Capitalism and democracy in the 21st century: a Kaleckian interpretation of a Schumpeterian problem

The paper reinterprets Schumpeter's views on the dynamic effects of taxation, as originally expressed in Crisis of the Tax State, from a Kaleckian perspective. In light of Schumpeter's rejection of Keynesian and Marshallian approaches to taxation, the paper argues that a recently developed Kaleckian approach provides an appropriate basis from which to analyse the effects on the business cycle of balanced changes in the structure of taxation. It is shown that, under certain shifting assumptions, increases in the taxation of wages or profits will stimulate investment and attenuate the amplitude of the business cycle. Ultimately, the shifting of taxes reduces to a conflict over income shares. The changing distribution of income in the United Kingdom in recent years suggests that investment is likely to remain sluggish unless there is a significant reversal of income shares. This may give rise to increasing economic and political tensions into the 21st century.     

Does Domestic Intimate Partner Aggression Affect Career Outcomes? The Role of Perceived Organizational Support

Drawing upon the conservation of resources theory, we developed and tested a moderated mediation model linking domestic intimate partner aggression (IPA) to job performance and career advancement. Our model posits that the indirect relationship between IPA and career advancement via in‐role performance and organizational citizenship behaviors (OCBs) is moderated by perceived organizational support (POS). Overall, multisource and multiwave data obtained from two independent samples of employed women from the Philippines supported our predictions. Specifically, results suggest that: (1) IPA was negatively associated with supervisor‐rated in‐role performance and OCBs; (2) there was a stronger negative relationship between IPA and in‐role performance and OCBs for employees with low as opposed to those with high levels of POS; and (3) the conditional indirect effects of IPA in predicting supervisor‐rated promotability and actual promotion via in‐role performance and OCBs were stronger under conditions of low as opposed to high POS. Implications for theory and practice are discussed. © 2016 Wiley Periodicals, Inc.     

Modelling care

Kalecki's 1943 essay Political Aspects of Full Employment (PAFE) is widely recognised as a seminal essay in the theory of the political business cycle. The paper argues that PAFE may also be interpreted as an early recognition by Kalecki of the phenomenon of rent seeking. Kalecki's discussion of the rent-seeking behavior of businessmen is shown to have anticipated Olson's subsequent theory of distributional coalitions. A Kalecki-Olson analysis provides an explanation for the movement in income shares in the UK since 1975.     

The Macroeconomic Effects of Taxation in a Federal Europe

The signing of the Maastricht Treaty in 1992 has created a dilemma for fiscal policy at both a theoretical and a policy level. The conflict between the increasingly important stabilising role for fiscal policy post-Maastricht and the pursuit of fiscal harmonisation requires a re-examination of the theoretical framework within which policy discussion should take place. Orthodox tax incidence theory cannot adequately analyse the macroeconomic effects of taxation and the paper proposes an alternative post-Keynesian approach based on the tax and business cycle theories of Kalecki. To illustrate the applicability of a Kaleckian approach to taxation in a Federal system, the paper presents a discussion of the macroeconomic effects of State and local taxation in the US. It is also shown to be necessary to study the structure of State government receipts, the expenditure functions of State governments, the State government budget stance and the nature of intergovernmental relations in order to identify macroeconomic effects.     

Weintraub's consumption coefficient: some economic implications and evidence for the UK

Weintraub's consumption coefficient, the ratio of total consumerexpenditure to income from employment, helps to elucidate trendsin the sectoral and functional distributions of income. It simplifiesand adds precision to Kaleckian macroeconomics by showing howdistributions of income affect the level of economic activity.Empirical estimates of the coefficient are presented for theUK from 1972 to 1995. From 1975 onwards, the coefficient hasindicated a marked redistribution of income in favour of capitalist(non-employment) income, accompanied by a significant rise inthe average propensity to consume from capitalist (non-employmentincome). Wealth effects induced by the housing boom of the 1980shave enabled capitalists' income and consumption to continueto increase after 1989 despite a fall in investment.     

Weintraub's consumption coefficient: response to Robert Dixon

The paper responds to a note by Robert Dixon that in an earlierpaper we had mistakenly argued that Weintraub's consumptioncoefficient enhances Kalecki's model and helps to elucidatetrends in the secular and functional distributions of income.We demonstrate the conditions under which our original claimsfor the use of the consumption coefficient are satisfied. Ultimately,whether or not the coefficient is a useful construct is an empiricalissue.