Convergence of actual, warranted, and natural growth rates in a Kaleckian–Harrodian‐classical model

Eric Kemp‐Benedict
Authors registered in the RePEc Author Service: Eric Kemp-Benedict ()

Metroeconomica, 2020, vol. 71, issue 4, 851-881

Abstract: This paper describes a dynamic one‐sector macroeconomic model that draws on both post‐Keynesian and classical/neo‐Marxian themes. The model features an equilibrium in which Harrod’s actual, warranted, and natural growth rates coincide. Dynamic processes unfolding over both short and long time scales lead the economy to exhibit both business cycles and long waves. The Keynesian stability condition is assumed not to hold, so the model features short‐run instability, which is bounded from above by a utilization ceiling. Labor constraints affect distribution through conflict pricing. In contrast to other Kaleckian–Harrodian models, we do not assume an exogenous source of demand. Instead, short‐run instability is bounded from below by firms’ expectations that the downturn will eventually reverse.

Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
https://doi.org/10.1111/meca.12305

Related works:
Working Paper: Convergence of actual, warranted, and natural growth rates in a Kaleckian-Harrodian-classical model (2019)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:metroe:v:71:y:2020:i:4:p:851-881

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0026-1386

Access Statistics for this article

Metroeconomica is currently edited by Heinz D. Kurz and Neri Salvadori

More articles in Metroeconomica from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().