Said this b4
But I think the move from any of the hicks samuelson lerner era of k models
to any one of the nk models
Represents the defeat of the kalecki strand
Ie the nk models Embed in the model itself what amounts
To the determining decisive influence on outcome in output
by capitalist expectations
No the expectations of the agent or agents aren't labeled capitalist
But the strategic reversal at this level of abstraction
is to move from the state acting unilaterally can be the agent
of a full fast recovery
And go on to sustain that recovery till other system agents
regain their adequate spending ways
From
the state as can do
To the state may do
only if the climate creates reinforcing versus counter acting moves
by the non state agent or agents
Confidence becomes expectations
But the state can't produce it's own new reality in the market place
By spending tax cutting borrowing and transferring
The confidence of business
