Skip to main content
SpringerLink
Log in

The Era of Low Growth and High Inflation: Contemporary International Trade Theories, New Classics, New Keynesian, Human Capital, Contractization Theories, and Behavioral Economics Under Uncertainty

  • Chapter
  • First Online:
Theoretical Approaches to Economic Growth and Development

Abstract

This chapter presents the New Classical economics and New Keynesian. The importance of the microfoundations in Keynesian economics provided by New Keynesian economics is noted. Human capital as a source of economic growth is analyzed, as well as the theory of signaling (as a theoretical contribution with microeconomic extensions). The analysis focuses on modern theories of international trade. The last part of the chapter refers to behavioral economics as a result of reconceptualizing economics using psychology.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
eBook
USD 16.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 119.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 119.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  • Arrow, K. J. (1963). Uncertainty and the welfare economics of medical care. The American Economic Review, 53(5), 941–973.

    Google Scholar 

  • Akerlof, G. A. (1970). The market for “lemons”: Quality uncertainty and the market mechanism. Quarterly Journal of Economics, 84(3), 488–500.

    Google Scholar 

  • Becker, G. (1964). Human capital. New York: Columbia University Press.

    Google Scholar 

  • Becker, G. (1975). Human capital: A theoretical and empirical analysis, with special reference to education. New York: Columbia University Press for NBER.

    Google Scholar 

  • Bentham, J. (1987 [1824]). An introduction to the principles of morals and legislation. In J. S. Mill & J. Bentham. Utilitarianism and other essays. Harmandsworth: Penguin.

    Google Scholar 

  • Edgeworth, F. ([1881] 1961). Mathematical journal of economic perspectives psychics: An essay on the application of mathematics to the moral sciences. New York: Augustus M. Kelly.

    Google Scholar 

  • Edwards, W. (1968). Conservatism in human information processing in formal representation of human judgment. New York: Wiley.

    Google Scholar 

  • Erdem, T., & Swait, J. (1998). Brand equity as a signaling phenomenon. Journal of Consumer Psychology, 7(2), 131–157.

    Google Scholar 

  • Fisher, I. (1919). Economists in public service: Annual address of the president. The American Economic Review, 9(1), 5–21.

    Google Scholar 

  • Fisher, A. G. B. (1946). Education and economic change. South Australia: W. E. A. Press.

    Google Scholar 

  • Fischer, S. (1977). Long-term contracts, rational expectations, and the optimal money supply rule. Journal of Political Economy, 85(1), 191–205.

    Google Scholar 

  • Friedman, M. (1943). The spendings Tax as a wartime fiscal measure. The American Economic Review, 33(1), 50–62.

    Google Scholar 

  • Friedman, M (1953). Choice, chance, and the personal distribution of income. Journal of Political Economy, LXI(4), 277–290.

    Google Scholar 

  • Gordon, J. R. (1990). What is New-Keynesian economics? Journal of Economic Literature, 28(3), 1115–1171.

    Google Scholar 

  • Harrod, R. (1943). Full employment and security of livelihood. The Economic Journal, 53(212), 321–342.

    Google Scholar 

  • Kahneman, D., & Tversky, A. (1979). Prospect theory: An analysis of decision under risk. Econometrica, 47(2), 263–292.

    Google Scholar 

  • Keynes, J. M. (1936). The general theory of employment, interest and money. London: Macmillan.

    Google Scholar 

  • Knight, F. H. (1941). The role of the individual in the economic world of the future. Journal of Political Economy, 49(6), 817–832.

    Google Scholar 

  • Krugman, P. R. (1979). Increasing returns, monopolistic competition and international trade. Journal of International Economics, 9, 469–479.

    Google Scholar 

  • Lucas, E. R., Jr. (1972). Expectations and the neutrality of money. Journal of Economic Theory, 4, 103–124.

    Google Scholar 

  • Lucas, E. R. Jr. (1976). Econometric policy evaluation: A critique. In Carnegie Rochester Conference Series on Public Policy, 1, 19–46.

    Google Scholar 

  • Mincer, J. (1957). A study on personal income distribution (PhD Dissertation). New York: Columbia University

    Google Scholar 

  • Mincer, J. (1958). Investment in human capital and personal income distribution. Journal of Political Economy, 66(4), 281–302.

