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on Post Keynesian Economics |
| By: | Davis, John B. (Department of Economics Marquette University); (Department of Economics Marquette University) |
| Abstract: | This paper, originally a presentation at the 2024 World Congress of Social Economics Summer School at University of Massachusetts-Boston, discusses how ethical values can be incorporated in empirical research. It identifies mainstream economics’ barriers to doing this, and shows they produce a view of the relationship between ethics and economics that excludes ethics from economics. Mainstream economics sees this relationship as interdisciplinary – an ethics and economics. I argue it should be seen as multidisciplinary – an ethics in economics. The mainstream regards ethical values as subjective assuming that there are no facts about ethical values. But there is considerable factual evidence about what people’s ethical values are. One influential source I review is the decades of accumulated survey research in the World Values Survey. The paper then discusses two ways researchers can incorporate evidence about values in their empirical work. First, drawing from Stratification economics, it shows how we can identify ethical values overlooked by the mainstream in discriminatory employment settings, and how this can stimulate search for new data and lead to new theoretical hypotheses. Second, it shows how experiments-based research can identify ethical values people employ in different market settings, in this example, those used to determine how people are willing to ration health care. The paper concludes with brief discussion of how, for a multidisciplinary ethics in economics, ethics can affect future economics. |
| Keywords: | ethics, economics, mainstream economics, World Values Survey, stratification economics, experimental research, future economics |
| JEL: | A12 A13 A23 B41 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:mrq:wpaper:2025-03 |
| By: | Byrialsen, Mikael Randrup; Valdecantos, Sebastián; Raza, Hamid; Laurentjoye, Thibault |
| Abstract: | With the important contribution of Marglin and Bhaduri different demand and growth regimes were identified, which inspired a strand of empirical research aiming to uncover the type of growth regime. Most of these studies can be framed into two methodological approaches: (i) a structural, and (ii) an aggregative approach. In this paper, we use a third approach where we exploit the advantages of the stock-flow consistent framework. We argue that using an empirical SFC model retains the advantages of the two more widely used approaches, while adding some novel features: (i) the endogenization of income distribution, which allows for a two-way relationship between demand and income shares, (ii) the consistent incorporation of stock variables in the estimation of the equations of aggregate demand components, and (iii) the inclusion of endogenous labor market dynamics in the analysis. To introduce these features, we build an empirical stock-flow consistent model for Denmark for the period 2005q1-2020q1. Our analysis suggests that demand can neither be categorically defined as wage-led nor profit-led, as the effects of a change in income distribution on the aggregate demand components cancel each other out. Results are more conclusive for capital accumulation, which is found to be profit-led. |
| Keywords: | Modelo de Crecimiento; Demanda; Modelo de Flujos y Stocks Consistentes; Dinamarca; |
| Date: | 2024–06–13 |
| URL: | https://d.repec.org/n?u=RePEc:nmp:nuland:4307 |
| By: | Graña Colella, Santiago; Vernengo, Matías |
| Abstract: | Currency substitution defined as the use of foreign currency in the domestic economy is a relatively common phenomenon in developing countries. While mainstream economics has analyzed it in some detail, the same is not the case in heterodox economics. This paper proposes an analytical approach to evaluate the effects of currency substitution and its relationship with exchange rate dynamics; it provides an empirical investigation of orthodox and alternative views for the case of Argentina. The orthodox view emphasizes the role of fiscal deficits financed by monetary emissions, while alternative views emphasize the importance of external vulnerabilities, both associated with current and financial account deficits as the source of currency substitution. We find some support in favor of the alternative or heterodox perspective on currency substitution or dollarization. |
| Keywords: | Cambio de Monedas; Desarrollo Económico; Economía Heterodoxa; Argentina; 2003-2019; |
| Date: | 2024–09 |
| URL: | https://d.repec.org/n?u=RePEc:nmp:nuland:4309 |
| By: | Javdani, Mohsen (Simon Fraser University); Chang, Ha-Joon (SOAS University of London) |
