Minsky's Public Employment Strategy Against Poverty

Isik S.

AMME IDARESI DERGISI, vol.45, no.2, pp.1-28, 2012 (SSCI) identifier

  • Publication Type: Article / Article
  • Volume: 45 Issue: 2
  • Publication Date: 2012
  • Journal Name: AMME IDARESI DERGISI
  • Journal Indexes: Social Sciences Citation Index (SSCI), Scopus, TR DİZİN (ULAKBİM)
  • Page Numbers: pp.1-28
  • Keywords: Minsky, struggle against poverty, public employment strategy and shared prosperity, INCOME-DISTRIBUTION
  • Akdeniz University Affiliated: Yes

Abstract

Minsky, following Keynes's vision, asserted that capitalism has essentially failed to provide full employment, equitable distribution of income and financial stability. Minsky, based on his analysis on capitalist system with such deficiencies, maintains a capitalist model of shared prosperity. In his model, Minsky proposed a combination of a government (an employer of last resort) employment strategy for eliminating poverty, income policies for reducing the power of capital (euthanizing rentiers), and financial reforms. Minsky's approach differs to a great extent from the mainstream economics by those radical proposals. This paper analyses Minsky's public employment strategy against poverty. Furthermore, the study argues that the recent financial crisis, pushing upward poverty, unemployment and inequitable distribution of income justify Minsky's farsightedness.