Economy works differently Episode 1: The indisputable proof that Keynes' Investment Multiplier is a Wrong Theory

2021 ◽  
Author(s):  
Didier Vanoverberghe
Keyword(s):  
Investment Multiplier

Profits and GDP in the basic model

2019 ◽  
pp. 32-53
Author(s):  
Kazimierz Łaski
Keyword(s):  
Labor Productivity ◽  
Total Output ◽  
Capitalist Economy ◽  
Basic Model ◽  
Consumption Goods ◽  
The Stability ◽  
Two Sectors ◽  
Investment Multiplier ◽  
Multiplier Process

In the basic model it is assumed that the economy is closed and there is no government. In this situation, with two sectors producing respectively investment and consumption goods, total output and employment are determined by investment through the Keynesian investment multiplier. This result obtains because the capitalist economy is demand-constrained. By contrast, the centrally planned socialist economies were supply-constrained. In the capitalist economy the multiplier process ensures that investment finances itself through providing exactly the same amount of saving as investment in any given period. However, the condition for the stability of this result is the rise in wages with labor productivity.

scholarly journals Investment multiplier effect expands tourism destinations

2019 ◽  
Vol 6 (2) ◽  
pp. 44-51
Author(s):  
I Gusti Ngurah Putra Suryanata
Keyword(s):  
Human Resources ◽  
Local Community ◽  
Economic Life ◽  
Employment Opportunities ◽  
Tourism Sector ◽  
The Social ◽  
Multiplier Effect ◽  
Tourism Destinations ◽  
Investment Multiplier

The study is aimed at discussing the investment multiplier effect expands tourism destinations. The main problem is how can multiplier investments in the tourism sector minimize unemployment in Junjungan Village, Ubud, Bali. The results of the analysis and discussion show that the existence of investments influences many of the social and economic life of the community, because there are so many benefits or benefits obtained by both the Gianyar government and the local community as an integral part of the tourism business on the island, both in the form of tax and assistance provided to local communities to improve the quality of life and also training in the human resources. The more investment in this village, it is expected to be able to open as wide employment opportunities as possible. Therefore, unemployment is minimized and public income is expected to continue increasing.

scholarly journals Is the Public Investment Multiplier Higher in Developing Countries? An Empirical Exploration

2019 ◽  
Author(s):  
Alejandro Izquierdo ◽  
Ruy Lama ◽  
Juan Medina ◽  
Jorge Puig ◽  
Daniel Riera-Crichton ◽  
...  
Keyword(s):  
Developing Countries ◽  
Public Investment ◽  
The Public ◽  
Investment Multiplier

scholarly journals Is the Public Investment Multiplier Higher in Developing Countries? An Empirical Investigation

2019 ◽  
Author(s):  
Alejandro Izquierdo ◽  
Ruy Lama ◽  
Juan Pablo Medina ◽  
Jorge Puig ◽  
Daniel Riera-Crichton ◽  
...  
Keyword(s):  
Developing Countries ◽  
Empirical Investigation ◽  
Public Investment ◽  
The Public ◽  
Investment Multiplier

دور الإنفاق الأستثماري العام في تعزيز التحول الهيكلي للاقتصاد العراقي بعد عام 2003

2021 ◽  
Vol 2021 (71) ◽  
pp. 81-99
Author(s):  
نور شدهان عداي ◽  
◽  
أ. د . فلاح خلف علي
Keyword(s):  
Structural Transformation ◽  
Analytical Method ◽  
Public Investment ◽  
Production Structure ◽  
Weak Relationship ◽  
Investment Spending ◽  
Investment Multiplier

This research aims to diagnose the reality of the contribution of public investment spending to the structural transformation in the Iraqi economy by using the descriptive analytical method. The weak relationship between public investment spending and structural transformation has been found as a result of weak investment allocations directed to the productive sectors that can contribute to correcting the imbalance in the production structure. On the basis of this, the research stressed the need to increase public investment spending in order to stimulate the work of the investment multiplier and accelerator, which would contribute to correcting the production structure and achieving structural transformation in the Iraqi economy

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