| Abstract: | This study contributes to the growing debate over the narrow ideological discourse in economics education and calls for greater pluralism. Using a randomized controlled experiment with 2, 735 economics students from 10 countries, we examine how authority and ideological biases—shaped by mainstream training—affect students’ evaluations of economic statements. When source attributions are randomly switched from mainstream to non-mainstream or removed, agreement levels drop significantly, suggesting that students rely more on the perceived authority and ideological alignment of sources than on the content itself. These biases intensify with academic progression: PhD students show the strongest effects, despite being the most likely to claim they judge arguments on substance alone. Political orientation further amplifies these patterns, particularly among right-leaning students, and significant gender differences emerge, with male students showing stronger bias toward mainstream sources. Our findings highlight how ideology and authority shape economic training, limiting students' critical engagement and reinforcing a narrow intellectual framework. |
| Keywords: | economics education, economics students, authority bias, ideological bias, ideology, plurality in economics |
| JEL: | A11 A12 A13 C93 |
| Date: | 2025–05 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp17891 |
| By: | Wallace P. Marcelino (UFPA); Fabrício Missio (Cedeplar/UFMG); Frederico G. Jayme Jr (Cedeplar/UFMG) |
| Abstract: | This paper revisits Kaldor's Laws, considering that both manufacturing and services, as well as their interaction (symbiosis), contribute to economic growth. To investigate this question, we constructed a symbiosis indicator and tested it econometrically using panel data models for a sample of 41 countries between 2000 and 2014. The results show that the services sector and the symbiosis between manufacturing and modern services are subject to Kaldor's Laws. It is concluded that the modern services sector is important for economic growth during this period and that the new stage of structural change is characterized by increased returns to scale (expanded Kaldor-Verdoorn Law). |
| Keywords: | Modern services; Increasing Returns; Kaldor's Laws; Symbiosis; Economic Growth |
| JEL: | O1 O4 L80 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:cdp:texdis:td681 |
| By: | Lambert, Thomas |
| Abstract: | This research note/paper examines several factors that have been mentioned and debated as determinants of how Britain moves from feudalism to mercantilism and then to capitalism by way of agricultural and industrial innovations and also how it arrives at the cusp of the industrial revolution. Of special interest are somewhat recent conjectures of macroeconomic data, investment estimates, and data on horses, serfs, and slaves of previous centuries that perhaps can better contribute to and add some clarification to the debates over the transition from feudalism to capitalism and the transition from an early form a capitalism or mercantilism to the industrial revolution. The estimates, empirical notes, and exploratory analyses in this paper partially support the Brenner thesis or concept of the transition from feudalism to capitalism and also support the notion that the proceeds of slave sales and slave production provide a substantive portion of British investment amounts leading up to the industrial revolution of the 18th Century. The mainstream economic notions of property rights, thrift, free markets, and free trade are only part of the picture of how Britain achieves economic prominence in the 19th Century. Exploitation of people and animals play a very significant role that has been ignored or minimized in many history and economic history accounts. |
| Keywords: | Baran ratio, economic surplus, investment, slave trade, slavery, serfs, horses, Great Britain |
| JEL: | B51 B52 N13 N33 N44 |
| Date: | 2024–11–09 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:124978 |
| By: | Castellacci, Fulvio |
| Abstract: | Innovation fosters economic growth and the long-run dynamics of national economies. However, recent literature shows that innovation is also a source of increasing income inequalities. Public policies face thus an important trade-off between efficiency and equity effects of innovation. What are the possible policy strategies to address this trade-off? The paper presents a model in which innovations can be developed by both private firms and public companies. Technological change increases the profit share in the long-run, exacerbating income inequalities between firms’ owners, employed workers, and the unemployed. I empirically calibrate the model for the US economy and carry out a simulation analysis to investigate the effects of different policies aimed at reducing the inequality effects of innovation. Specifically, the analysis compares two distinct policy strategies: one is based on a standard economic policy approach that increases taxes to finance welfare spending; the other is based on a new approach – the Entrepreneurial State – in which the profits of innovations developed by public R&D companies are used to finance welfare programs. The results point out the advantages and drawbacks of different strategies and show that the optimal policy strategy largely depends on the policy maker’s preferences regarding the income distribution. |
