From prosperity into the crisis and back. On the role of economic theories in the long cycle
"This essay reconsiders the interaction between the development of economic theories and economic reality since the 1920ies. I begin with the systemic cause of the financial crisis, the coincidence of three "bear markets" (stocks, real estate, commodities) which followed three paralle...
| Main Author: | |
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| Institution: | ETUI-European Trade Union Institute |
| Format: | TEXT |
| Language: | English |
| Published: |
Vienna
2018
WIFO |
| Subjects: | |
| Online Access: | https://www.labourline.org/KENTIKA-19306098124911242709-From-prosperity-into-the-crisi.htm |
| _version_ | 1771659895038279680 |
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| author | Schulmeister, Stephan |
| author_facet | Schulmeister, Stephan |
| collection | Library items |
| description | "This essay reconsiders the interaction between the development of economic theories and economic reality since the 1920ies. I begin with the systemic cause of the financial crisis, the coincidence of three "bear markets" (stocks, real estate, commodities) which followed three parallel "bull markets". I then sketch the macroeconomic effects of the "manic-depressive" fluctuations of asset prices and show how they paved the road into the present crisis. As next step, I explain how "bulls" and "bears" are brought about. Then I sketch how the treatment of financial markets in economic theory and policy has shaped the long cycle from the financial boom of the 1920ies, the Great Depression, the post-war prosperity under "realcapitalistic" framework conditions to the "finance-capitalistic" regime since the 1970ies. The paper concludes with proposals how Europe could find roads to new prosperity. After the upcoming financial crisis there will be a window of opportunity to implement these proposals." |
| format | TEXT |
| geographic | international |
| id | 19306098124911242709_e398af01c1b340fe9f30a31be3ad723a |
| institution | ETUI-European Trade Union Institute |
| is_hierarchy_id | 19306098124911242709_e398af01c1b340fe9f30a31be3ad723a |
| is_hierarchy_title | From prosperity into the crisis and back. On the role of economic theories in the long cycle |
| language | English |
| physical | 26 p. Digital |
| publishDate | 2018 |
| publisher | Vienna WIFO |
| spellingShingle | Schulmeister, Stephan economic theory business cycle macroeconomics price From prosperity into the crisis and back. On the role of economic theories in the long cycle |
| thumbnail | https://www.labourline.org/Image_prev.jpg?Archive=137349195552 |
| title | From prosperity into the crisis and back. On the role of economic theories in the long cycle |
| topic | economic theory business cycle macroeconomics price |
| url | https://www.labourline.org/KENTIKA-19306098124911242709-From-prosperity-into-the-crisi.htm |