The principle of effective demand, and the claim of its validity for a monetary production economy in the short and in the long run, is the core of heterodox macroeconomics, as currently found in all the different strands of post-Keynesian economics (Fundamentalists, Kaleckians, Sraffians, Kaldorians, Institutionalists) and also in some strands of neo-Marxian economics, particularly in the monopoly capitalism and underconsumptionist school In this contribution, we will therefore outline the foundations of the principle of effective demand and its relationship with the respective notion of a capitalist or a monetary production economy in the works of Marx, Kalecki and Keynes. Then we will deal with heterodox short-run macroeconomics and it will provide a simple short-run model which is built on the principle of effective demand, as well as on distribution conflict between different social groups (or classes): rentiers, managers and workers. Finally, we will move to the long run and we will review the integration of the principle of effective demand into heterodox/post-Keynesian approaches towards distribution and growth.

In this lecture Ben Fine aims at stimulating interest for and explaining the relevance of Marxist Political Economy. Ben Fine dedicates the first half of his comprehensible lecture to the question on how mainstream economics became the way it is by explaining its key concepts and how those evolved during the past 150 years. While critically reflecting those concept he also emphasizes that mainstream economics does not consider historical processes. This is the point of departure on his presentation of the core terms and crucial categories of Marxist Political Economy: e.g. the production process and class relations (Part 1). Part 2 examines the consequences of the capitalist mode of production and its propensity to crises. Ben Fine illustrates this Marxist analysis with the example of the current crisis and explains current conditions for the accumulation of capital.

In this lecture Ben Fine aims at stimulating interest for and explaining the relevance of Marxist Political Economy. Ben Fine dedicates the first half of his comprehensible lecture to the question on how mainstream economics became the way it is by explaining its key concepts and how those evolved during the past 150 years. While critically reflecting those concept he also emphasizes that mainstream economics does not consider historical processes. This is the point of departure on his presentation of the core terms and crucial categories of Marxist Political Economy: e.g. the production process and class relations (Part 1). Part 2 examines the consequences of the capitalist mode of production and its propensity to crises. Ben Fine illustrates this Marxist analysis with the example of the current crisis and explains current conditions for the accumulation of capital.

This lecture briefly discusses historic understandings of the limits to infinite economic growth on a finite planet (from John Stuart Mill to Marx). Taking a ecological economics perspective it discusses the metabolism of the economy, the economy as a subsystem of the environment, biophysical limits to growth, and sustainable economic scales.

Although money plays a key role in our lives, the workings of our monetary system are a mystery to most of us. ‘The Waterworks of Money’ by cartographer Carlijn Kingma is an attempt to demystify the world of big finance. It visualizes the flow of money through our society, its hidden power made manifest. If you see money as water, our monetary system is the irrigation system that waters the economy. The better the flow, the more prosperous society will be. Just as water makes crops thrive, so money sets the economy in motion. Or at least that’s the idea. In reality, inequality is growing in many countries and people are dealing with a ‘cost of living crisis’. Meanwhile, the progress with making our economies sustainable is stalling, and financial instability remains an ongoing threat. These problems cannot be seen in isolation from the architecture of our money system. If we truly want to tackle them, we will have to address the design flaws of our current money system. For more info check: https://www.waterworksofmoney.com or https://www.carlijnkingma.com For the Dutch version of the animation check: https://www.ftm.nl/waterwerk Current exhibitions: 'The Future of Money' at Kunstmuseum Den Haag, 14 April, 2023 - 8 September 2023. 'Plumbing The System' at the Dutch Pavilion of the Venice Biennale, 20 May 2023 - 26 November 2023 The second animation video of this series will be released in September 2023. The Waterworks of Money is a collaboration of cartographer Carlijn Kingma, investigative financial journalist Thomas Bollen, and professor New Finance Martijn van der Linden. Kingma spent 2300 drawing hours, based on in-depth research and interviews with more than 100 experts –ranging from central bank governors and board members of pension funds and banks to politicians and monetary activists. The structure of our monetary system is not a natural phenomenon. We can choose to change its architecture. Designing the money system– and the laws and institutions that govern it–is ultimately a democratic task, and not a commercial or technocratic one. In practice, however, there is a major obstacle impeding the democratic process: financial illiteracy. By making finance and money needlessly complex, economists, bankers and tax specialists have turned most of us into ‘financial illiterates’. Everyone who doesn’t speak their financial jargon is excluded from the democratic debate on how our monetary system should work. The Waterworks of Money bypasses the financial jargon. It is an attempt to boost systemic financial literacy. Only if ordinary citizens develop their own vocabulary to participate in the debate about their financial future, can they tell their politicians which kind of ‘financial irrigation system’ they want. Authors: Carlijn Kingma, Thomas Bollen, Martijn Jeroen van der Linden Animation: Tiepes, Christian Schinkel, Cathleen van den Akker Narrator: Loveday Smith Translation: Erica Moore Voice recording: Huub Krom Music and sound: Rob Peters Photography: Studio OPPA Partners: Follow the Money, De Haagse Hogeschool, Stimuleringsfonds Creatieve Industrie, Brave New Works, Rabobank, Kunstmuseum Den Haag, Rijksmuseum Twenthe

