The use and abuse of aggregate demand and supply functions.
The writers assert that the presentation of aggregate demand and supply analysis in modern textbooks has several weaknesses, the most serious of which is the use of contradictory assumptions or inconsistent modes of thought. They consider the progenitors of modern textbook analysis in order to unde...
| Publicado en: | Manchester School of Economic & Social Studies Vol. 64; pp. 189 - 208 |
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| Autores principales: | , |
| Formato: | Artículo |
| Publicado: |
Wiley-Blackwell
June 1996
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| Materias: | |
| Acceso en línea: | Ver este registro en EBSCOhost |
| Sumario: | The writers assert that the presentation of aggregate demand and supply analysis in modern textbooks has several weaknesses, the most serious of which is the use of contradictory assumptions or inconsistent modes of thought. They consider the progenitors of modern textbook analysis in order to understand the reasoning behind the algebra of Keynes and how it was changed in ISLM analysis—an understanding that reveals the weakness of modern textbook aggregate demand and supply analysis. The writers conclude that ISLM is integral to this analysis in modern textbooks but that it has failed to retain some of the valuable insights in Keynes's own analysis even though it is close enough to Keynes's analysis to cause severe problems when incorporated into a model with long-run full employment equilibrium. |
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