Transformational Growth and Effective Demand: Economics After the Capital Critique

This collection of essays further develops Professor Nell's theory of transformational growth. Established concepts such as the classical notion of prices of production and the wage-profit frontier are set within a significant new framework displaying their role in the dynamic evolution of the industrial system from its beginnings in feudalism through the early capitalism of family firms to the modern system of effective demand and multiplier adjustments. The essays present the method and its relation to the capital critique and go on to develop the main ideas of transformational growth through a series of historical studies culminating in a revised theory of the multiplier. This leads to a reconstruction of macroeconomics and to new policy conclusions, strongly affirming an expansionist approach.