriation of the means of production — a perspective systematically absent from mainstream economic analyses, whether liberal, Marxist or heterodox. All these articles are based on a shift in perspective: whilst the economic tradition – including Marx – centres its analysis on the distribution of surplus value (the division of wages and dividends, the exploitation of labour power), the research programme shifts the focus to the prior and more fundamental question of the acquisition of the means of production. Two pivotal questions underpin this shift: who pays for the means of production? and who appropriates them? The answer that the articles patiently construct is paradoxical: in contemporary capitalism, it is not the one who pays who appropriates them — provided that it is the collective of wage earners. |
| Abstract: | Ce recueil rassemble des résumés analytiques d'articles d'André Moulin (Université d'Évry, laboratoire CPN) portant sur la caractérisation du capitalisme contemporain et ses évolutions possibles. Il regroupe des analyses critiques (articles de catégorie C et D du programme de recherche Actualisation puis mobilisation de Spinoza dans les sciences humaines et sociales) dont l'objet commun est d'examiner les mécanismes d'appropriation des moyens de production — un angle systématiquement absent des analyses économiques dominantes, qu'elles soient libérales, marxistes ou hétérodoxes. L'ensemble de ces articles repose sur un déplacement de regard : là où la tradition économique — Marx inclus — centre l'analyse sur la répartition de la plus-value (partage salaires/dividendes, exploitation de la force de travail), le programme de recherche déplace l'attention vers la question antérieure et plus fondamentale de l'acquisition des moyens de production. Deux questions-pivot structurent ce déplacement : qui paye les moyens de production ? et qui se les approprie ? La réponse que les articles construisent patiemment est paradoxale : dans le capitalisme contemporain, ce n'est pas celui qui paye qui s'approprie — dès lors qu'il s'agit du collectif de salariés. |
| Keywords: | capitalisme, actionnaires, actifs, moyens de production, propriété, appropriation |
| Date: | 2026–05–02 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05811131 |
| By: | Chandni Dwarkasing (Department of Economics, SOAS University of London. Russell Square, London WC1H 0XG, UK) |
| Abstract: | Microeconomic frameworks, including those advanced within ecological economics, relate ecological disruption to what enters or leaves production and address it through internalisation, an approach whose contradictions are widely documented. This paper argues that these frameworks presuppose an analytical condition, that of \textit{capital bargaining on behalf of nature}, which rests on exchange value-based commensurability and the exogenous treatment of distribution. Together, these carry a narrative in which capital is nature's sole interlocutor. The paper does not claim that this condition causes ecological crises or the contradictions of commodification, but that it forecloses an alternative narrative, in which labour, too, bargains with nature. To complement existing microeconomic frameworks, the paper analyses labour within production. Drawing on metabolic rift theory, world-ecology and the ecological dimensions of the labour process, it develops a Sraffian baseline formalisation in which the ecological technical coefficient of production depends on labour's distributive share and working conditions. Four stylised work-ecology entanglements illustrate its range: joint deterioration (nutrient cycling), joint resistance (meatpacking), joint recovery (hazard exposure) and disjoint deterioration (consumption), with digital mediation offered as fifth and a more speculative entanglement encompassing an urgent research agenda. Where such entanglements apply, labour appears as a potential ecological interlocutor and not only as a party affected by external ecological changes. |
| Keywords: | work-ecology, ecological labour process, metabolic rift, Sraffian microeconomics, externalities |
| JEL: | D62 D33 J81 Q57 B5 |
| Date: | 2026–10 |
| URL: | https://d.repec.org/n?u=RePEc:soa:wpaper:278 |
| By: | Alessio Cortili (Department of Environmental Science and Policy, University of Milan) |
| Abstract: | Climate change demands an urgent transition to renewable energy that balances economic growth and social equity. This study investigates the nexus between renewable energy consumption, economic growth, wealth inequality, and CO₂ emissions across 128 countries (2000-2021), addressing three critical gaps in the literature. First, it proposes a novel wealth-based inequality indicator (INEQ) that overcomes the limitations of the Gini coefficient by focusing on distributive fractures between specific population segments. Second, it employs a system of three simultaneous equations estimated via Three-Stage Least Squares (3SLS) to account for endogeneity and cross-equation correlations. Third, it analyses structural differences across four income groups of countries. Results reveal significant heterogeneity. Renewable energy promotes growth in higher-income groups while in low-income economies it correlates with slower growth, signalling trade-offs in early development stages. Although renewable energy consistently reduces CO₂ emissions, it is associated with increased wealth inequality in most contexts. The Environmental Kuznets Curve hypothesis is not supported in simultaneous 3SLS estimations, suggesting that the apparent EKC relationship observed in single-equation models may reflect endogeneity bias rather than a structural causal link. Education emerges as a key lever for inequality reduction, with potential co-benefits for emission mitigation. These findings underscore the need for differentiated policy interventions tailored to specific developmental realities. The disappearance of the EKC under endogeneity controls reinforces the urgency of proactive measures to ensure the global energy transition advances both environmental sustainability and social equity. |
