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Hicks, a Teoria Geral e a Teoria Geral generalizada
[Hicks, the General Theory and the generalization of the General Theory]

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  • Heller, Claudia

Abstract

Despite the most common interpretation of John Hicks´s formalization of the General Theory that it was mainly oriented to achieve "mathematical elegance", this paper shows that Hicks´s results are based on theoretical arguments and specific causality relations. Hicks acknowledges the importance of the "liquidity preference doctrine" and examines the effects of investment on income (the multiplier) as well as the effects of income on investment (the accelerator). Our interpretation of Hicks´s formulation and especially of the role of the rate of interest rate in his paper avails the understanding of the success of the so-called "neoclassical synthesis".

Suggested Citation

  • Heller, Claudia, 2007. "Hicks, a Teoria Geral e a Teoria Geral generalizada [Hicks, the General Theory and the generalization of the General Theory]," MPRA Paper 3286, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:3286
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    References listed on IDEAS

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    JEL classification:

    • B22 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Macroeconomics
    • B2 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925

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