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An endogenous growth model with endogenous money supply. Integration of post-Keynesian growth model

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  • K. WATANABE

    (Seikei University)

Abstract

The work attempts to integrate the growth models by authors such as Kalecki, Harrod, Robinson and Kaldor, together with an introduction on monetary aspects, based on the endogenous money supply theory. A short-run income determination model is presented and then extended to a long-run model without assuming full employment. The steady growth rate is then investigated before dynamic aspects of the model are studied and fiscal and monetary policies are examined within a dynamic growth process. Phase diagrams for growth models are employed to to offer an explanation for the effects of short-run demand-control policies. The most important difference from previous works is the explicit introduction of a financial sector functioning as an inflation barrier.

Suggested Citation

  • K. Watanabe, 1997. "An endogenous growth model with endogenous money supply. Integration of post-Keynesian growth model," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 50(200), pages 89-120.
    • Handle: RePEc:psl:bnlaqr:1997:15
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    File URL: http://ojs.uniroma1.it/index.php/PSLQuarterlyReview/article/view/10572/10456
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    References listed on IDEAS

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    Cited by:

    1. Gilberto Tadeu Lima, 2000. "Market concentration and technological innovation in a dynamic model of growth and distribution," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 53(215), pages 447-475.
    2. Guglielmo Forges Davanzati, 2015. "Nicholas Kaldor on endogenous money and increasing returns," Working Papers PKWP1505, Post Keynesian Economics Society (PKES).
    3. Gilberto Tadeu Lima, 2003. "A Non-linear Development Dynamics of Capital Accumulation, Distribution and Technological Innovation," Anais do XXXI Encontro Nacional de Economia [Proceedings of the 31st Brazilian Economics Meeting] b05, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    4. Luciano Dias de Carvalho & José Luís Oreiro, 2006. "A Influência Do Progresso Tecnológico E Da Incerteza Num Modelo Macrodinâmico De Integração Teórica Pós-Keynesiana: Uma Abordagem Via Simulação Computacional," Anais do XXXIV Encontro Nacional de Economia [Proceedings of the 34th Brazilian Economics Meeting] 118, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    5. Gilberto Tadeu Lima, 2004. "Endogenous Technological Innovation, Capital Accumulation And Distributional Dynamics," Metroeconomica, Wiley Blackwell, vol. 55(4), pages 386-408, November.

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    More about this item

    Keywords

    Endogenous money supply; Endogenous growth; fiscal and monetary policy;
    All these keywords.

    JEL classification:

    • E12 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Keynes; Keynesian; Post-Keynesian; Modern Monetary Theory

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