[lbo-talk] More Minsky

Mike Beggs mbeg7842 at mail.usyd.edu.au
Sun Aug 26 16:24:48 PDT 2007


Ted Winslow wrote:


> Minsky's appropriation of Keynes misses Keynes's emphasis not only on
> irrationality but on irrationality understood through
> psychoanalysis. The latter explains the link between avarice and the
> recurrence of cycles of manias, panics and crashes.

I actually think this is a strength of Minsky. He focuses on how competition in the financial sector generates manias, etc, and downplays the psychology. Presumably the avarice is a constant, and not a good explanation of why these things happen periodically?

Cheers, Mike Beggs

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