tag:blogger.com,1999:blog-6245381193993153721.post3058161914996531474..comments2024-03-17T00:23:24.896-07:00Comments on Social Democracy for the 21st Century: A Realist Alternative to the Modern Left: Skidelsky on “The Relevance of Keynes”Lord Keyneshttp://www.blogger.com/profile/06556863604205200159noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-6245381193993153721.post-86069024000955467272011-05-08T01:31:29.459-07:002011-05-08T01:31:29.459-07:00do you think that if a an economist who never hear...<i>do you think that if a an economist who never heard of Keynes started from scratch and observed economic data in today's times, he might come to that exact same conclusions about aggregate demand and unemployment?</i> This is more or less what happened in Keynes's time. Michael Kalecki, a Polish Marxist economist, came up with quite similar theories a little earlier than Keynes did. Joan Robinson wrote that the fact that two people had come up with similar theories from different perspectives greatly bolstered the confidence of the early Cambridge Keynesians.Calgacushttps://www.blogger.com/profile/06031818010224747000noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-31058771710253977352011-05-07T06:35:34.912-07:002011-05-07T06:35:34.912-07:00“Even if Mankiw misrepresents Keynes, surely he is...<i>“Even if Mankiw misrepresents Keynes, surely he is capable of coming to the same conclusions independently?”</i><br /><br />That is a good question. The answer, in my humble view:<br /><br /><a href="http://socialdemocracy21stcentury.blogspot.com/2011/05/why-are-so-many-economists-wrong.html" rel="nofollow">http://socialdemocracy21stcentury.blogspot.com/2011/05/why-are-so-many-economists-wrong.html </a>Lord Keyneshttps://www.blogger.com/profile/06556863604205200159noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-80241319627703758982011-05-07T06:14:39.851-07:002011-05-07T06:14:39.851-07:00"Which recent situation shows demand and empl...<i>"Which recent situation shows demand and employment not rising even with flexible prices and wages, to your memory?</i><br /><br />Latvia has been subject to severe wage and price deflation:<br /><br />http://www.roubini.com/affiliate/google-news/bc47c7de64c752b58227fe71b122112e8ef542bf/analysis/116701.php<br /><br />Has this seen a return to full employment equilibrium in the short run? I think not.<br /><br />In the "long run"? You would have to wait and see, but I doubt it. And what is the long run any way? 2 years from now? 5 years? 10 years? 50 years?<br /><br />In the 19th century when wages and prices were far more flexible involuntary unemployment was still a severe problem.Lord Keyneshttps://www.blogger.com/profile/06556863604205200159noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-83991013801009152182011-05-07T05:59:55.694-07:002011-05-07T05:59:55.694-07:00On the subject of unemployment and low aggregate d...On the subject of unemployment and low aggregate demand existing even with flexible wages and prices -<br /><br />do you think that if a an economist who never heard of Keynes started from scratch and observed economic data in today's times, he might come to that exact same conclusions about aggregate demand and unemployment?<br /><br />Which recent situation shows demand and employment not rising even with flexible prices and wages, to your memory?<br /><br />Even if Mankiw misrepresents Keynes, surely he is capable of coming to the same conclusions independently?Prateek Sanjaynoreply@blogger.com