Cambridge Anticipations of the Natural Rate Hypothesis? Robertson and Champernowne Revisited

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Robertson and Champernowne devised the concepts of "normal" and "basic" unemployment rates respectively, expressed as equilibrium positions when workers' real wage expectations are satisfied. Robertson combined that with his previous discussion of monetary misperceptions, whereas Champernowne argued how equilibrium may be achieved through inflation/deflation acceleration. Unemployment homes in on its "natural" equilibrium level only if the market rate of interest converges to its (Wicksellian) natural rate, as Robertson stressed. Terms of use: Documents in

The Brazilian Connection in Milton Friedman’s 1967 Presidential Address and 1976 Nobel Lecture

“…Friedman's (1974a) travel report compared Brazilian intense growth at the time to other "economic miracles" in post-war Germany and Japan. He was impressed by the introduction of widespread purchasing-power escalator clauses into contracts in 7 Champernowne (1936) provided an early theoretical discussion of overshooting and inflation acceleration (Boianovsky 2018a). the financial, labor, housing and exchange rate markets, as well as in taxation rules.…”

“…12 The notion of "normal" prices was essential to Dennis Robertson's monetary macroeconomics. Friedman may have borrowed it from the Cambridge economist (Boianovsky 2018a). Friedman (p. 464) saw a positively sloped Phillips curve as a transitional phenomenon, lasting while not just expectations but also "institutional and political arrangements" adjusted to chronic inflation.…”

Between Pigou and Keynes: Champernowne on Employment and Expectations

“…263-64) problems" and Keynes's "brilliance and intuitive sense for pick out the key relations in an economic situation". The strength of Pigou, according to Champernowne (p. Friedman's (1968) natural unemployment rates, with their emphases on workers' price expectations, went unnoticed until historians of thought (Darity and Goldsmith 1995;Darity and Young 1995;Boianovsky 2005b;Boianovsky 2018) discussed it.…”

The Brazilian Connection in Milton Friedman's 1967 Presidential Address and 1976 Nobel Lecture

“…Friedman's (1974a) travel report compared Brazilian intense growth at the time to other "economic miracles" in post-war Germany and Japan. He was impressed by the introduction of widespread purchasing-power escalator clauses into contracts in 7 Champernowne (1936) provided an early theoretical discussion of overshooting and inflation acceleration (Boianovsky 2018a Friedman (1973a) expressed his wish to make real his "proposed trip" to Brazil, canceled the year before. In another letter, Friedman (1973b) discussed his travel plans and wrote that he and Rose were "looking forward to the experience".…”