Advanced Political Economy 2
This course covers advanced topics in Marxian economics and, where possible, compares and contrasts classical Marxian and post-Keynesian approaches to these issues. Lectures are based on Capital, volumes 1, 2, and 3; and Theories of Surplus Value, as well as modern contributions by authors in the Marxian and Keynes-Kalecki traditions. The course begins with Marx's theory of competition and contrasts it with theories of perfect and imperfect competition. Some of the implications of Marx's theory of competition for neoclassical approaches to foreign trade and structuralist analyses of macrodynamics are discussed. We then apply the theory of competition to Ricardo's and Marx's theories of rent. We move on to a discussion of finance and growth. In this section we compare the Chartalist theory of money with that of Marx, the application of social accounting matrices to the study of macrodynamics, and the relationship of the circuitist school to Marx's theories of money, finance, and the circuit of capital. The final section is on the political economy of the state. In this section, we discuss the effects of budget deficits on growth and some of the contemporary post-Keynesian policies such as the employer-of-last-resort proposal. We also look at some of the sociological and political literature on the state and attempt to identify the underlying economic theories of capitalism.