Publication
The Korean Journal of Economic Studies
Marxism and the Austrian School on the Business Cycle: the Opposition to Keynes
Jaehong HwangYear 2009Vol. 57No. 2
Abstract
The purpose of this paper is to identify the similarities between Marxism andthe Austrian School in macroeconomic theory. In spite of the fact that theoverinvestment theory of Marxists had a major impact on the business cycletheory of the Austrian School, the direct comparison between Marxism and theAustrian School is rare, and the Marx-Keynes/Minsky synthesis is consideredas an explanation of the capitalism instability and crisis. The overinvestmenttheories of both Marxism and the Austrian School essentially represent a realtradition in business cycle theory, and are fundamentally different fromKeynes/Post Keynesian theory that is incompatible with the real tradition.