The General Theory of Employment, Interest and Money.

  title={The General Theory of Employment, Interest and Money.},
  author={Joseph Alois Schumpeter and John Maynard Keynes},
  journal={Journal of the American Statistical Association},
Part I. Introduction: 1. The general theory 2. The postulates of the classical economics 3. The principle of effective demand Part II. Definitions and Ideas: 4. The choice of units 5. Expectation as determining output and employment 6. The definition of income, saving and investment 7. The meaning of saving and investment further considered Part III. The Propensity to Consume: 8. The propensity to consume - i. The objective factors 9. The propensity to consume - ii. The subjective factors 10… 

Analyzing Book IV of The General Theory

This work defines the marginal efficiency of investment by using Uzawa’s Penrose-function based investment theory, and finds that whenever all firms in an economy pursue the maximization of their fundamental values, Say's law revives and the principle of effective demand proposed in Book I in The General Theory is negated.

The General Theory of Employment, Interest and Money: An Overview with Commentary

Due to the intellectual influence previously enjoyed by Keynes’ General Theory, this chapter is dedicated to a commentary on Keynes’s great work, whose influence was largely recovered during the

The liquidity preference theory: a critical analysis

Keynes in the General Theory, explains the monetary nature of the interest rate by means of the liquidity preference theory. The objective of this paper is twofold. First, to point out the limits of

Analyzing Book III of The General Theory

It is shown that Kahn's employment multiplier reaches the same value as Keynes’s investment multiplier under some plausible condition, and it is also shown that the multiplier recommended by Keynes may have been considered reasonable by the government.

The Theory of Unemployment, too, is Historically

Conditioned * SUMMARY: 1. Preliminary observations; 2. Employment and unemployment: the analytically important subdivisions; 3. The causes of the recent increase in unemployment in developed

The Point of Effective Demand

Abstract Keynes's principle of effective demand conceives competitive equilibrium in terms of the choices of entrepreneurs, investors and consumers, rather than of the optimal allocation of factors

Wage theories: past and present

The authors study the essence and evolution of views on such an important economic category as wages, as well as the main modern directions of theories of wages. Salary, which is the price of labor,

Notes on consumption, investment and effective demand: II

In Part I we looked for the premises from which traditional theory derived the assertion that aggregate demand would adjust to productive capacity. These premises were found to lie ultimately in the

The Struggle Over the Real Wage In the Monetary Production Economy

Keynes contents in General Theory that the monetary market logic of the aggregate real wage in the monetary production economy conveys: (i) the determination of the average real wage rate, the level



The General Theory of Employment

I. Comments on the four discussions in the previous issue of points in the General Theory, 209. — II. Certain definite points on which the writer diverges from previous theories, 212. — The theory of


It has become traditional for reviewers of important books to begin by saying that it is impossible within the limits of a single article to do more than consider very briefly a few of the questions