Economic theory must distinguish between publicly owned and privately owned property if it is to account for the effect of institutions on the behavior of individuals. Careful study of the theories of Marxists and the real-world experience in the Soviet economy offer important lessons and insight for economic modeling and the ongoing development of theory. In this course, Marxist/Leninist theory and Soviet reality will be studied with an open mind, and with the goal of taking lessons from the case study. To what extent was the Soviet economy an accurate expression of Marxist theory? If Marxism were tried somewhere else would the results be the same?

A short course introducing co-operative firms, in the context of the Candian economy where various forms of co-operative make up a significant sector of the economy. The course offers foundational knowledge about co-operatives, explaining what they are and how they operate.

This course attempts to explain the role and the importance of the financial system in the global economy. Rather than separating off the financial world from the rest of the economy, financial equilibrium is studied as an extension of economic equilibrium. The course also gives a picture of the kind of thinking and analysis done by hedge funds.

Firms are the primary places where economic activity takes place in modern capitalist economies: they are where most stuff is produced; where many of us spend 40 hours a week; and where big decisions are made about how to allocate resources. Establishing how they work is hugely important because it helps us to understand patterns of production and consumption, including how firms will react to changes in economic conditions and policy. And a well-established literature – led by post-Keynesians and institutionalists – holds that the best way to determine how firms work is to…wait for it...ask firms how they work. This a clearly sensible proposition that is contested in economics for some reason, but we’ll ignore the controversy here and just explore the theory that springs from this approach.

In this essay the authors take a look at how welfare could be provided in a degrowth society.

Have you ever thought about the role of civil society and the evolution of economy in one breath? This one hour long interview of Daron Acemoğlu (MIT) and Martin Wolf (Financial Times) by Rethinking Economy NL gives you much inspiration for it.

This chapter by the Centre for Economy Studies explores how courses on the history of economic thought and methods could look if they were pluralist and interdisciplinary.

The chapter by the Centre for Economy Studies introduces interdisciplinary economic subdisciplines and their importance for economics education.

This chapter by the Centre of Economy Studies provides a map through the complex jungle of economic theories. It provides key insights and ideas for thirteen core topics in economics, organised by selecting the most relevant theoretical approaches per topic and contrasting them with each other.

The Covid-19 pandemic has laid bare the deep structural rifts in modern capitalist economies. It has exposed and exacerbated the long-lasting systemic inequalities in income, wealth, healthcare, housing, and other aspects of economic success across a variety of dimensions including class, gender, race, regions, and nations. This workshop explores the causes of economic inequality in contemporary capitalist economies and its consequences for the economy and society in the post-pandemic reality, as well as what steps can be taken to alleviate economic inequality in the future. Drawing from a variety of theoretical and interdisciplinary insights, the workshop encourages you to reflect on your personal experiences of inequality and aims to challenge the way in which the issue is typically approached in economics.

This course provides future change makers in public and private sectors with a comprehensive overview on the structures and actors that shape markets.

Feminist economics focuses on the interdependencies of gender relations and the economy. Care work and the partly non-market mediated reproduction sphere are particularly emphasised by feminist economics.

What’s inflation? Why is it relevant? And is there an agreed theory about its roots and causes, or is it a contentious concept? That’s what this text is all about: We define what inflation actually means before we delve into the theoretical debate with an interdisciplinary and pluralist approach: What gives rise to it, what factors might influence it, and, consequently, what might be done about it?

