Is Garrisonian over-investment theory still “Austrian?”

posted by
March 11, 2013
La Bocca della Verita
by Gene Callahan  
Posted in Commentary

"I suggested here that Roger Garrison's business cycle theory should be disentangled from its Hayekian-triangle encrustations and show itself as a theory of how low interest rates can produce temporary movements beyond the PPF (where the PPF is understood to represent sustainable combinations of investment and consumption production). What that would do would be to free the theory up from its (I think) unnecessary ties to the shaky notion of a 'lengthening structure of production.'" (03/10/13)  

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