In his autobiographical essay “The Ins and Outs of Late Twentieth Century Economics,” Duncan Foley (1999) observed that “economics in the late 1960s suffered from a classical scientific dilemma in that it had two theories, the microeconomic general equilibrium theory, and the macroeconomic Keynesian theory, each of which seemed to have considerable explanatory power in its own domain, but which...

a r t i c l e i n f o Post-Keynesian economics and ecological economics have in common that they are considered to be 'heterodox' schools of thought. Aside from that, there has not been a strong connection between them. Previous books on post-Keynesian economics contain no chapter on environmental or ecological issues. This neglect has led leading ecological economists to criticize post-Keynesi...

I begin by setting out the core of Post Keynesian macroeconomics, and then distinguish three schools within Post Keynesian theory: the fundamentalist Keynesian approach taken by Paul Davidson, the Kaleckian variant represented by Eckhard Hein, and Hyman Minsky’s financial instability hypothesis. I continue by identifying what Post Keynesian macroeconomics is not, and outlining some very substan...

Research on economic fluctuations has progressed rapidly since Robert Lucas revived the profession’s interest in business cycle theory. Business cycle theory is the theory of the nature and causes of economic fluctuations The new Classical paradigm tried to account for the existence of cycles in perfectly competitive economies with rational expectations. It emphasized the role of imperfect info...