Hobson`s Imperialism

목차

1. Underconsumption Theory
2.Price Levels, Imperial Interests, and Keynesian Model
3.John. A. Hobson
4.Global Macroeconomic Imbalances

본문내용

Underconsumption Theory

Underconsumption theory prevailed in the mid-nineteenth century, and gradually replaced since the 1930s by Keynesian economics and the theory of aggregate demand, both of which were influenced by the concept of underconsumption. Underconsumption theory argues that economic recessions and stagnation occur due to insufficient consumer demand relative to the amount produced.
According to the analysis by Gregory P. Nowell, conservative economists maintained that “the underconsumption problems could be solved only by imperial conquest.” Liberals, on the contrary, argued that “social reform and domestic income redistribution programs would relieve the overproduction problems.” And furthermore, radicals argued that “only the overthrow of capitalism can remedy maldistribution of wealth.” This theory is contradictory to neoclassical economists who advocate full competition and “full employment equilibrium.”

참고 자료

Nowell, P. Gregory, “Imperialism and the Era of Falling Prices,” Journal of Post Keynesian Economics, Vol. 25, No. 2 (Winter, 2002-2003): 309-329.
Maclachlan, Fiona, “J.A. Hobson and the Economist,” Journal of Post Keynesian Economics, Vol. 25, No. 2 (Winter, 2002-2003): 297-308.
Schwarts, Herman, “American internationalism, Asian development, and Global Macroeconomic Imbalances,” Journal of Post Keynesian Economic, Vol. 25, No. 2 (Winter, 2002-2003): 331-351.