IDEAS home Printed from https://ideas.repec.org/a/taf/revpoe/v28y2016i1p92-98.html
   My bibliography  Save this article

Microfoundations, Minsky and Classical Political Economy

Author

Listed:
  • Jan Toporowski

Abstract

The microfoundations discourse originated as a critique of modelling abstracted from theory, in the sense of an explanation of the economic decisions that are supposed to give rise to particular economic outcomes. However, reduction of theory to individual choices and optimisation, integrated by prices and markets, overlooks the key role played by the circular flow of income in integrating individual choices, noted by Schumpeter and Marx, and the key distinction between households and firms that underlies Keynesian macroeconomics and the theories of Minsky, because the expenditure decisions of firms determine aggregate incomes.

Suggested Citation

  • Jan Toporowski, 2016. "Microfoundations, Minsky and Classical Political Economy," Review of Political Economy, Taylor & Francis Journals, vol. 28(1), pages 92-98, January.
    • Handle: RePEc:taf:revpoe:v:28:y:2016:i:1:p:92-98
    DOI: 10.1080/09538259.2016.1108128
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/09538259.2016.1108128
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/09538259.2016.1108128?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.

    References listed on IDEAS

    as
    1. Jan Toporowski, 2005. "Theories of Financial Disturbance," Books, Edward Elgar Publishing, number 3179.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Piotr Żuk & Paweł Żuk, 2018. "Offshoring, labour migration and neo-liberalisation: nationalist responses and alternatives in Eastern Europe," The Economic and Labour Relations Review, , vol. 29(1), pages 97-117, March.
    2. Charles A. E. Goodhart & Meinhard A. Jensen, 2015. "A Commentary on Patrizio Lainà's 'Proposals for Full-Reserve Banking: A Historical Survey from David Ricardo to Martin Wolf'," Economic Thought, World Economics Association, vol. 4(2), pages 1-20, September.
    3. Noemi Levy-Orlik, 2012. "Financial Market Organizations, Central Banks and Credits: The Experience of Developing Economies," Chapters, in: Louis-Philippe Rochon & Salewa ‘Yinka Olawoye (ed.), Monetary Policy and Central Banking, chapter 5, Edward Elgar Publishing.
    4. Dirk Bezemer, 2012. "Credit cycles," Chapters, in: Jan Toporowski & Jo Michell (ed.), Handbook of Critical Issues in Finance, chapter 10, pages i-ii, Edward Elgar Publishing.
    5. Ömer Tuğsal DORUK & Yusuf Can ŞAHİNTÜRK, 2019. "Minskian Financial Instability Hypothesis and Its Post Keynesian Roots: A Theoretical Approach," Sosyoekonomi Journal, Sosyoekonomi Society.
    6. Bill Lucarelli, 2011. "The Economics of Financial Turbulence," Books, Edward Elgar Publishing, number 14252.
    7. Marion Dieudonné, 2016. "Credit, Shares And Goodwill: A Veblenian Trinity," Working Papers hal-01264730, HAL.
    8. Angelo Reati & Jan Toporowski, 2009. "An economic policy for the fifth long wave," PSL Quarterly Review, Economia civile, vol. 62(248-251), pages 143-186.
    9. Goodhart, Charles & Jensen, Meinhard, 2015. "Currency School versus Banking School: an ongoing confrontation," LSE Research Online Documents on Economics 64068, London School of Economics and Political Science, LSE Library.
    10. Noemi Levy Orlik, 2012. "The Effect of Interest Rates in Developing Countries: Can Central Bank Monetary Policy Instruments Modify Economic Growth?," Chapters, in: Claude Gnos & Louis-Philippe Rochon & Domenica Tropeano (ed.), Employment, Growth and Development, chapter 12, Edward Elgar Publishing.
    11. Bruno Bonizzi, 2015. "Capital Market Inflation in Emerging Markets: the Cases of Brazil and South Korea," PSL Quarterly Review, Economia civile, vol. 68(273), pages 115-150.
    12. Daniela Donnini Macciò, 2015. "G.E. Moore's philosophy and Cambridge economics: Ralph Hawtrey on ethics and methodology," The European Journal of the History of Economic Thought, Taylor & Francis Journals, vol. 22(2), pages 163-197, April.
    13. Sordi, Serena & Vercelli, Alessandro, 2012. "Heterogeneous expectations and strong uncertainty in a Minskyian model of financial fluctuations," Journal of Economic Behavior & Organization, Elsevier, vol. 83(3), pages 544-557.
    14. Tyson, J. & Shabani, M., 2013. "Sizing the European Shadow Banking System: A New Methodology," CITYPERC Working Paper Series 2013-01, Department of International Politics, City University London.
    15. Faruk Ülgen, 2017. "Financialization and vested interests : the irrelevance of self-regulation and financial stability as a public good," Post-Print halshs-02002415, HAL.
    16. Konstantinos Loizos, 2020. "The interbank market, Keynes’s degree of confidence and the link between banks’ liquidity and solvency," Working Papers PKWP2017, Post Keynesian Economics Society (PKES).
    17. Daniela Tavasci & Jan Toporowski & Radha Upadhyaya, 2008. "Niebyl, Money And Development," Working Papers 157, Department of Economics, SOAS University of London, UK.
    18. Ehnts, Dirk & Carrión Álvarez, Miguel, 2013. "The theory of reflexivity: A non-stochastic randomness theory for business schools only?," IPE Working Papers 28/2013, Berlin School of Economics and Law, Institute for International Political Economy (IPE).
    19. Carbajal-De-Nova, Carolina & Venegas-Martínez, Francisco, 2019. "On the paradigm shift of asset pricing models, before and after the global financial crisis: a literature review," Panorama Económico, Escuela Superior de Economía, Instituto Politécnico Nacional, vol. 15(29), pages 7-38, Primer se.
    20. Brochier, Lidia & Freitas, Fábio, 2019. "Stock-flow ratios and the paradox of debt in canonical neo-kaleckian and supermultiplier models," MPRA Paper 96252, University Library of Munich, Germany.

    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:taf:revpoe:v:28:y:2016:i:1:p:92-98. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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/CRPE20 .

    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.