Expansionary macroeconomic policy with a strong redistributive component is an attractive proposition, most recently launched on the basis of Modern Monetary Theory or MMT. The Theory is a synthesis of familiar ideas, newly relevant but scarcely path-breaking. Its basics – Chartalist or fiat...

There are regular counterclockwise cycles involving capacity utilization u (horizontal axis) and the labor share b (vertical axis) in the US economy since 1929. As in Goodwin's cyclical growth model, b can be interpreted as a Lotka-Volterra predator variable and u as prey. In a phase diagram,...