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By A. Lifschitz

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And when one includes his critique of equilibrium economics in the Economic Journal, which galled Frank Hahn so in his inaugural lecture (I always thought that Kaldor had the better of that argument), and his much earlier article on 'Speculation and Economic Stability', which helped to clarify chapters 12, 16 and 17 of the General Theory, there is little doubt in my mind but that he would be universally accepted as a genuine Post Keynesian economist on either side of the Atlantic. Now things are a bit different with the neoRicardians/neo-Sraffians, Garegnani, Pasinetti (no, I would rather not include Pasinetti among this group), Roncaglia, Eatwell and Murray Milgate, among others.

Kalecki did that part better. He had a much better handle on it. So I have a high regard for the role played by Kalecki. To get a better appreciation of all of this, one should read, of course, Malcolm Sawyer. Now, when one asks what influence Kalecki had on the development of Post Keynesian economics, we get to some interesting differences of opinion. I don't think you would find a lot of Kalecki in Paul Davidson's work, whereas I think it's fair to say that Al Eichner could not have done what he did had it not been for Kalecki; that Al, to a much greater extent, in terms of his pricing model, was trying to do the kind of things that Kalecki was aiming at.

You had limited resources. Why didn't we run into a Malthusian problem? Commodity shortages - remember the Club of Rome - why didn't we run into that between the 1950s and the 1970s? We had this tremendous economic growth. The resource base didn't increase, technology went up but not that much, in terms of mining of oils and minerals and things like that. And my answer is, the United States was the Pharaoh of the world. We ran a commodity buffer stock system, not only for agricultural products but for what we call strategic materials, all sorts of metals and minerals.

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