IDEAS home Printed from https://ideas.repec.org/a/mes/jeciss/v42y2008i2p367-373.html
   My bibliography  Save this article

Nicholas Kaldor and Cumulative Causation: Public Policy Implications

Author

Listed:
  • Steven Pressman
  • Richard P. F. Holt

Abstract

This paper shows how cumulative causation supports Kaldor’s main policy proposals. Kaldor advocated an expenditure tax to encourage savings, which would lead to technological advancement, productivity growth, income growth, and more savings. Second, Kaldor argued that tax policy should favor the manufacturing sector. Because productivity growth is greater there, this would lead to greater aggregate productivity growth and income growth, which increases the demand for manufactured goods and leads to a virtuous cycle of growth and improved living standards. Finally, Kaldor used cumulative causation arguments against monetarism and to support an incomes policy to stop the inflationary wage-price spiral.

Suggested Citation

  • Steven Pressman & Richard P. F. Holt, 2008. "Nicholas Kaldor and Cumulative Causation: Public Policy Implications," Journal of Economic Issues, Taylor & Francis Journals, vol. 42(2), pages 367-373, June.
  • Handle: RePEc:mes:jeciss:v:42:y:2008:i:2:p:367-373
    DOI: 10.1080/00213624.2008.11507145
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00213624.2008.11507145
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/00213624.2008.11507145?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Joseph E. Pluta, 2010. "Evolutionary Alternatives to Equilibrium Economics," American Journal of Economics and Sociology, Wiley Blackwell, vol. 69(4), pages 1155-1177, October.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:jeciss:v:42:y:2008:i:2:p:367-373. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MJEI20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.