I am currently writing up an article on what Minsky added to Keynes an onwards to whether this is an up to date theoretical framework ready for use in the 21st century. In a nutshell, Keynes explained that output, inflation and unemployment are driven by changes in investment, which is itself driven by changes in interest rates and expected yields. Minsky adds a financial structure – the liability side – to this part of Keynes’s theory....econoblog 101
Hyman Minsky on the aim of policy
Dirk Ehnts | Lecturer at Bard College Berlin
1 comment:
"Keynes explained that output, inflation and unemployment are driven by changes in investment, which is itself driven by changes in interest rates and expected yields."
Keynes also said this?
“Furthermore, it seems unlikely that the influence of banking policy on the rate of interest will be sufficient by itself to determine an optimum rate of investment. I conceive, therefore, that a somewhat comprehensive socialisation of investment will prove the only means of securing an approximation to full employment; though this need not exclude all manner of compromises and of devices by which public authority will co-operate with private initiative.”
https://ebooks.adelaide.edu.au/k/keynes/john_maynard/k44g/chapter24.html
Trump has been reading the G.T.?
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