MACROECONOMIC OUTCOMES OF CHANGING SOCIAL BARGAINS. THE FEASIBILITY OF A WAGE-LED OPEN ECONOMY RECONSIDERED

摘要

It has been argued, in neo-Kaleckian growth theory, that profit-led growth regimes are more likely in an open economy, at least in the short run. This paper reconsiders this question by developing a macroeconomic model for the medium run where distribution and inflation, caused by conflicting nominal income claims, influence growth. We show that the strict alternative between wage-led and profit-led growth is misguided, and that an expansion of real wages and employment is feasible when enduring incomes policies are established. Hindrance to these policies is reminiscent of the political opposition to permanent full employment envisaged by Kalecki.