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Multiple periodicities in an extended Goodwin model with mechanization, independent investment, and disequilibrium: Toward a Marxian-Keynesian synthesis

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  • Cajas-Guijarro, John

Abstract

This paper proposes an extended Goodwin model that synthesizes Marxian and Keynesian dynamics into a unified four-dimensional framework. The model integrates endogenous technical change via mechanization, investment behavior driven by effective demand, and goods market disequilibrium. We develop two three-dimensional closures–a Classical-Marxian and a Keynesian-Kaleckian formulation–each capable of generating persistent endogenous cycles. These are then combined into a Marxian-Keynesian (MK) system, which exhibits complex dynamics including multiple periodicities. This result points to the potential for interacting oscillatory modes and long-run fluctuations even with relatively simple behavioral rules. Numerical simulations suggest that the MK synthesis captures rich endogenous fluctuations without relying on exogenous shocks and may exhibit chaotic dynamics under future extensions. These findings lay the groundwork for a Marx-Keynes-Schumpeter synthesis of capital instability, as suggested in the conclusion section.

Suggested Citation

  • Cajas-Guijarro, John, 2026. "Multiple periodicities in an extended Goodwin model with mechanization, independent investment, and disequilibrium: Toward a Marxian-Keynesian synthesis," Structural Change and Economic Dynamics, Elsevier, vol. 77(C), pages 357-386.
    • Handle: RePEc:eee:streco:v:77:y:2026:i:c:p:357-386
    DOI: 10.1016/j.strueco.2026.02.003
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    JEL classification:

    • B51 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Socialist; Marxian; Sraffian
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • E12 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Keynes; Keynesian; Post-Keynesian; Modern Monetary Theory
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

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