This is an overview of (possibly transformative) proposals to address the economic consequences of the corona crisis

The general idea of a Job Guarantee (JG) is that the government offers employment to everybody ready, willing and able to work for a living wage in the last instance as an Employer of Last Resort. The concept tackles societal needs that are not satisfied by market forces and the systemic characteristic of unemployment in capitalist societies. Being a central part of the Modern Monetary Theory (MMT), attention for the JG concept rose in recent years.

The outbreak of COVID-19 has substantially accelerated the digitalization of the economy. Yet, this unprecedented growth of digital technology brought novel challenges to the labour market. Rise in income inequalities and precarious working conditions or polarization of jobs. In this essay, we try to assess what tools to use to counter these trends.

The last 15 years have seen extensive research into ecosystem service valuation (ESV), spurred by the Millenium Ecosystem Assessment in 2005 (Baveye, Baveye & Gowdy, 2016). Ecosystem services are defined as “the benefits people obtain from ecosystems” (Millenium Ecosystem Assessment, p.V). For example, ecosystems provide the service of sequestering carbon which helps regulate the climate. Valuation means giving ecosystems or their services a monetary price, for example researchers have estimated that the carbon sequestration services of the Mediterranean Sea is between 100 and 1500 million euros per year. The idea of ESV was a response to the overuse of natural resources and degradation of ecosystems, allegedly due to their undervaluation and exclusion from the monetary economy. ESV can be used (1) for policy decision-making, for example allocating funding to a reforestation project (2) for setting payments to people who increase ecosystem services, for example a farmer increasing the organic carbon content of their soil, and (3) for determining fees for people who degrade ecosystem services, for example a company that causes deforestation.

Fabian Georgi analyses how migration and borders are connected to capitalism.

After completing the module, participants should have gained a basic understanding of the economic school of thought referred to as "Modern Monetary Theory" and should be able to analyze the monetary processes at play in the economy and evaluate fiscal and monetary policy decisions from an MMT-perspective.

Michael Kalecki famously remarked “I have found out what economics is; it is the science of confusing stocks with flows”. Stock-Flow Consistent (SFC) models were developed precisely to address this kind of confusion. The basic intuition of SFC models is that the economy is built up as a set of intersecting balance sheets, where transactions between entities are called flows and the value of the assets/liabilities they hold are called stocks. Wages are a flow; bank deposits are a stock, and confusing the two directly is a category error. In this edition of the pluralist showcase I will first describe the logic of SFC models – which is worth exploring in depth – before discussing empirical calibration and applications of the models. Warning that there is a little more maths in this post than usual (i.e. some), but you should be able to skip those parts and still easily get the picture.

This article outlines the fundamental challenges of democratically planned economies and categorises proposed models into six groups, each of which approaches planning and coordination at different levels of authority and between myriad economic units in a particular way, taking into account efficiency as well as democratic principles and environmental and social sustainability. Through a classification system based on decision-making authority and mediation mechanisms, the article provides a framework for understanding and comparing these models. By examining their different approaches, it offers insights into the complexities and potential paths of democratically planned economies in the 21st century.

The module is designed to first present some of the main schools of thought from a historical and methodological perspective. Each week we explore and critically assess the main tenants of each school of thought. In the second part of the module we link history of economic thought and methodology to a specific and contemporary economic question. The second part allows you to engage with current economic issues with an awareness of methodology and methodological differences and with some knowledge of the history of economics.

The objective of the course is to explore the main strengths and weaknesses of orthodox and heterodox paradigms within development economics.

This article, looks at the complex interaction between an urban economy and the vegetation within that urban area. In summary, numerous studies have found a positive link between increased vegetation and social as well as personal health. It makes a case for increasing urban vegetation as a way to benefit local economies.

The world of economics is changing. Years of turmoil in the global economy mean that nothing will ever be quite the same again. This is the starting point and theme of this radically revised Economist books classic.

This article explores the production function, the prevailing view of capital that underpins it, and the main alternative perspective. By exploring these perspectives, the authors aim to provide students with a foundational understanding of the controversies surrounding the treatment of capital in production, a topic expressly excluded from mainstream textbooks.

The novel coronavirus (Covid-19) is rapidly spreading around the world. The real economy is simultaneously hit by a supply shock and a demand shock by the spread of coronavirus. Such a twin shock is a rare phenomenon in recent economic history.