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Steve Keen 17 posts 0 comments

Steve Keen is Professor of Economics & Finance at the University of Western Sydney with over 60 academic publications, and author of the popular book ,a href="https://www.amazon.com/Debunking-Economics-Revised-Expanded-Dethroned/dp/1848139926">Debunking Economics. Steve predicted the financial crisis as long ago as December 2005, and warned that back in 1995 that a period of apparent stability could merely be “the calm before the storm”. His leading role as one of the tiny minority of economists to both foresee the crisis and warn of it was recognised by his peers when he received the Revere Award from the Real World Economics Review for being the economist who most cogently warned of the crisis, and whose work is most likely to prevent future crises. Follow Steve on his blog or Twitter.

Monetary System

Ptolemaic Economics in the Age of Einstein

Steve Keen Apr 1, 2012

Paul Krugman’s claim that those who argue banks play an essential role in macroeconomics are “Banking Mystics” has a natural riposte: Neoclassical economists like Krugman who believe that capitalism can be modelled without either money or…

Economy

On bank lending’s creating deposits and Paul Krugman’s response

Steve Keen Mar 28, 2012

Alan Holmes wrote in 1969 that "in the real world, banks extend credit, creating deposits in the process, and look for the reserves later." Holmes would turn in his grave at Krugman’s naïve assertion, half a century later, that banks need…

Monetary System

A Primer on Minsky

Steve Keen Mar 26, 2012

Minsky's “Financial Instability Hypothesis” is one of the key foundations of Steve Keen's approach to economics. Minsky has come into vogue these days of course, but to people who’ve known his work for several decades rather than ever since…

Monetary System

Economics in the Age of Deleveraging

Steve Keen Feb 1, 2012

Clearly, economic policy is now far more complex than it appeared to be before the GFC. As we enter this Age of Deleveraging, the worst thing we can do is apply policies that appeared to work during the preceding Age of Leverage—but were in…

Markets

Australia: There goes the neighbourhood

Steve Keen Nov 1, 2011

The last two days have seen the latest monthly data on credit growth in Australia from the RBA, and the latest quarterly data on house prices from the ABS. Together they confirm trends that I’ve identified on numerous occasions between the…

Economy

ABC Rear Vision: The US Economy post the 2008 Crash

Steve Keen Aug 19, 2011

The ABC Radio National program Rear Vision is a current affairs program that presents “contemporary events and people in their historical context”. I was recently interviewed by Rear Vision for a retrospective on the crisis, entitled “Here…

Economy

On private debt

Steve Keen Aug 18, 2011

Households are in far worse shape now than in the 1930s, with a peak debt level that is two and a half times as high as it was in 1930. That’s why the crisis now is manifesting itself in stagnant consumer demand. It doesn’t involve the same…