Monthly Archives: November 2011

The euro sovereign debt crisis and the irrationality of the bond markets:the need for a lender of last resort

Throughout the history of the capitalist system the markets have played a pivotal role. Of course, the Walrasian conception of markets that inevitably clear temporary gluts and misallocations through the process of tatonnement and the invisible auctioneer is obviously a … Continue reading

Posted in business cycles, classical economics, European debt crisis, European financial stability fund, J.M.Keynes, labour market clearing | Tagged | Leave a comment

Trade balances, debt to GDP and unemployment rates of some European countries of interest

Trade as a percentage of the GDP and unemployment rates selected European countries, and debt to GDP ratios. X                     Country                     … Continue reading

Posted in austerity, balance of payments, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, Greek sovereign debt crisis, Italian debt crisis, J.M.Keynes, Uncategorized, unemployment | Leave a comment

Currency unions and balance of payments: what lies behind the Greek predicament

One of the relatively unexplored aspects of the Greek debt crisis involves balance of payments issues that are buried beneath the terms of trade upon which Greece entered the European union. Much has been said and written about failure to … Continue reading

Posted in austerity, balance of payments, classical economics, deficit hysteria, deficits and debt, European debt crisis, fiscal policy, full employment, Greek sovereign debt crisis, J.M.Keynes, monetary policy, quantity theory of money, Uncategorized | Leave a comment

Papandreou to resign and new coalition government involving Pasok, New Democracy and two conservative minor parties to take his place under new PM

The latest news from Greece suggests that a new coalition government involving the Greek socialist party, Pasok, the principal opposition party New Democracy led by Antonis Samoras, and two conservative minor parties  is to replace the Government of George Papandreou. … Continue reading

Posted in austerity, classical economics, deficit hysteria, European debt crisis, Greek sovereign debt crisis, J.M.Keynes, Uncategorized | Leave a comment

George Papandreou has won the non confidence vote

Prime Minister George Papandreou has won the vote of non confidence in the Greek Parliament by a margin of 153 to 145  votes .Papandreou will now seek to form some sort of cross party government to broaden the base of … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, Greek sovereign debt crisis, Mr.Papandreou and democracy, Uncategorized | Leave a comment

Keynes versus the monetarists 2

 Originally posted  SUNDAY, SEPTEMBER 19, 2010 Keynes versus monetarists 2 Some additional distinctions : Keynes&monetaristsKeynes’ theory of investment depends upon what he calls the marginal efficiency of capital. He defines the mec as follows: that rate of discount from a … Continue reading

Posted in classical economics, deficits and debt, full employment, J.M.Keynes, labour market clearing, Milton Friedman and NAIRU, monetary policy, quantity theory of money, Schumpeter, unemployment | Leave a comment

Keynes versus the monetarists 1

Keynes versus the monetarists 1 A Quick Guide to Keynes and the monetarists  originally posted Dec 2, 2005 on my blogspot blog.Keynes: 1. Rejects Say’s law of markets that supply creates its own demand; he also doesn’t accept Walras’s law … Continue reading

Posted in business cycles, classical economics, deficits and debt, full employment, J.M.Keynes, Keynesian multiplier, labour market clearing, Milton Friedman and NAIRU, monetary policy, unemployment | Leave a comment