THE CLASH OF THE TITANS: ALTERNATIVE VISIONS UNDERLYING THE GENERAL THEORY

• Authors: Ozel H.
• Languages of publication: EN

Abstracts

EN

It is argued that the analytical framework of Keynes' 'General Theory' rests on two different and contradictory 'prescientific visions' in the Schumpeterian sense. The dominant vision can be identified with its unwillingness to acknowledge the possibility that the market system can undergo periods of prolonged instability or even collapse due to its own functioning. The second, more latent, vision acknowledges the destabilizing consequences of the 'coordination problem' in a long run framework. The clash between these visions prevents the book from tracing the long run effects of the coordination problem, due to instabilities introduced by money and investment. This clash causes the book to be confined within a comparative static analysis instead of a dynamic one.

Keywords

EN

GENERAL THEORY; MARKET SYSTEM; PREANALYTICAL VISION

Discipline

• ECONOMICS: ECONOMICS

• Publisher: Institute of Slovak and World Economics and Institute for Forecasting, Slovak Academy of Sciences
• Journal: Ekonomický časopis (Journal of Economics)
• Year: 2007
• Volume: 55
• Issue: 5
• Pages: 459-475
• Document type: ARTICLE

Contributors

author

Ozel H.

• H. Ozel, Ekonomicky ustav SAV, Sancova 56, 811 05 Bratislava 1, Slovak Republic

Identifiers

CEJSH db identifier

07SKAAAA03006166