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Aggregate Supply and Demand Analysis - A Note on a 1963 Post Keynesian Macroeconomic Textbook

Finn Olesen

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Abstract

In the history of economic thought Post Keynesianism offers a different inter-pretation of John Maynard Keynes’s General Theory than what is known as mainstream Keynesianism. And at least in the Paul Davidson tradition of Post Keynesianism a direct connection to the writings of Keynes is present theoreti-cally as well as methodologically. This paper aims to present and to evaluate a textbook in Post Keynesian macroeconomics that Davidson wrote together with Smolensky in 1963.

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In the history of economic thought Post Keynesianism offers a different inter-pretation of John Maynard Keynes’s General Theory than what is known as mainstream Keynesianism. And at least in the Paul Davidson tradition of Post Keynesianism a direct connection to the writings of Keynes is present theoreti-cally as well as methodologically. This paper aims to present and to evaluate a textbook in Post Keynesian macroeconomics that Davidson wrote together with Smolensky in 1963.

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In the history of economic thought Post Keynesianism offers a different inter-pretation of John Maynard Keynes’s General Theory than what is known as mainstream Keynesianism. And at least in the Paul Davidson tradition of Post Keynesianism a direct connection to the writings of Keynes is present theoreti-cally as well as methodologically. This paper aims to present and to evaluate a textbook in Post Keynesian macroeconomics that Davidson wrote together with Smolensky in 1963.

Key concepts: Keynesian economics, Economics, Post-Keynesian economics, Aggregate demand, Mainstream, Effective demand, Neoclassical economics, Aggregate supply

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