Effective Demand and Income Distribution in The General Theory

1994 ◽  
Author(s):  
C. Sardoni
Keyword(s):  
General Theory ◽  
Income Distribution ◽  
Real Wage ◽  
Wage Rate ◽  
Full Employment ◽  
New Approach ◽  
The Real ◽  
Short Period ◽  
Real Wage Rate ◽  
The One

The paper looks at income distribution in a short-period context which is similar to that of Keynes’s General Theory. The approach to distribution is different from the one Kaldor adopted in the 1950s: no assumption of full employment is made. The conclusions concerning income distribution which can be inferred from the General Theory depend on Keynes’s assumptions concerning the behavior of prices and the real wage rate with respect to changes in output. In the paper these assumptions are criticized and the implications in terms of distribution are examined. In 1938-1939, Keynes’s conjectures about the relation between output level and the real wage rate were criticized by Dunlop, Tarshis, and, by implication, Kalecki. In his rejoinder, Keynes accepted some of these criticisms and suggested a new approach to income distribution that differs from Kaldor’s and is close to the one adopted by Kalecki and developed by Joan Robinson.

Real Wage Rate And Productivity Relationship In The Declining U.S. Steel Industry

2011 ◽  
Vol 4 (11) ◽  
Author(s):  
Amaechi Nkemakolem Nwaokoro
Keyword(s):  
Unemployment Rate ◽  
Real Wage ◽  
Steel Industry ◽  
Wage Rate ◽  
Nominal Wage ◽  
Data Set ◽  
The Real ◽  
Control Factors ◽  
Real Wage Rate ◽  
Steel Import

This study examines the relationship between the real wage rate and productivity in the U.S. steel industry in the critical period of 1963-1988. This period witnessed a declining steel output and employment, increasing productivity, and a slight increasing real wage rate. The severity of the decline was felt in the 1980s. The popular explanation focuses on the nominal wage rate relative to productivity (non-nominal value). The study is based on high-frequency monthly data set on output, employment, productivity, wage rate, factor prices, and national unemployment rate. Also control factors are constructed for the steel import protection and non-protection regimes. Some econometric modeling issues are addressed. Recognizing that productivity is stochastic and is potentially an endogenous variable, it is instrumented with a set of productivity-related variables including controls for various steel protection and non-protection regimes. Third, the wage in the industry is modeled as a function of exogenous productivity, price of steel products, national unemployment rate, and real interest rate. Serial correlation characterizes the data, and this is corrected with inter-temporal effect of the real wage rate, and with a differencing model. The main results of the study are threefold.First, OLS and Instrumental Variable (IV) estimates show that productivity is the key variable for explaining the real wage rate. Second, like in the literature, the study finds that heavy and autonomous capitalization has an impact on the rising productivity. Third, the study identifies an inter-temporal high real wage rate as the driving factor for explaining the short run real wage rate.These results are somewhat sensitive across specifications.

scholarly journals Real Wage Rate And Productivity Relationship In The Declining U.S. Steel Industry

2011 ◽  
Vol 5 (2) ◽  
Author(s):  
Amaechi Nkemakolem Nwaokoro
Keyword(s):  
Unemployment Rate ◽  
Real Wage ◽  
Steel Industry ◽  
Wage Rate ◽  
Nominal Wage ◽  
Data Set ◽  
The Real ◽  
Control Factors ◽  
Real Wage Rate ◽  
Steel Import

This study examines the relationship between the real wage rate and productivity in the U.S. steel industry in the critical period of 1963-1988. This period witnessed a declining steel output and employment, increasing productivity, and a slight increasing real wage rate. The severity of the decline was felt in the 1980s. The popular explanation focuses on the nominal wage rate relative to productivity (non-nominal value). The study is based on high-frequency monthly data set on output, employment, productivity, wage rate, factor prices, and national unemployment rate. Also control factors are constructed for the steel import protection and non-protection regimes. Some econometric modeling issues are addressed. Recognizing that productivity is stochastic and is potentially an endogenous variable, it is instrumented with a set of productivity-related variables including controls for various steel protection and non-protection regimes. Third, the wage in the industry is modeled as a function of exogenous productivity, price of steel products, national unemployment rate, and real interest rate. Serial correlation characterizes the data, and this is corrected with inter-temporal effect of the real wage rate, and with a differencing model. The main results of the study are threefold.First, OLS and Instrumental Variable (IV) estimates show that productivity is the key variable for explaining the real wage rate. Second, like in the literature, the study finds that heavy and autonomous capitalization has an impact on the rising productivity. Third, the study identifies an inter-temporal high real wage rate as the driving factor for explaining the short run real wage rate.These results are somewhat sensitive across specifications.

scholarly journals Refleksja o kiczu architektonicznym. Iluzja czy namiastka szczęścia?

2016 ◽  
pp. 194-205
Author(s):  
Barbara Stec
Keyword(s):  
Sensory Experience ◽  
The Real ◽  
Long Run ◽  
Starting Point ◽  
Physical Scale ◽  
Short Period ◽  
The One ◽  
Short Time

The reflection in this article is focused on the kitsch in architecture. The term ‘kitsch’ itself, originally referred to the images, is nowadays also used for the evaluation of architecture, especially in terms of its authenticity. This requires taking into account the physical scale associated with the function important in architecture, that is, the one of satisfying the needs of its user. What served as a starting point for reflection was the thought of Kurt W. Forster, in which he identified kitsch, including the architectural one, with the illusion of a better life, inherent in the dream and desire of a man, and constituting the cause of architectural borrowings. It was noted that in architecture, because of its scale and utility, the illusion cannot replace the real fulfillment of the user’s life needs, so it may exist for a relatively short period of time so as to lead to the emergence of its form, or, in the long run, it may subsist next to reality as a useless dummy, excluded from the function of satisfying the needs of the user. Such a kitsch can be seen in architecture, in which a man lives for such a short time that he or she does not need to meet one’s needs based on kitsch. The prolonged use of architectural kitsch deepens in a man a feeling of sadness and irritation resulting from a sense of inability to fulfill dreams or real needs. And if the illusion is only a cause of the architecture – since it disappears into its realized form, borrowed, but useful (as theatre decoration, by meeting the needs of beauty or a multi-sensory experience of architecture) – then you cannot talk about the architectural kitsch, understood as an illusion. Accordingly, the ornament also need not be kitsch if it converts the illusion into a bit of happiness.

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