Epstein Secrets

the players know that it is the Old Maid which is circulating, or that when the music stops some of the players will find themselves unseated." 3M Keynes [Keynes 1936] The following is a brief review of current research and emerging ideas within the field of liquidity. This section is something of a

The physiocrats were also correct in their belief that land can provide value, in its role in capturing the sun's rays. Where Smith, Marx, Ricardo, Sraffa etc were correct was in their belief that value is an inherent quantity, embodied in the goods and services in the economy. However, as was found a

ply balances to equal the above demand, where supply costs of commodities are calculated by aggregating costs of inputs on a cost plus basis, as per Sraffa, (un-reconstituted) von Neumann, market-microstructure and post-Keynesian analyses, but done on a dynamic equilibrium basis. At this level, price

d their market value in return, as if on the books of a firm. Chapter 6: Parallels with the Firm 2/4/16 21 HOUSE_OVERSIGHT_011055 Marshall’s pupil Keynes was thoroughly a marginalist, as are economists in general today and as am I. One of the features of his General Theory of 1936 was a kind of double-

t the human capital of children. But Farr deserves credit for pointing out that human capital in general capitalizes pay less invested consumption. Keynes’ teacher Alfred Marshall agreed with Farr in 1990’. As I read this passage, Marshall interpreted maintenance consumption as investment. So did B. F.

ted as a prior claim on pay, just as with the firm. ] may have been the only person to think so since Quesnay and the physiocrats, although Mill and Sraffa might be interpreted that way. But who has thought what doesn’t matter. Quesnay’s idea is a mathematical possibility that must be addressed. I’ll ge

duced from retained earnings within companies. For many economists, somewhat oddly, this will be seen as a serious flaw. Since at least the time of Keynes, investment and saving have been at the heart of macroeconomic modelling, and this is true of neo-classical and other heterodox modelling, not just

clear that the models were modelling the economics of the classical economists; the economics of Smith, Ricardo, Marx, von Neumann (unmodified) and Sraffa. With hindsight this turned out to be a consequence of the second of the two original models I had proposed in 2006. In this model wealth is implic

loyment is higher in model 46 than model 4A. Also the ratio of returns to labour to returns to capital is significantly higher in model 4A. This is Keynes writ large. Unlike static equilibria, dynamic equilibria can have multiple points of stability. The point of equilibrium that is reached depends on

n economics had been systematically disproved by neoclassical economics. More reading of economics quickly proved the second assumption to be false, Sraffa was the victor of the Cambridge capital controversies. The labour theory of value is indeed nonsense. However the concept of absolute value is not