Macroeconomics after Kalecki and Keynes

Macroeconomics After Kalecki and Keynes has certainly achieved the task that Eckhard Hein had set for himself, that is, to provide a comprehensive and teachable post-Keynesian macroeconomic model, which includes the main features of post-Keynesian macroeconomics and from which a full macroeconomic policy mix for monetary policy, scal policy and wage or incomes policies can be derived (Hein, p. ix). The book is a remarkable achievement. -- Review of Political Economy (ROPE) At a time when conventional macroeconomic theories and policies have visibly failed to promote sustainable and equitable economic growth, Eckhard Heins brilliant new book provides the most lucid synthesis to date of a comprehensive and progressive alternative: the post-Keynesian approach. Hein builds a complete short-run macro model connecting money, credit, output, inflation and the balance of payments, which he deftly applies to construct an alternative policy paradigm for stabilizing prices while maintaining full employment and external balance. The author then uses this foundation as a springboard to explore advanced issues about long-run growth, income distribution, financial instability, policy-induced stagnation and ecological sustainability. Heins clear presentation and persuasive analysis will make this volume an indispensable reference for university students, professional economists and economic policy makers for years to come. -- Robert A. Blecker, American University, Washington DC, US Macroeconomics After Keynes and Kalecki is a tour de force. It systematically theorizes the short-term outcomes and required policy responses on which macro instruction and student interest in the field typically focuses, linking this analysis to longer-term growth dynamics and associated concerns with financialization and ecological sustainability. The book will be of lasting value to all serious students of macroeconomics. -- Mark Setterfield, New School for Social Research, New York, US This book provides a great guide to the vibrancy of post Keynesian macroeconomic analysis in the traditions of Kalecki and Keynes. Particularly welcome is that Eckhard Hein shows how post-Keynesian macroeconomic analyses has developed to incorporate issues of inequality and gender, and contributes to the studies of financialisation and confronting the major ecological issues. -- Malcolm Sawyer, Emeritus Professor of Economics, University of Leeds, UK

Eckhard Hein, Professor of Economics, Institute for International Political Economy, Berlin School of Economics and Law, Germany

Contents: Preface 1. Introduction 2. Introduction to post-Keynesian economics: methods, history and current state 3. The principle of effective demand, money, credit and finance: Marx, Kalecki, Keynes and the monetary circuit school 4. Post-Keynesian constant price macroeconomic models 5. Post-Keynesian macroeconomic models with conflict inflation 6. A post-Keynesian co-ordinated macroeconomic policy mix 7. From short-run macroeconomics to long-run distribution and growth: a systematic comparison of different paradigms and approaches 8. Macroeconomic demand and growth regimes in finance-dominated capitalism, stagnation tendencies and the macroeconomic policy regimes 9. Facing ecological constraints: implications and challenges for short- and long-run macroeconomic stability and macroeconomic policies 10. Perspectives for post-Keynesian economics Index