In his August 30th, 1935 letter to Keynes, Harrod not once, but twice, conceded that Keynes had radically reconstituted the classical and neoclassical theory of the rate of interest by pointing out that the standard theory was one equation short. However, by adding the missing Liquidity...

Extreme mathematical illiteracy played a basic, fundamental role in the assessments made by Joan Robinson, Ralph Hawtrey and Dennis Robertson of Keynes's Theory of Liquidity Preference, which Harrod described in an August 30 1935, letter to Keynes as a major reconstruction of interest rate...

Joan Robinson created a large number of myths in her lifetime aimed at attacking Keynes, such as the claim about R. Kahn inventing and teaching Keynes about the Multiplier, her claim that Keynes’s ‘instantaneous ‘ multiplier is highly suspect, her claim that Keynes had a purely monetary...

Keynes‘s first paragraph in his letter of the 9th of November,1936, is the following two lines: “I beg you not to publish. For your argument as it stands is most certainly nonsense.”Anyone who reads this correspondence will soon realize that it was simply impossible for Joan Robinson to...

Keynes’s concept of uncertainty from his 1908 Cambridge Fellowship dissertation to his death in 1946 was a range concept like probability-it could be measured on the unit interval between 0 and 1[0,1]. Uncertainty was an inverse function of what Keynes defined to be the evidential weight of...

Keynes was extremely clear in Section Four of Chapter 21 of the General Theory that his theory of the rate of interest depended on three elements -The Liquidity Preference function, the m.e.c. schedule, and the consumption function-investment multiplier. All three elements determine the rate of...

Keynes made it crystal clear in his comments on the draft copy of Pigou’s future 1937 article in the Economic Journal that Pigou’s fundamental error was to have two different theories of the rate of interest, one determined by the demand and supply of money, and the other one determined by...