He believed that in the absence of Effective demand, savings of the Capitalists do not find investment opportunities.
12.
The market logic involves developing the demand side with the aim of transforming latent demand into effective demand.
13.
They too can be credit constrained, resulting in their effective demand for goods such as physical capital differing from their notional demand.
14.
In 1988, Professor Kregel showed that Keynes liquidity preference and own rate analysis were actually two sides of the theory of effective demand.
15.
However, it is possible that supply will outstrip effective demand once major dams such as Gibe III will have been completed late 2014.
16.
Consequently, the price of an object depends not only on its usefulness but on the amount of money different consumers have-their different effective demands.
17.
In addition to these moral concerns, economic democracy makes practical claims, such as that it can compensate for capitalism's claimedly inherent effective demand gap.
18.
How does one make sense of the Great Depression or the contemporary financial crisis without an understanding of effective demand and other concepts from macroeconomics?
19.
At this point abstinence on the part of the capitalist only reduces the amount of effective demand in the economy, thereby reducing the possibility of growth.
20.
The article explored the idea that disequilibrium in one market can have spillover effects to another market, creating a distinction between notional demand and effective demand.
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