The dissertation consists of two parts, a theoretical/formal part (first two chapters) and an empirical/applied part (third chapter). In the first part I develop a stock-flow consistent model of the circuit of capital, based on Prof. Foley's seminal work on the subject, which extends the model to deal with public sector finance and open economy issues. The circuit of capital model is inspired in Volume 2 of Marx's Capital , where Marx develops his famous schemes of reproduction, but is versatile enough so as to admit both classical/Marxian and Keynesian closures.; The first chapter presents a closed economy version of the model, which concentrates on the analysis of alternative theoretical closures, including the distinct role played by the credit system in accumulation and realization according to different trains of thought (i.e. classical vis-a-vis Keynesian). A first approximation to the role of fiscal finance in accumulation and realization is also presented in this chapter.; The second chapter presents an open economy version of the model, which analyzes different accumulation regimes---from highly leveraged processes of debt-led growth to more "cautious" (less dynamic) regimes in which domestic accumulation is thwarted by capital exports. These different regimes have been arranged into a useful taxonomy (inspired on Minsky's classification of financial portfolios) for the characterization different accumulation paths, including the switch from one financial position to another ("regime change"). The inclusion of fiscal finance in this context allows for the analysis of government deficit spending in the context of different net international investment positions. The complementary character of net exports and deficit spending as regards realization (they both tend to enhance it) and long-term growth (under certain conditions, they may both tend to reduce it) helps grasp the likelihood of twin surpluses/deficits. Finally, the inclusion of international reserves, in addition to allowing for a clear-cut appraisal of their impact on capital formation, has served to draw attention to the importance of analyzing gross international capital flows, as opposed to limiting the analysis to net financial positions.; In the second part (third chapter) I develop financial fragility indicators for the case of open economies, following the work of Hyman Minsky, and apply them to the analysis of Argentina's 2001 financial breakdown. As opposed to the long-term perspective of the circuit of capital model, this chapter deals with short- and medium-term macroeconomics. It examines the financial position of firms during the business cycle and pays special attention to the role of foreign indebtedness and currency mismatches. For that purpose I develop and operationalize a set of financial indicators that draw on Minsky's distinction between hedge, speculative, and Ponzi financing positions.
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