    Google Scholar 

  • Mincer, J. (1962). On the job training: Costs, returns, and some implications. Journal of Political Economy, 70(5), 550–579.

    Google Scholar 

  • Muth, F. J. (1961). Rational expectations and the theory of price movements. Econometrica, 29, 315–335.

    Google Scholar 

  • North, D. C. (1971). Institutional change and economic growth. The Journal of Economic History, 31(1), 118–125.

    Google Scholar 

  • Pareto, V. (1935). The mind and society. New York: Harcourt Brace.

    Google Scholar 

  • Parkin, M. (1984). Macroeconomics. Scarborough, ON: Prentice-Hall.

    Google Scholar 

  • Petrakis, P. E., & Konstantakopoulou, D. (2015). Uncertainty in the entrepreneurial decision making: The competitive advantage of strategic creativity. New York: Palgrave Macmillan.

    Google Scholar 

  • Phelps, E. S., & Taylor, J. B. (1977). Stabilizing powers of monetary policy under rational expectations. Journal of Political Economy, 85, 163–190.

    Google Scholar 

  • Porter, M. E. (1980). Competitive strategy. New York: Free Press.

    Google Scholar 

  • Pissarides, C. (2011). Equilibrium in the labor market with search frictions. American Economic Review, 101, 1092–1105.

    Google Scholar 

  • Sargent, T., & Wallace, N. (1975). Rational expectations, the optimal monetary instrument, and the optimal money supply rule. Journal of Political Economy, 83, 241–254.

    Google Scholar 

  • Smith, A. (1759). The theory of moral sentiments. London: A. Millar, in the Strand.

    Google Scholar 

  • Smith, A. (1981 [1776]). An inquiry into the nature and causes of the wealth of nations. In R. H. Campbell & A. S. Skinner (Eds.), The Glasgow edition of the works of Adam Smith (Vol. 2). Indianapolis: Liberty Fund.

    Google Scholar 

  • Spengler, J. J. (1950). Some economic aspects of the subsidization by the state of the formation of ‘human capital. Kyklos, 4(2), 316–341.

    Google Scholar 

  • Spengler, J. J. (1955). Socioeconomic theory and population policy. American Journal of Sociology, 61(2), 19–133.

    Google Scholar 

  • Taylor, J. B. (1980). Aggregate dynamics and staggered contracts. Journal of Political Economy, 88, 1–23.

    Google Scholar 

  • Tversky, A., & Kahneman, D. (1971). Belief in the law of small numbers. Psychological Bulletin, 76(2), 105–110.

    Google Scholar 

  • Tversky, A., & Kahneman, D. (1974). Judgment under uncertainty: Heuristics and biases. Science, 185, 1124–1131.

    Google Scholar 

  • Tversky, A., & Kahneman, D. (1992). Advances in prospect theory: Cumulative representation of uncertainty. Journal of Risk and Uncertainty, 5, 297–323.

    Google Scholar 

  • Vernon, R. (1966). International investment and international trade in the product cycle. The International Executive, 8(4), 16.

    Google Scholar 

  • Vernon, R. (1970). Creativity: selected readings. United Kingdom: Penguin Books.

    Google Scholar 

  • Williamson, O. E. (1975). Markets and hierarchies: Analysis and antitrust implications. New York: Free Press.

    Google Scholar 

  • Williamson, O. E. (1985). The economic institutions of capitalism: Firms, markets, relational contracting. New York: Free Press.

    Google Scholar 

  • Williamson, O. E. (1996). The mechanisms of governance. New York: Oxford University Press.

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Department of Economics, National and Kapodistrian University of Athens, Athens, Greece

    Panagiotis E. Petrakis

Authors
  1. Panagiotis E. Petrakis
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Panagiotis E. Petrakis .

Rights and permissions

Reprints and permissions

Copyright information

© 2020 The Author(s)

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Petrakis, P.E. (2020). The Era of Low Growth and High Inflation: Contemporary International Trade Theories, New Classics, New Keynesian, Human Capital, Contractization Theories, and Behavioral Economics Under Uncertainty. In: Theoretical Approaches to Economic Growth and Development. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-50068-9_15

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-50068-9_15

  • Published:

  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-030-50067-2

  • Online ISBN: 978-3-030-50068-9

  • eBook Packages: Economics and FinanceEconomics and Finance (R0)

Publish with us

Policies and ethics

Search

Navigation