GROWTH AND DEVELOPMENT

GROWTH AND DEVELOPMENT

Sergio Cesaratto

Cesaratto@unisi.it

PLEASE, REGULARLY CHECK AND READ MAILS FROM YOUR UNISI EMAIL ADDRESS. THIS IS IMPORTANT SO THAT I CAN CONTACT YOU ABOUT THE EXAMS. If you want to talk to me, please send an e mail.

NEWS!

Results of the first intermediate test (F failed):

ELT 149431      30+      marks on the single questions A+, A+, A+, A+

SV 149402        30              A, A , A, A

RB 148406       28 +/-      A+/-, A/B+/-, B/C, A+/-

FD 146061       22+         B, B, C/F, F

AO  148481      29+        A+/-, A-, A, A

PS 141620       23             B+, C/B, F, A

KA 144772      18             C, C/F, F, C

KJ  146498      18             C/F, C/F, F, C

You may complete in December or in the official exams in January.

Important dates: 30 Oct. first lecture by prof. Pariboni; 18 Dec. (14-16) second intermediate test (room ?).

Growth and development – Programme 2024-25

Proff. S. Cesaratto and R. Pariboni

Sample of examination tests part A (as you can see the questions are more or less always the same) Esempi di test passati

Please check also  prof.Pariboni’e web page https://docenti-deps.unisi.it/riccardopariboni/growth-and-development/ for updates on his section of this course.

Part I (prof. Sergio Cesaratto) updated 3 October 2024

Prof. Cesaratto will introduce first some stylised facts concerning economic growth in a very long-run (millenarian) perspective. He will next introduce the main alternative theories (classical, marginalist, Keynesian) that constitute the background for the growth model exposed by prof. Pariboni in the second half of the course.

The main (but not exclusive) reference to prepare part I of the exam is Sergio Cesaratto, Heterodox Challenges in Economics – Theoretical Issues and the Crisis of the Eurozone, Springer, 2020 http://www.springer.com/9783030544478 (chapters below refer to this book)

(Italian students can use the Italian edition: Sei lezioni di economia, Dairkos, 2019; Spanish speaking students can use the Spanish edition: Cesaratto, S. (2021) Seis lecciones de economía, El Viejo Topo, https://www.elviejotopo.com/libro/seis-lecciones-de-economia/).

The main problem with this course in the last years has been the discontinuity in the attendance especially by Erasmus students. Continuity is essential.

The program will be updated over the next month, so please consult the web page of the course often, also for other communications, results of the exams, events, etc.

Here is our agenda, lecture by lecture (below the details and references). NB after the difficult beginning of the course (mainy due to the students’ discontinuous attendance), tye course has been reorganised. 2 October 2024. Here is the new schedule. I have simplified the programme accordingly.

1. Introduction and some secular growth stylised facts; 2. Population; introduction to the classical surplus approach; 3. Surplus approach (Ricardo); 4. Surplus approach in Marx (and relation to Say’s Law, mercantilism); 5. Marginalism; 6. the Keynesian revolution; 7. BoPs and the foreign constraint; 8.Endogenous money and monetary policy; 8. The European crisis (as an example of BoP crisis); 9. monetary policy in the Eurocrisis; 10. Intermediate test.

Detailed programme

  1. The facts on growth, development, and population: past, present, future (mainly home work).

We shall start by examining some stylized facts on economic development over the last two millenniums. The exposition will be very quick and student are required to some (easy) work at home.

References:

PPP:  First lecture 2024-25

Maddison, Angus, The World Economy: A Millennial Perspective, Development Centre Studies: Paris: OECD Publishing; 12 June 2001; available from the library (use one search). Chapters 1, 2, 3 are all interesting, but for the exam you may focus upon pp. 17-32, 44-48, 125-135.  Maddison with higlights (in yellow) Please, download it asap that I have not much space for other materials.

On population trends, read at least the “key messages” (pp. 1-5) of World Population Prospects 2024: https://desapublications.un.org/publications/world-population-prospects-2024-summary-results; here the keypoints UN-Pop Keypoints annotated

2. Background economic theories

In section 2 we shall revise the main economic theories which influence our views of economic growth and development. Alternative growth models examined by prof. Pariboni are based on these theories.

2.1. Introduction

Chapter 1 Please, read it

2.2. The classical surplus approach (Mercantilists, Smith, Ricardo, Marx and Sraffa)

Chapter 2 Focus on sections 2.1/2/3/8/12/18 (but if interested read the rest). PPP: Surplus approach

On the relation within the theory of surplus and the rise of inquality in pre-history, read Sergio Cesaratto, Heterodox Challenges in Economics – Theoretical Issues and the Crisis of the Eurozone, Springer, 2020, particularly pp. 13-18.

2.3. Marginalism (neoclassical theory) Chapter 2 Focus on sections 3.1/2/3/4/5/6/7/10/11 (but if interested read the rest).

2.4. The Keynesian revolution

Chapter 4. Focus on sections from 4.1 to 4.9 and the appendix (but if interested read the rest)

3. Theories of money (exogenous and endogenous), the foreign constraint and the balance of payments.

See Chapter 5 of Heterodox Challenges in Economics (all sections are relevant). PPP: Endogenous money or, more complete: Cesaratto-presentation

34. The euro-crisis (real and monetary aspects)

We shall discuss the European financial crisis of the last decade as an example of a balance of payment crisis in the context of the relations between core and peripheral countries.

See Chapter 6 and 7 of Heterodox Challenges in Economics, particulatly sections from 6.7 to 6.12

PPP: Slides Europeancrisis

Part II (prof. Riccardo Pariboni)

Please check prof.Pariboni’e web page https://docenti-deps.unisi.it/riccardopariboni/growth-and-development/ for updates on this section of the course.

Part II (prof. Riccardo Pariboni)

Please check prof.Pariboni’e web page https://docenti-deps.unisi.it/riccardopariboni/growth-and-development/ for updates on this section of the course.

A mail from a young German collegue:

Dear professor Cesaratto,

you handed me a copy of your introductory book “Heterodox Challenges in
Economics” at the Centro Sraffa Summer school in Rome. I just wanted to
thank you again for that and let you know, that it is of great use for
me. I will let the students in my seminar on “theory of science and the
critique of political economy” this term read some parts of your book.
Also I included Krishna Bharadwaj’s paper on classical political economy
and Lazzarini’s paper on the cambdridge capital controversy, that you
recommended in your book, into the syllabus. I think, it is really very important to try and explain scientific theories for a broader audience. Not only does that make economics
accessible for the public – it also facilitates the interdisciplinary
exchange between economics and sociology and helps to avoid further
misunderstandings on both sides.

I hope, that mail finds you well and wish you a pleasant fall term!

Best regards from Leipzig/Jena in Germany, K. P.