Keynes’ work on methodology was not insignificant. In fact, Keynes’ methodological contribution has been neglected generally, being overshadowed by his other work on economic theory and policy analysis. Post Keynesian economics arose out of the failures of neoclassical theory and its insufficient depiction of economic activity. Although Post-Keynesian economists do have many different ideas about the theoretical approach and assumptions compared to neoclassicists, they nevertheless all criticize the same points of the orthodox theory. On the following pages I will talk about the main methodological issues of the Post-Keynesian theory and work out the main differences to the neoclassical approach.
Contents
1. Introduction
2. Background
2.1 The main motive for the Keynesian theory
2.2 The development of Post Keynesian thinking
2.3 Philosophical foundation
2.3.1 Different approaches of Post Keynesianism: Critical Realism vs Babylonian approach
3. Post Keynesianism as a Political Economy
4. Post Keynesian methodology
4.1 Mai features of Post Keynesian methodology
4.2 A closer look to the definition of uncertainty and the long-run non-neutrality of money
5. Post Keynesianism in comparison to the neoclassical approach
5.1 An overview of the most important differences between the neoclassical theory and the Post Keynesian theory
6. Conclusion
7. References
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