Kaleckian-Harrodian model

This research paper introduces a multi-sector Harrodian-Kaleckian growth model designed for long-run policy analysis, specifically to address the structural changes required for sustainable development and the reduction of carbon intensity in mature economies.

• The paper proposes a multi-sector Harrodian-Kaleckian growth model featuring locally unstable dynamics managed by a Hicksian floor and ceiling. The model incorporates a Hicksian dynamic that connects functional income distribution with productivity growth, which, when paired with target-return pricing, results in constant profit share and constant capital productivity as long-run tendencies.
• The model includes endogenous variables such as labour and capital productivities, employment, capital utilization, prices, wages, and labour participation. Although it currently excludes foreign, financial, and government sectors, the model is capable of generating long waves, structural change, and asymmetric business cycles characterized by short contractions and long expansions.

APA

Stockholm Environment Institute (2017). Kaleckian-Harrodian model. https://www.sei.org/publications/kaleckian-harrodian-model/

Chicago

Stockholm Environment Institute. Kaleckian-Harrodian model. 2017. https://www.sei.org/publications/kaleckian-harrodian-model/.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=Kaleckian-Harrodian model |date=11 April 2017 |url=https://www.sei.org/publications/kaleckian-harrodian-model/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitute2017kaleckianharrodian, author = {{Stockholm Environment Institute}}, title = {{Kaleckian-Harrodian model}}, institution = {Stockholm Environment Institute}, year = {2017}, month = apr, url = {https://www.sei.org/publications/kaleckian-harrodian-model/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }