Template-type: ReDIF-Paper 1.0
Author-Name: Alfonso Palacio Vera
Author-Workplace-Name: Departamento de Economía Aplicada, Pública y Política. Universidad Complutense de Madrid.
Author-Workplace-Homepage: https://www.ucm.es/eapp	
Title: Capital accumulation, technical progress and wage flexibility: Keynes´approach to aggregate supply and demand analysis 
	revisited	
Abstract: The aggregate supply and demand model (AS-AD) posited by Keynes in the General Theory and elaborated by Weintraub and 
	Davidson is analysed by inserting a CES production function. We perform a comparative statics analysis where the effects on 
	the equilibrium level of employment and the price level of changes in a wide range of variables and parameters are worked 
	out. The effect of changes in the money wage rate on the level of employment and the price level are found to be ambiguous. 
	Finally, we argue that this approach provides a more consistent approach than conventional AS-AD analysis does.
Keywords: Capital, Aggregate supply and demand analysis, Involuntary employment, Technical progress, Capital accumulation and 
	deflation.
Length: 37 pages
Creation-Date: 2003 
Number: 03-12
X-File-Ref: http://america.sim.ucm.es/repec/ucm/ref/doctra03-12.txt
File-URL: https://eprints.ucm.es/id/eprint/6815/1/0312.pdf
File-Format: Application/pdf
Handle: RePEc:ucm:doctra:03-12