An Introduction to Post-Keynesianism

I recently attended a 3 day Post-Keynesian Study Group (PKSG) workshop at Kingston University, and here is some of what I learnt on the course. I am sure this will spawn many other research interests, leading to future blog articles on some of the theory discussed.

Day 1

The course was to be split up into 3 days, on the first day we would cover Post-Keynesianism, on the second we would continue with PK and financial crises in the morning, followed by Marxist Political Economy in the afternoon and then on the final day we would round off what we had learned, ask any further question and debate the success of student movements in encouraging pluralism. [...]

Why is Osborne adamant on a budget surplus?

Sawyer - budgetruleobjectionsI’ve just finished reading Malcolm Sawyer’s take on budgets surpluses (Malcolm Sawyer – Budget 2015 The budget surplus – see image for his basic objections) which leads be to write the following post, questioning whether budget surpluses are as positive as Osborne would have the public believe.

A government’s fiscal situation and that of an individual, or even a firm, are completely different. When a government decides to borrow then it must be the case that the private sector is saving, and when the government decides to save then it must be the case that the private sector is borrowing. [...]

The Economic Implications of a Greek Default

A lot of media attention has recently been focusing on the potential for a Greek default and exit from the Eurozone, and last Tuesday night Greece failed to repay its IMF loan, becoming the first developed country to default with the IMF. Last Sunday Greece also imposed capital controls to prevent capital flight from occurring. Capital flight is the situation whereby residents and firms move money out of a country because they are scared that they will otherwise lose it. This may be due to government taxation, requisition (some Cypriots who had money deposited with banks lost 25% which was taken by the government through an emergency tax in 2013) or fear of bank collapse. [...]