| Keywords: | Innovation; income inequalities; labor share; public policies; Entrepreneurial State; public R&D. |
| JEL: | O1 O30 O4 O40 |
| Date: | 2024–04 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:124900 |
| By: | Crawford, Ben |
| Abstract: | This critical survey reviews long standing debates between the ‘entity’, ‘contractarian’ and ‘stakeholder’ theories of the corporation. These perspectives are shown to obscure the legal structuring power corporate law confers on the owners of capital, rewriting corporate property relations in terms of managerial interest intermediation, contractual voluntarism, or stakeholder ‘property’ rights, respectively. Marxist analysis and the perspective of workers and labour law are utilized to show the limitations of these debates and emphasize the constitutive role of class relations in corporate law. From this perspective, the dominant theories fail to deal with fundamental characteristics of the modern corporation: the shifting of risk, the exercise of control without liability, and patterns of hierarchy beyond the firm. New perspectives emerging from the ‘Law and Political Economy’ movement in the US, in particular Katherina Pistor’s analysis of the ways in which capital is ‘coded’ in law to the advantage of elites (The Code of Capital) are more promising. What Pistor brings out is twofold. Firstly, the critical role of private law rules in the core ‘modules’ which underpin capital. Secondly, the relative autonomy with which elites are able to utilize these rules to enhance and protect their wealth. Yet Pistor ignores the labour relationship and the class dimensions of the code of capital in her analysis. The survey concludes with reflections on the limits to legal reform of corporate law, and directions for future research bringing together analysis of the code of capital and Marxist perspectives. |
| JEL: | L20 L22 K31 |
| Date: | 2025–05–29 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:128029 |
| By: | Wallace P. Marcelino (UFPA); Adilson Giovanini (UDESC); Fabrício Missio (Cedeplar/UFMG); Frederico G. Jayme Jr (Cedeplar/UFMG) |
| Abstract: | The purpose of this paper is to analyze the foreign trade of biodiversity products (BioTrade) from a Latin American structuralist perspective and propose economic policy recommendations. Latin America (LA) is one of the most biodiverse regions in the world, which grants it a competitive advantage. Indicators reveal that the Center-Periphery relationship persists in manufacturing activities, modern services, and biodiversity-related trade. The primary reason for this is the historical lack of endogenous technological progress in LA countries, which limits the ability to harness economic opportunities. The principal economic policy recommendation is the formulation and implementation of an industrial policy that strategically leverages the region's biodiversity. |
| Keywords: | Economic Development; Structuralist Economics; Biodiversity |
| JEL: | O1 O4 L80 |
| Date: | 2025–05 |
| URL: | https://d.repec.org/n?u=RePEc:cdp:texdis:td682 |
| By: | Metin M. Cosgel (University of Connecticut); Richard N. Langlois (University of Connecticut); Thomas J. Miceli (University of Connecticut) |
| Abstract: | The growing presence of generative artificial intelligence (AI) in undergraduate economics writing courses presents both opportunities and challenges. Instructors face concerns about academic integrity and assessing student effort, yet a process-based approach to writing offers a viable solution. This paper advocates for teaching economics writing as a structured, iterative process—encompassing brainstorming, outlining, researching, drafting, analyzing, revising, and reflecting—rather than as a singular final product. At each stage, AI can be strategically integrated to enhance, rather than replace, essential skills in economic reasoning, analysis, and communication. We introduce a framework grounded in two core principles: aligning AI tools with analog skills defined by course objectives and designing assessments that are observable and highly correlated with these skills. Additionally, we present practical classroom strategies and address concerns surrounding originality, equity, and evaluation. The paper also explores broader implications for scholarly production, including AI’s role in reshaping comparative advantages between human and artificial intelligence in academic work and their evolving intersection. Ultimately, this approach reimagines writing pedagogy to align with both disciplinary thinking and the realities of an AI-enhanced educational landscape. |
| Keywords: | generative artificial intelligence, large language models, teaching writing, assessment, skill, comparative advantage |
| JEL: | A20 D24 I20 J24 L23 O30 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:uct:uconnp:2025-06 |