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Income distribution and development: Celso Furtado's theory in a context of global economic changes and its proximity to neo(post)-Kaleckian literature

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Listed:
  • Felipe Orsolin Texeira

    (UNICENTRO, Brazil)

  • Daniel Arruda Coronel

    (Federal University of Santa Maria (UFSM), Brazil)

  • Jose' Luis Oreiro

    (University of Brasília, Brazil)

Abstract

The objective of the present article is to analyse the elements proposed by Celso Furtado regarding the process of overcoming underdevelopment – before and after "industrial civilization" – and to determine whether such attributes can characterize him as a neo(post)-Kaleckian. To accomplish this objective, we will carry out a detailed analysis of growth patterns led by profits and wages based on the neo-Kaleckian literature. The relationship between income distribution, demand, and capital accumulation was always present in Furtado's analyses, even before these approaches were formalised theoretically. This analysis is important to understand two main points of Furtado's thought: i) the reason for Furtado's emphasis on distributive conflict as an engine of structural transformations and, in turn, as a driver of economic development; ii) the challenges imposed over underdeveloped economies in the face of a new world economic order, based on the increase in dependency relations as a result of the huge capital flows in the form of foreign direct investment of developed economies in underdeveloped regions.

Suggested Citation

  • Felipe Orsolin Texeira & Daniel Arruda Coronel & Jose' Luis Oreiro, 2023. "Income distribution and development: Celso Furtado's theory in a context of global economic changes and its proximity to neo(post)-Kaleckian literature," PSL Quarterly Review, Economia civile, vol. 76(307), pages 337-351.
    • Handle: RePEc:psl:pslqrr:2023:42
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    References listed on IDEAS

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    1. Mauro Boianovsky, 2010. "A View from the Tropics: Celso Furtado and the Theory of Economic Development in the 1950s," History of Political Economy, Duke University Press, vol. 42(2), pages 221-266, Summer.
    2. Dutt, Amitava Krishna, 1984. "Stagnation, Income Distribution and Monopoly Power," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 8(1), pages 25-40, March.
    3. Dutt, Amitava Krishna, 1987. "Alternative Closures Again: A Comment on 'Growth, Distribution and Inflation.'," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 11(1), pages 75-82, March.
    4. Taylor, Lance, 1985. "A Stagnationist Model of Economic Growth," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 9(4), pages 383-403, December.
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    More about this item

    Keywords

    Celso Furtado; neo(post)-Kaleckian theory; income distribution;
    All these keywords.

    JEL classification:

    • B2 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925
    • B5 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches
    • D3 - Microeconomics - - Distribution

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