On the Impossibility that J M Keynes Ever Collaborated with R. Kahn, J. Robinson, or A. Robinson When He Wrote the General Theory in 1936
30 Pages Posted: 2 Oct 2017
Date Written: October 1, 2017
In 1948, J. Robinson published an article in the French journal Economie Appliquee in which she claimed that the General Theory was a work of collaboration. Marcuzzo (2002) claims that R. Kahn was a collaborator with Keynes in writing the General Theory.
The post General Theory work of J. Robinson and R. Kahn offers overwhelming evidence that they not only did not collaborate with Keynes in the writing of the General Theory, but that they had no idea whatsoever about what Keynes was doing theoretically when he wrote the General Theory. The foundation of the General Theory is Keynes’s IS-LP(LM) model of the rate of interest incorporating Liquidity Preference Keynes’s model is developed in chapters 10 and 13-15 of the General Theory. Keynes summarized this model in great detail in chapter 21 in section IV of the General Theory. Keynes integrated uncertainty and/or confidence into the IS-LP(LM) model of the rate of interest as a shift parameter. His IS-LP(LM) model was a formal, simultaneous, four equation, mathematical model that Keynes supported with three pages of formal mathematical elasticity analysis in chapter 21 on pp.304-306. The Kahn-Robinson’s constant claim was that there was no IS-LP(LM) model in the General Theory because Keynes was an anti formalist, Marshallian whose views on uncertainty made any type of mathematical model building in economics impossible because of the organic nature of society.
This view, in fact, directly and seriously conflicts with Keynes’s General Theory.
Keywords: IS-LP(LM) model in chapter 21 of the GT, four equation, simultaneous, formal model
JEL Classification: B10, B12, B14, B16, B20, B22
Suggested Citation: Suggested Citation