Post-Keynesian Theories of the Firm: Kalecki and Radical Uncertainty

This book explores the concept of radical uncertainty in Post-Keynesian economics and argues that it is central to the emergence, existence, and motivation of firms. It proposes a way of generalizing radical uncertainty by integrating separate approaches within Post-Keynesian economics centered around Kaleckis work, showing that it causes firms to behave intentionally and contributes to the methodology of Kalecki and Shackle and Kaleckian price theory.

Format: Hardback
Length: 416 pages
Publication date: 11 May 2023
Publisher: Taylor & Francis Ltd

Within the realm of post-Keynesian economics, a diverse range of approaches to theories of the firm coexist, yet they share a remarkable commonality: their effective integration of the concept of radical uncertainty. This concept encompasses data that remains unknown, presenting a significant challenge to economic analysis. This book aims to revisit Kalecki's theory of the firm, recognizing its potential as a fertile theoretical foundation for understanding the inherent indeterminacy that arises when firms operate in environments characterized by profound uncertainty. The author proposes a novel approach to generalizing radical uncertainty by integrating various separate strands within post-Keynesian economics, with a focus on Kalecki's work. Through this integration, it becomes evident that radical uncertainty extends beyond merely altering the ultimate motivation of firms, encompassing a more complex and interconnected motivation, as well as playing a critical role in the emergence, existence, and motivation of firms. Moreover, the book argues that firms do not merely react to uncertainty; rather, it is the systematic cause of their intentional behavior. By developing these arguments, the book not only contributes to the methodology of Kalecki and Shackle but also to Kaleckian price theory. This book holds immense significance for anyone interested in theories of the firm, post-Keynesian economics, and heterodox approaches to economics in general.

Weight: 950g
Dimension: 234 x 156 (mm)
ISBN-13: 9780367421045