Autonomous demand, Harrodian instability and the supply side

Peter Skott*

*Kontaktforfatter

Publikation: Bidrag til tidsskriftTidsskriftartikelForskningpeer review

24 Citationer (Scopus)
23 Downloads (Pure)

Abstrakt

A recent literature introduces autonomous demand as the driver of long-run economic growth and as a stabilizing force that tames Harrodian instability. The argument is unconvincing. The stabilizing effect is modest for plausible parameter values and more importantly, it is questionable whether any components of aggregate demand can be viewed as autonomous in the long run. By contrast, models that include the supply side (the labor market) and/or economic policy can address Harrodian instability and produce level and growth effects that resemble those derived in the literature on autonomous demand.

OriginalsprogEngelsk
TidsskriftMetroeconomica
Vol/bind70
Udgave nummer2
Sider (fra-til)233-246
ISSN0026-1386
DOI
StatusUdgivet - maj 2019

Fingeraftryk

Dyk ned i forskningsemnerne om 'Autonomous demand, Harrodian instability and the supply side'. Sammen danner de et unikt fingeraftryk.

Citationsformater