Article citationsMore>>

Hyman. Minsky, “Comment on Ben Bernanke, ‘Credit in the Macro-Economy’,” Hyman P. Minsky Archive, Paper 361, Betz, Frederick. 2011. Societal Dynamics. Springer, New York, 1993.

has been cited by the following article:

• TITLE: Disequilibrium Pricing Theory—Bubbles and Recessions

  AUTHORS: Frederick Betz

  KEYWORDS: Economic Recessions; Financial Bubbles; Bank Panics

  JOURNAL NAME: Theoretical Economics Letters, Vol.4 No.1, February 12, 2014

  ABSTRACT: How can one track a financial bubble as a likely precursor to bank panics and subsequent recessions? We model the Minsky-Keynes depiction of a financial market—by extending the “equilibrium-price” model to a “disequilibrium-price” model, through adding a third dimension of time. In this way, we use a topological graphic approach to see how the models from the two schools of economics, exogenous and endogenous, relate to each other as complementary models of production and financial sub-systems. These economic models are partial models in an economy—not a model of the whole economy. However, such partial models can be used to anticipate financial bubbles—hence bank runs and recessions due to bank runs—which typically follow.