Post-Keynesian economics

Postkeynesianismus is an economics school, which, among other schools, see themselves as the successors of John Maynard Keynes.

During the " New Keynesianism " or " New Keynesianism " is based on the statements of Keynes, which allow for the possibility of a longer -term economic equilibrium, so that by the Neoclassical synthesis, a bridge to the neoclassical theory can be beaten in the sense that in the short term Keynesian theory is true, but in the long term neoclassicism, the Post-Keynesians argue the long-term validity of the Keynesian theory.

Uncertainty instead of risk

Their starting point is that economic decisions are made under uncertainty, not a calculable risk. The economic agents try to counter this uncertainty by entering into fixed contracts, which are, so to speak bridges in an uncertain future. The most important economic agreements fixing the wage rates and credit contracts into which the loan amount, term and interest rate are determined. As a result, wages, interest rates and derived from it for the price rigidities. Because of these rigidities no price mechanism to be effective, the adjusted market imbalances in the short term. Rather, the economic agents adjust on the quantities, so that it can continue to cause market imbalances.

Investments determine the savings

As for Keynes, the investment volume depends not on the foreseen savings, but vice versa, the savings fits in circulation related to the investments.

In this context, Michał Kalecki statement attributed to be seen: "workers spend what they get, get capitalists what they spend. " Assuming a classical saving function, after which the workers their wages to spend in total for consumption, the recipients of profit but their income entirely save ( simplifying assumption ), the aggregate savings are thus equal to the profits, then it must follow that the volume of investments ( " whatthey spend" ) of the company, which determines the amount of savings, equal to the overall economic gains is: " capitalists get whatthey spend".

Mark up

The companies are the prices by unit labor costs a certain fee, a " mark-up " charge. This mark-up is formed by the competitive relationships and power relationships and is therefore not rapidly changed.

Rejection of the classical dichotomy

Money is not a "veil", the "real" economy (production, employment, etc. ) ultimately did not or only affects the short term but also long-term monetary values ​​on output and employment impact. So the Post-Keynesians reject the classical dichotomy.

Rejection of Say's Law

As the Post-Keynesians reject the Marxist economics from the validity of Say's Law. If in an uncertain world of money hoarded, demand for money as a store of value, it interrupts the circulation of money and there is a general glut of goods. From postkeynesianischer perspective, this is only so because money can not be produced by the private sector, but is institutionally created by central banks. Private is not possible the production of money as legal tender. Here criticize the Post-Keynesians Karl Marx, in which a commodity money such as gold, the monetary system is based so that private at all times their money could produce (gold), if more money is to be held in uncertain times. Based on this, but could the Say's Law can not be refuted. The Marxist economics must therefore be understood as the "monetary theory of value " within the meaning of Michael Heinrich.

Endogenous money supply

The central bank sets the interest rate and the banks hit on a mark-up at the time of lending. The resultant based on this rate loan demand is satisfied by the Central Bank and the banks or " accommodated " with only creditworthy potential borrowers come into play. The supply of credit is therefore fully elastic with a set by the central bank interest rate - so the view of the " Akkommodisten " or " Horizontalisten ". The " structuralists " go the other hand, assuming that with rising credit demand eventually increases the required by the Central Bank interest rate.

Postkeynesian economists

Be attributed to the post-Keynesian school Victoria Chick, Paul Davidson, Richard M. Goodwin, Nicholas Kaldor, Michał Kalecki, Steve Keen, Hyman P. Minsky, Luigi Pasinetti, Joan Robinson and William Vickrey. In Germany, for example, have published Eckhard Hein, Jurgen Kromphardt and Arne Heise to post-Keynesian theory, in a broader sense also the development theorist and political scientist Hartmut Else Hans could attribute this direction.