A Reconsideration of the Formal Minskyan Analysis: Microfundations, Endogenous Money and the Public Sector
20 Pages Posted: 22 Mar 2012 Last revised: 9 Oct 2012
Date Written: October 6, 2011
The paper presents a survey of the literature that has grown out of the work of Hyman Minsky and, in particular, of the main models which have mathematically formalized the cyclical dynamics of a capitalist economy implied by the Financial Fragility Hypothesis. We identify some of the issues that the existing literature has left unresolved. We then briefly summarize the contributions by Chiarella and Di Guilmi (2011a; 2011d), highlighting how these papers have addressed the open questions and how they could be further developed.
Keywords: financial instability hypothesis, endogenous money, agent based modelling, complex dynamics
JEL Classification: E12, E22, E44
Suggested Citation: Suggested Citation