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Theory of Economic Dynamics

About Specification

In his Essays in the Theory of Business Cycle published in Polish in

1933, Kalecki clearly stated the principle of effective demand in

mathematical form. By 1935 he outlined his theory of employment,

demolished the then-orthodox remedy for a depression-that is, wage

cutting-and pinpointed the importance of investment for economic

dynamics. Thus, although his training had been in Marxist economics, he

succeeded in anticipating the Keynesian system, and, as Joan Robinson

has pointed out, his claim to priority of publication is indisputable

although he never mentioned this fact.