A Post-Keynesian Theory of Growth, Interest and Money

While firmly based in the classical tradition, the work of Luigi Pasinetti, together with that of Joan Robinson and Nicholas Kaldor, has laid the foundations of a Post-Keynesian approach to the theory of growth, interest and money. The approach is ‘Post-Keynesian’ in the sense that it combines elements of Keynes’s (1936) ideas in the General Theory , as well as the extension of those ideas as developed in the last three decades by economists following the Cambridge tradition in Keynesian economics. 1 The purpose of this paper is to attempt to synthesize the Post-Keynesian contributions by providing a critical discussion of the conceptual elements of the approach, and by developing a formal model of growth in which monetary aspects are explicitly taken into consideration. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.