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Failing to Win Consent: Harrod’s Dynamics in the Eyes of His Readers

In: Economic Dynamics, Trade and Growth

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  • Daniele Besomi

Abstract

Even a cursory reading of Harrod’s pieces on dynamics and his readers’ early comments reveals that they were at cross purposes, the former urging the need for a new approach to dynamics and the latter interpreting Harrod’s theory as a model of steady growth. A study of the literature on Harrod’s dynamics is needed to uncover any recognisable trends in interpretation and explain their origins. I am particularly interested in Harrod’s notion of dynamics and his insistence on the difference between his own approach and the ‘time-lag theories of the cycle’, and I will therefore concentrate on those criticisms (or the lack of them) that elucidate how the peculiarities of Harrod’s method and conception were (or were not) perceived and integrated by the profession. I am less interested in the analytical aspects of the mechanisms Harrod proposed to explain cycles and growth, and thus the details of debates on the conditions for stability, the classification of technical progress, and the several models aiming at representing Harrod’s ideas are excluded from this survey. (This literature has been covered by other authors, and references will be given where appropriate).

Suggested Citation

  • Daniele Besomi, 1998. "Failing to Win Consent: Harrod’s Dynamics in the Eyes of His Readers," Palgrave Macmillan Books, in: Giorgio Rampa & Luciano Stella & A. P. Thirlwall (ed.), Economic Dynamics, Trade and Growth, chapter 2, pages 38-88, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-26931-0_3
    DOI: 10.1007/978-1-349-26931-0_3
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    Cited by:

    1. Daniele Besomi, 2002. "Lowe's and Hayek's influence on Harrod's trade cycle theory," The European Journal of the History of Economic Thought, Taylor & Francis Journals, vol. 9(1), pages 42-56.
    2. Peter Kriesler & J W Nevile, 2008. "Escaping from a Blind Alley: Disequilibrium in the Dynamic Analysis of Harrod and Kalecki," Discussion Papers 2008-12, School of Economics, The University of New South Wales.
    3. D. Besomi, 1999. "Harrod on the classification of technological progress. The origin of a wild-goose chase," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 52(208), pages 95-117.
    4. Miguel A. LeÛn-Ledesma & A. P. Thirlwall, 2002. "The endogeneity of the natural rate of growth," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 26(4), pages 441-459, July.

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