(1937a, 1937b, 1939). The theory of "artificial borrowing" had disappeared in the works of Keynes after 1930. And the Post Keynesians have "lost" this theory. Even Paul Davidson, who often stressed (1972) the importance and the meaning of the Treatise on Money, never mentioned this theory in his brilliant works.
Summary and Conclusions
We can point out that stagflation is endogenously inherent to the inside money economy. It is not always a consequence of adverse supply shocks (according to Bastard Keynesians) or of the expansionary government macroeconomic policy (according to Monetarists, New Classicals and Min- sky). Stagflation can take place in the inside money economy without any exogenous shocks or "interventions". It can appear only in the cyclical phase of slump because of the intentions of "imperfectly competitive" firms to avoid immediately the "debt bankruptcies" in the conditions of a "debt crisis" and the decrease in demand. The domination of Fisher effect and the "burning" desire to redeem the debts are the reasons for the inflation after the demand contraction. Moreover, stagflation can also take place in the inside money economy under the rising and higher interest rates because in this situation the business firms raise prices with the same above-mentioned goals owing to the increase in the cost of external finance. At the same time, stagflation is not endogenously long run process in the inside money economy. The redemption of debts by some firms and the bankruptcies of other firms generate the "resurrection" of the "traditional", "orthodox" macroeconomic relations, behaviours and goals. In particular, Fisher effect does not always matter, in contrast with the point of view of some Post Keynesians (Caskey and Fazzari, 1986). Staglation ends up. If, however, the process of the debts redemption is slow and continues in the phases of "post-depression" and "recovery", the situation is not very impossible to be occur, when "deflationaty expansion" can take place. In any case inside money is the condition for stagflation to occur only in the "cyclical context".
The common point in the "non-Neoclassical", in particular, Post Keynesian, literature is the importance of the difference between the "monetary economy" and the "barter (or real exchange) economy" (Keynes, 1973: 408-411, Chick, 1983: 1-12, Carvalho, 1992: 1-53). We tried to show in this article that the difference between the "inside money economy" and the "outside money economy" is not less important. Involuntary unemployment is endogenously inherent to the monetary economy and is not endogenously inherent to the barter or real exchange economy. Likewise, stagflation is endoge- nously inherent to the inside money economy and is not endogenously inherent to the outsude money economy. It can appear in the latter type of the economy, but only due to the exogenous "shocks", "interventions" and "disturbances". We think that the picking out of the meaning of inside money can help to understand the causes of many important problems of the modern advanced economies, in particular, the causes of stagflation.ЛІТЕРАТУРА
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