marc lavoie

The Phrase Money Multiplier Itself Is Inaccurate And Misleading

31 March 2014

Some people point out that the critique “there is no money multiplier” is wrong because it is a ratio whatever said. No! The phrase “money multiplier” itself is wrong because the phrase itself captures a wrong causal story. A phrase is a small group of words standing together as a conceptual unit and hence the phrase […]

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Nicholas Kaldor On Rational Expectations

29 March 2014

I was recently re-reading an article by Nicholas Kaldor and J. Trevithick [1] and I came across this fine description of rational expectations: The main plank of the monetarist school has hitherto been that inflation is invariably ‘demand induced’: it can result only from an excessive demand for goods which, however, can manifest itself in […]

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Tobinesque Models

15 February 2014

Paul Krugman writes today on his blog on James Tobin’s work: Let me offer an example of how this ended up impoverishing macroeconomic analysis: the strange disappearance of James Tobin. In the 1960s Tobin developed and elaborated a sophisticated view(pdf) of financial markets that offered insights into things like the role of intermediaries, the effects of […]

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Good Reference On Wage-Led Growth

23 December 2013

An excellent discussion on wage-led economic growth is a paper by Marc Lavoie and Engelbert Stockhammer titled Wage-led Growth: Concept, Theories And Policies which appears in the recently released book Wage-Led Growth: An Equitable Strategy For Economic Recovery (Palgrave Macmillan book page) From the article: … The advocacy of a wage-led economic strategy has a long history. […]

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Some Nice Words On Wynne Godley And Monetary Economics

30 October 2013

I am reading this book The Oxford Handbook of Post-Keynesian Economics, Volume 1: Theory and Origins and it has some nice chapters! In his chapter Postkeynesian Precepts For Nonlinear, Endogenous, Nonstochastic, Business Cycle Theories, K. Vela Velupillai has some nice words on Wynne Godley and his book Monetary Economics co-authored with Marc Lavoie: (snipping via amazon.com)

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Flow Of Funds And Keynesian Macroeconomics

15 September 2013

The subject of money, credit and moneyflows is a highly technical one, but it is also one that has a wide popular appeal. For centuries it has attracted quacks as well as serious students, and there has too often been difficulty in distinguishing a widely held popular belief from a completely formulated and tested scientific […]

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NYT On Wynne Godley

11 September 2013

There’s a nice new article on Wynne Godley today in The New York Times. An interesting thing in the article is the mention of intuition via models while mentioning his book Monetary Economics. Why does a model matter? It explicitly details an economist’s thinking, Dr. Bezemer says. Other economists can use it. They cannot so easily […]

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Firestone Backfiring – An Unfriendly Critique ;-)

28 June 2013

Joe Firestone’s gun Joe Firestone has a blog post critiquing Marc Lavoie’s critique of Neochartalism. Among other things, he seems to have issues with Marc Lavoie’s critique of the Neochartalist claim [which he quotes] that . . . the creation of high powered money requires government deficits in the long run; . . . Firestone states: High-powered […]

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Post-Keynesians And Others

3 September 2012

That is the title of Chapter 1 (by John E. King) of this book which has just come out. The Routledge website is here. I just got the book and flipped through to come across this at the beginning of Frederic Lee’s article (Chapter 6): HETERODOX CRITIC: We want to change heterodox economics. HETERODOX ECONOMIST: […]

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Philip Pilkington Interviews Marc Lavoie [Updated]

19 June 2012

Philip Pilkington’s interview of Marc Lavoie on his textbook Monetary Economics is available to read at Naked Capitalism. New Directions in Monetary Economics: An Interview with Marc Lavoie – Part I (Update: Part 2 appears here: New Directions in Monetary Economics: An Interview with Marc Lavoie – Part II) Wynne Godley used to think that Keynesians were being […]

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