Finance, Investment and Macroeconomic Performance
European Research Studies Journal, Volume XI, Issue 1-2, 71-88, 2008
Finance, power and distribution are issues that are largely absent in conventional macroeconomics. This paper outlines the implicit economic process embedded in the neo-classical and new-Keynesian constructions of macroeconomics regarding the finance-investment relation. It then develops a general post-Keynesian framework and argues that finance, power and income distribution are significant determinants of investment and macroeconomic activity.