A Theory of Minsky Super-cycles and Financial Crises

Bibliographic Data

ID11697296
AuthorsT I Palley (New America, corresponding author)
Year2011
Volume30
Issue1
Pages31-46
Publication date2011-04-02
Open AccessNo
TypeARTICLE
VenueContributions to Political Economy (JOURNAL)
Journal identifiersISSN: 0277-5921 • E-ISSN: 1464-3588
PublisherOxford University Press (OUP) (PUBLISHER)
DOI10.1093/cpe/bzr004
OpenAlexW3121388075
LanguageEN
Citations received11
References cited10

This paper argues that Hyman Minsky's financial instability hypothesis weaves together the medium-term Keynesian dynamic embodied in the Samuelson (1939)— Hicks (1950) approach to the business cycle with the long cycle thinking of economists such as Schumpeter (1939) and Kondratieff. Post Keynesians have devoted considerable attention to the medium-term dimension of Minsky's thinking. The current paper concentrates on the long-swing dimension and introduces the idea of ‘Minsky super-cycles’. It is the super-cycle that ultimately permits financial crisis. Whereas financially driven business cycles occur every decade, financial crises occur over longer durations reflecting the longer phase of the super-cycle

Business cycle · Dimension (graph theory · Economics · Financial crisis · Keynesian economics · Macroeconomics · Monetary policy · New Keynesian economics · Post-Keynesian economics · Banking stability, regulation, efficiency · Economic theories and models · Economic Theory and Policy

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