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Existence and uniqueness of growth cycles in post Keynesian systems

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  • Murakami, Hiroki

Abstract

In this paper, we explore the existence and uniqueness of a limit cycle (or of a growth cycle) in a post Keynesian system in which investment is determined by the expected rate of profit. We find that a periodic orbit appears if the marginal effect of the expected rate of profit on investment is strong enough and that it is a unique limit cycle if the speed of revisions of expectation is fast enough.

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  • Murakami, Hiroki, 2018. "Existence and uniqueness of growth cycles in post Keynesian systems," Economic Modelling, Elsevier, vol. 75(C), pages 293-304.
    • Handle: RePEc:eee:ecmode:v:75:y:2018:i:c:p:293-304
    DOI: 10.1016/j.econmod.2018.07.001
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    Cited by:

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    3. Nishi, Hiroshi, 2020. "A two-sector Kaleckian model of growth and distribution with endogenous productivity dynamics," Economic Modelling, Elsevier, vol. 88(C), pages 223-243.
    4. Murakami, Hiroki, 2020. "Monetary policy in the unique growth cycle of post Keynesian systems," Structural Change and Economic Dynamics, Elsevier, vol. 52(C), pages 39-49.
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    7. Hiroki Murakami, 2022. "Keynesian and classical theories: static and dynamic perspectives," Evolutionary and Institutional Economics Review, Springer, vol. 19(1), pages 343-367, April.
    8. Murakami, Hiroki & Zimka, Rudolf, 2020. "On dynamics in a two-sector Keynesian model of business cycles," Chaos, Solitons & Fractals, Elsevier, vol. 130(C).

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    More about this item

    Keywords

    Keynesian economics; Expected rate of profit; Growth cycle; Uniqueness;
    All these keywords.

    JEL classification:

    • E12 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Keynes; Keynesian; Post-Keynesian; Modern Monetary Theory
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles

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