Access the full text.
Sign up today, get DeepDyve free for 14 days.
R. Franke, F. Westerhoff (2017)
Taking Stock: A Rigorous Modelling of Animal Spirits in MacroeconomicsEconometrics: Data Collection & Data Estimation Methodology eJournal
R. Franke (2019)
Harrod's Long‐Range Capital Outlay as a Stabilizer of Harrodian InstabilityInternational Trade eJournal
R. Franke (2019)
On Harrodian instability: two stabilizing mechanisms may be jointly destabilizingReview of Keynesian Economics
R. Franke (2017)
A simple approach to overcome the problems arising from the Keynesian stability conditionEuropean Journal of Economics and Economic Policies: Intervention, 14
M. Lavoie (2016)
Convergence Towards the Normal Rate of Capacity Utilization in Neo‐Kaleckian Models: The Role of Non‐Capacity Creating Autonomous ExpendituresMicroeconomics: Welfare Economics & Collective Decision-Making eJournal
W. Brock, C. Hommes (1998)
Heterogeneous beliefs and routes to chaos in a simple asset pricing modelJournal of Economic Dynamics and Control, 22
W. Brock, C. Hommes, J. Rosser (1997)
A rational route to randomness
O. Allain (2015)
Tackling the instability of growth: a Kaleckian-Harrodian model with an autonomous expenditure componentCambridge Journal of Economics, 39
Olivier Blanchard, Lawrence Katz (1999)
Wage Dynamics: Reconciling Theory and EvidenceMacroeconomics eJournal
(2019)
Autonomous Demand, Harrodian Instability and the Supply Side
W. Press, B. Flannery, S. Teukolsky, W. Vetterling, P. Kramer (1987)
Numerical Recipes: The Art of Scientific ComputingPhysics Today, 40
R. Franke (2017)
What output-capital ratio to adopt for macroeconomic calibrations?International Review of Applied Economics, 31
R. Franke (2014)
Aggregate sentiment dynamics: A canonical modelling approach and its pleasant nonlinearitiesStructural Change and Economic Dynamics, 31
M. Kalecki (1935)
A Macrodynamic Theory of Business CyclesEconometrica, 3
NBER Working Paper 6924; published in American Economic Review, 90
C. Chiarella, P. Flaschel, R. Franke (2005)
Foundations for a Disequilibrium Theory of the Business CycleResearch Papers in Economics
N. Kaldor (1940)
A Model of the Trade CycleThe Economic Journal, 50
R. Harrod (1939)
AN ESSAY IN DYNAMIC THEORYThe Economic Journal, 49
Frank Reiner (2012)
Microfounded Animal Spirits in the New Macroeconomic ConsensusStudies in Nonlinear Dynamics and Econometrics, 16
Eckhard Hein, M. Lavoie, T. Treeck (2011)
Some instability puzzles in Kaleckian models of growth and distribution: A critical surveyCambridge Journal of Economics, 35
AbstractDrawing on Harrod, Kalecki and Kaldor, this paper seeks to revive the view that ceteris paribus firms reduce investment if they have already built up high capacities relative to their assessment of the normal market potential. This reaction establishes a fundamental stabilizing mechanism for the economy. The paper adapts the idea to the growth context of a neo-Kaleckian baseline model, where its destabilizing Harrodian sentiment adjustments are specified in a canonical and microfounded way that introduces a natural nonlinearity into the global dynamics. Supposing local instability, the resulting two-dimensional system is shown to generate persistent self-sustaining cyclical behaviour. In addition, the model is numerically calibrated to period and amplitude of the US business cycle. On the whole, based on an old and almost forgotten conception, the paper advances a most elementary approach to business cycle modelling.
Studies in Nonlinear Dynamics & Econometrics – de Gruyter
Published: Dec 18, 2019
Read and print from thousands of top scholarly journals.
Already have an account? Log in
Bookmark this article. You can see your Bookmarks on your DeepDyve Library.
To save an article, log in first, or sign up for a DeepDyve account if you don’t already have one.
Copy and paste the desired citation format or use the link below to download a file formatted for EndNote
Access the full text.
Sign up today, get DeepDyve free for 14 days.
All DeepDyve websites use cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.