Essays on Economic Stability and Growth: Collected Economic Essays (Nicholas Kaldor Essays)

"The essays brought together in this volume have one common feature. They are the product of intellectual revolution set in train by the publication of J. M. Keynes’ General Theory of Em- ployment^ Interest and Money in 1936. In retrospect, the revolutionary impact of that book lay not so much in its policy implications as in its success in forging a new instrument of thought. It provided a new way of approaching the economic problem — ^focussing attention on the relationships between a limited number of strategic aggregates — ^which proved extraordinarily potent in stimulating further speculation along paths that have brought economists progressively closer to understanding how capitalist economies work. Ideas are like living organisms: while they are alive they gradually but inevitably change shape, colour or structure — there can never be any finality about them. When they become frozen and attain the status of a rigid doctrine it is a sure sign that their force is spent. Creative insight cannot survive the icy touch of established orthodoxy." Nicholas Kaldor Introduction i Part I: Speculation, Liquidity Preference and THE Theory of Employment 1. Speculation and Economic Stability 17 2. Keynes’ Theory of the Own-Rates of Interest 59 3. Hawtrey on Short- and Long-Term Investment 75 4. Pigou on Employment and Equilibrium 83 Part II: The Theory of Economic Fluctuations 5. Stability and Full Employment 103 ♦ * 6. Capital Intensity and the Trade Cycle 120 7. Professor Hayek and the Concertina-effect 148 8. A Model of the Trade Cycle 177 9. Hicks on the Trade Cycle 193 Part III: The Theory of Economic Growth 10. The Relation of Economic Growth and Cyclical Fluc- tuations 213 11. Characteristics of Economic Development 233 12. Capitalist Evolution in the Light of Keynesian Eco- nomics 243 13. A Model of Economic Growth 259 Index to Authors 301 Nicholas Kaldor. Includes Bibliographical References And Index.