| Keywords: | Renewable energy, Economic growth, Wealth inequality, CO₂ emissions, 3SLS, Environmental Kuznets Curve, Energy transition, Sustainable development |
| JEL: | Q4 Q42 |
| Date: | 2026–10 |
| URL: | https://d.repec.org/n?u=RePEc:fem:femwpa:2026.24 |
| By: | Sweta Patnaik (Faculty of Engineering and the Built Environment, Cape Peninsula University of Technology, Cape Town) |
| Abstract: | In an era marked by economic uncertainty and environmental urgency, entrepreneurs are increasingly turning to sustainable innovation as a pathway to resilience and growth. This paper examines how the transformation of textile off-cut waste into functional and marketable products serves as both an entrepreneurial response to material scarcity and a strategic contribution to the circular economy. In contrast to high-capital technological innovation, this form of resource-based creativity offers accessible, low-cost solutions for emerging enterprises, particularly in the fashion and textile sectors. Drawing on examples of micro and small businesses navigating uncertain economic terrain, the study highlights how such innovations can generate value, reduce waste, and meet growing consumer demand for sustainability. While many entrepreneurs falter in the face of early challenges, those who reframe problems as opportunities particularly through material reuse are better positioned to survive and scale. This paper argues that innovation rooted in environmental consciousness and adaptability is not only viable during times of uncertainty but essential for long-term entrepreneurial success and inclusive economic recovery. |
| Keywords: | Sustainable entrepreneurship, Innovation, Textile waste, Circular economy, Resource-based innovation, Economic uncertainty, Fashion and textile industry, Green business models, Waste-to-product, Inclusive growth |
| URL: | https://d.repec.org/n?u=RePEc:sek:iacpro:16117357 |
| By: | Andrews, N. O. |
| Abstract: | For decades, the debate over American inequality has centered on a single question: how unequal has the United States become? Increasingly, the more important question is different: does it matter that some Americans are pulling dramatically away from everyone else, even as real income rises for most people? This paper argues that the United States has undergone a Great Household Divergence: four decades of extraordinary prosperity coinciding with widening disparities in household market position — disparities that shape employment, status, dignity, health, and neighborhood opportunity. Economic distance has become social distance, accompanied by rising polarization and democratic strain. Mobility eroded for large segments of the population, leaving some American communities with world-class opportunity while others resemble the developing world. This paper weaves together literatures on inequality, mobility, polarization and social policy. It argues that the prevailing policy model has focused too heavily on correcting market outcomes after the fact, and points upstream toward pre-distribution policies that shape wages, collective bargaining, state-level employment institutions and macroeconomic conditions aimed at tighter labor markets. The central implication is that social cohesion in the U.S. cannot be restored through post-tax redistribution alone. Addressing inequality is more than the simple arithmetic of redistribution; it also requires attention to social cohesion, the earning power of Americans and human dignity. |
| Keywords: | Great Household Divergence, Income and Wealth Inequality, Intergenerational Mobility, Political Polarization, Social Cohesion, Pre-Distribution, Labor Market Institutions, Monopsony |
| JEL: | D31 D63 J62 D72 J38 H23 |
| Date: | 2026–10–23 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2685 |
| By: | Duquennois, Claire; Zeng, Jiangnan |
| Abstract: | Evidence on the media's potential to reduce prejudice is limited. Sesame Street's positive representation of minority characters and working women was distinctive in the media landscape of 1969. Using age and technological variation in broadcast reception, we show that Sesame Street increased political engagement and reduced prejudice decades later. Exposed cohorts in high coverage counties are 4.2 ppts more likely to vote, have lower measures of racial biases, and report more votes for minority and women candidates to the U.S. House by 8.1 and 5.8 ppts respectively. On ballots featuring white men, turnout gains are split between parties. |
| JEL: | J15 J16 L82 D72 |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:clefwp:344222 |