Macroeconomic ingredients for a growth model analysis for peripheral economies: a post-Keynesian-structuralist approach

TY - JOUR

T1 - Macroeconomic ingredients for a growth model analysis for peripheral economies: a post-Keynesian-structuralist approach

AU - Stockhammer, Engelbert

N1 - Funding Information: This work was supported by The Leverhulme Trust: [Grant Number RPG-2021-045]. Earlier versions of the paper have been presented at the The Second Workshop of the Growth Models in the Global South Studies Network and the International Political Economy Research Group at KCL. This paper has benefited from comments by Guen Anzolin, Bruno Bonizzi, Alexandre de Podesta Gomes, Karsten Kohler, Ian Lovering, Christian May, Andreas Nölke, Özlem Onaran, Michael Schedelik, Esra Ugurlu and two anonymous referees. The usual disclaimers apply. Publisher Copyright: © 2022 The Author(s). Published by Informa UK Limited, trading as Taylor & Francis Group.

PY - 2023

Y1 - 2023

N2 - The growth models approach (GMA) has become increasingly prominent in Comparative Political Economy over the last years. While it has originally been developed for advanced economies, there is a growing number of applications for developing countries. This raises the question of how readily transferable the GMA concepts are to the peripheral capitalist experience. This paper explores the analytical building blocks for an extension of the GMA to developing economies from post-Keynesian-structuralist perspective. It argues that in a developing country context supply-side considerations will be more important and build on structuralist theory to understand the ‘real’ constraints in the developing countries' growth process. It uses Minskyan theory to understand how currency hierarchy creates financial causes for international economic stratification. As a consequence, the role of the state is more crucial than in advanced economies, but at the same time states are more vulnerable. This paper concludes by reflecting on the key concepts of GMA, finance-led, export-led and state-led growth in the light of developing economies and identifying neoliberal as well developmentalist versions of these.

AB - The growth models approach (GMA) has become increasingly prominent in Comparative Political Economy over the last years. While it has originally been developed for advanced economies, there is a growing number of applications for developing countries. This raises the question of how readily transferable the GMA concepts are to the peripheral capitalist experience. This paper explores the analytical building blocks for an extension of the GMA to developing economies from post-Keynesian-structuralist perspective. It argues that in a developing country context supply-side considerations will be more important and build on structuralist theory to understand the ‘real’ constraints in the developing countries' growth process. It uses Minskyan theory to understand how currency hierarchy creates financial causes for international economic stratification. As a consequence, the role of the state is more crucial than in advanced economies, but at the same time states are more vulnerable. This paper concludes by reflecting on the key concepts of GMA, finance-led, export-led and state-led growth in the light of developing economies and identifying neoliberal as well developmentalist versions of these.

UR - http://www.scopus.com/inward/record.url?scp=85143293143&partnerID=8YFLogxK

U2 - 10.1080/13563467.2022.2149723

DO - 10.1080/13563467.2022.2149723

M3 - Article

SN - 1356-3467

VL - 28

SP - 628

EP - 645

JO - NEW POLITICAL ECONOMY

JF - NEW POLITICAL ECONOMY

IS - 4

ER -