Amendola, Mario; Gaffard, Jean-Luc; Saraceno, Francesco - Department of Economics, Sciences économiques - 2001
Keynes' main concern in the General Theory is about the capacity of an economy to return to a full employment equilibrium when subject to a (negative) demand shock. He maintains that money wages cuts may not help reabsorb unemployment, as they do not necessarily imply a fall in real wages. On...
