A Nonlinear History of Growth and Cycle Theories
AbstractRelying on historical evidence as well as on rational arguments, this article reconstructs the birth of the neoclassical theory as a key episode of the parallel though interconnected evolution of the aggregate theories of growth and oscillations. As a by-product, it explains why that theory could be invented, practically at the same time, by two independent researchers, Solow and Swan. In our argument, the neoclassical theory represented a partially successful attempt to overcome the difficulties arising in the Harrodian interpretation of the classical macrodynamics program, which had led to its failure to produce a unified theoretical explanation of economic dynamics. The way out was seen in the adoption of the general equilibrium research agenda, shifting thus the focus on existence and stability issues. This, however, has implied the acceptance of the divorce of the theory of growth from the theory of fluctuations, a divorce that has prevailed until recently. We maintain that the conceptual limitations and high costs in terms of interpretive capacity involved in the neoclassical solution account for the repeated emergence of certain unanswered questions.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Duke University Press in its journal History of Political Economy.
Volume (Year): 41 (2009)
Issue (Month): 5 (Supplement)
Contact details of provider:
Postal: Duke University Press 905 W. Main Street, Suite 18B Durham, NC 27701
Phone: (919) 660-1800
Fax: (919) 684-8974
Web page: http://www.dukeupress.edu/Catalog/ViewProduct.php?viewby=journal&productid=45614
macrodynamics; Harrodian interpretation;
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Center for the History of Political Economy Webmaster).
If references are entirely missing, you can add them using this form.