Keynes and Traditional Theory

Abstract

In this paper I do not propose to ask or answer the question, has Keynes succeeded in establishing the propositions which he claims to have established ? nor again, what kind of evidence is required to establish or to refute those propositions? I shall confine myself to a narrower question, namely, what are the propositions which Keynes claims to have established ? And in order to restrict my subject matter still further, I propose to confine myself to those propositions, which he claims to have established, that are in conflict with the theory of value in the form in which it has hitherto been commonly accepted by most economists. In other words, my question is, what modifications in the generally recognised theory of value would acceptance of the propositions that Keynes claims to have established entail?

Econometrica, January 1937.