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No End to the Consensus in Macroeconomic Theory? A Methodological Inquiry

Dados Bibliográficos

ID2818331
AutoresJohn Mccombie (University of Cambridge, autor correspondente), Maureen Pike (University of Cambridge, autor correspondente)
Ano2013
Volume72
Fascículo2
Páginas497-528
Data de publicação2013-04-01
Peer ReviewedSim
Open AccessSim
TipoARTICLE
PeriódicoAmerican Journal of Economics and Sociology (JOURNAL)
Identificadores do periódicoISSN: 0002-9246 • E-ISSN: 1536-7150
EditoraWiley (PUBLISHER • GB)
DOI10.1111/ajes.12008
OpenAlexW2131677253
IdiomaEN
Citações recebidas1
Referências citadas59

After the acrimonious debates between the New Classical and New Keynesian economists in the 1980s and 1990s, a consensus developed, namely, the New Neoclassical Synthesis. However, the 2007 credit crunch exposed the severe limitations of this approach. This article presents a methodological analysis of the New Neoclassical Synthesis and how the paradigmatic heuristic of the representative agent, namely, market clearing subject to sticky prices, excluded the Keynesian notion of involuntary unemployment arising from lack of effective demand. It shows these models may be modified to produce Keynesian results, but are ruled out of consideration by proponents of the New Neoclassical approach by weak incommensurability. It concludes that because of this the New Neoclassical Synthesis, in spite of its failure to explain the sub-prime crisis, is likely to resist successfully the resurgence in Keynesian economics

Crunch · Economics · Keynesian economics · Macroeconomics · Political science · Positive economics · Subject (documents) · Unemployment · Washington Consensus · Computer Science · Economic theories and models · Economic Theory and Institutions · Economic Theory and Policy · Law

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Obras citantes distintas1
Citações por ano0,08
Intervalo de citações2013 - 2013 (1)
Velocidade de citaçãohistorical
Altamente citadoNão
Tipos de citaçãoNeutras: 1
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