Old controversy revisited: pricing, market structure, and competition

In this essay, I examine the connection between pricing, profit mark ups, competition, and economic activity from a heterodox perspective. These issues are examined utilizing a two-industry Burchardt-Kaleckian production model and a labor-based mark up pricing model; the conclusion reached is that market structure and competition have no fundamental role in affecting pricing, profit mark ups, or economic activity. However, it is generally perceived in heterodox economics that competition does play an important role in the economy. This theme is discussed in conjunction with the going business enterprise

History of the economics department at University of Missouri-Kansas City

This essay provides a short history of the Department of Economics at UMKC from 1929 to 2010. It shows the origins of its Institutionalist roots beginning in 1946 and ends with the development of the department as a internationally known center of Post Keynesian-Institutional-heterodox economics.Institutionalism, Heterodox, Post Keynesian

Heterodox microeconomics and the foundation of heterodox macroeconomics

The resolution of the controversy over the microfoundations of macroeconomics is important to heterodox economics. In this essay, I argue that the controversy is due to misspecification. That is, the conventional understanding of the controversy is that it is a reductionist exercise of macroeconomics to mainstream microeconomics. However, mainstream microeconomics is theoretically incoherent and hence cannot provide the microfoundations for any macroeconomics, mainstream or heterodox. In addition, a common position in heterodox economics is that heterodox macroeconomics generates a mainstream microeconomics sub-structure. But it is argued that this is not the case; rather it generates a heterodox microeconomics substructure. The essay concludes with the argument that in heterodox economics the micro-macro dichotomy does not exist and hence the controversy should be dismissed.Heterodox; Microeconomics; Macroeconomics

Heterodox production and cost theory of the business enterprise

Heterodox economists long complained about having no systematic alternative to neoclassical production and cost theory. This paper deals with this complaint. That is, it presents a theory of production and costs of the business enterprise that is a complete alternative to the neoclassical theory of production and costs of the firm.heterodox theory, accounting rules, structure of production and costs, segmented plants, direct costs, shop expenses, enterprise expenses

Social surplus approach and heterodox economics

Given the emphasis on social provisioning in heterodox economics, two of its central theoretical organizing principles are the concepts of the total social product and the social surplus. This appears to link heterodox economics to the social surplus approach associated with the classical economists and currently with Sraffian economists. However, heterodox economics connects agency with the social surplus and the social product, which the Sraffians reject as they take the level and composition of the social product as given. Therefore the different theoretical approach regarding the social surplus taken in heterodox economics may generate a different but similar way of theorizing about a capitalist economy. To explore this difference is the aim of the paper. Thus the paper is divided into four parts and a conclusion. In the first section social provisioning and the social surplus is introduced. In the second section, the Sraffian social surplus approach is delineated while in the third section the heterodox social surplus approach is delineated. In the fourth section of the paper, some of the implications emerging from the differences between the two approaches are discussed. The paper is concluded in the final section.social surplus, social product, social provisioning, agency, Sraffian economics, heterodox economics

Analysis of oscillations in nonlinear systems using multiple input describing functions

Sufficient conditions for oscillation as well as absence of oscillations are presented for a class of systems containing one lumped linear element and a differentiable nonlinearity. The results are obtained by estimating the error inherent in using a describing function analysis. Contraction type arguments are used to show common topological properties of the describing function solution and the balance of first harmonic terms of the system. After discussing the describing function method, two theorems are presented regarding existence or nonexistence of oscillations from homotopic considerations. A graphical method for examining systems with power law nonlinearities is given using a parameter plane of frequency and amplitude. As an example, the method is applied to the Van der Pol oscillator when the linear element is sufficiently low pass. An analytical method is derived that is particularly easy to apply in the design of power law oscillators. It is shown that multiple input describing functions may be used in some cases for which the describing function method is inconclusive. The results obtained in estimating the amplitude and frequency of oscillation using dual input describing functions are compared to their single input counterparts for a number of examples. The class of nonlinearities for which the methods may be applied includes polynomial functions. It is shown that one can also apply similar techniques to systems containing jump discontinuities when the nonlinear element can be approximated arbitrarily closely by a continuous function. One can say that such a function is almost continuous. An ideal relay, a relay with deadzone and a staircase function are analyzed in this manner. In some systems, improved results are obtained by representing the nonlinearity as the sum of a bounded almost continuous function and a polynomial. All of the methods developed have been computerized. Numerous examples are presented to illustrate the application of the methods