A Modern Guide to Keynesian Macroeconomics and Economic Policies

For more than a decade, most macroeconomists convinced themselves they were witnessing a "Great Moderation". Many Keynesians saw instead the accumulation of a fragility and potential instability that have become dramatically manifest since 2007. The premise of this book is that the financial crisis and Great Recession necessitate a revival of Keynesian macroeconomics, emphasizing the central roles of effective demand, money and finance in modern capitalism. Comprising essays on all aspects of macroeconomic theory and policy, the book will prove invaluable for scholars and graduate students seeking to acquaint themselves with the frontiers of modern Keynesian macroeconomics. -- Mark Setterfield, Trinity College The essays in this book are of the highest quality and give a substantial account of a strand of current heterodox thought. -- Victoria Chick, Wirtschaft und Gesellschaft

Edited by Eckhard Hein, Professor of Economics, Institute for International Political Economy, Berlin School of Economics and Law, Germany and Engelbert Stockhammer, King's College London, UK

Contents: Introduction Eckhard Hein and Engelbert Stockhammer 1. History and Methods of Post-Keynesian Economics Marc Lavoie 2. Money, Credit and Central Banks in Post-Keynesian Economics Marc Lavoie 3. Growth and Income Distribution: A Post-Keynesian Perspective Amitava Krishna Dutt 4. Keynesian Economics and the New Consensus in Macroeconomics Philip Arestis 5. A Post-Keynesian Macroeconomic Model of Inflation, Distribution and Employment Eckhard Hein and Engelbert Stockhammer 6. The Macroeconomics of Unemployment Engelbert Stockhammer 7. Institutions, Aggregate Demand and Cross-Country Employment Performance: Alternative Theoretical Perspectives and the Evidence David R. Howell 8. European Economic and Monetary Union Policies from a Keynesian Perspective Philip Arestis 9. Open Economy Models of Distribution and Growth Robert A. Blecker 10. Globalisation, Macroeconomic Performance and Distribution zlem Onaran 11. International Monetary and Financial Architecture Hansjrg Herr 12. Financialisation, Distribution and Growth Eckhard Hein 13. Keynesian Approaches to Financial Crisis Gary A. Dymski Index