About Steve Keen

I am Professor of Economics and Head of Economics, History and Politics at Kingston University London, and a long time critic of conventional economic thought. As well as attacking mainstream thought in Debunking Economics, I am also developing an alternative dynamic approach to economic modelling. The key issue I am tackling here is the prospect for a debt-deflation on the back of the enormous private debts accumulated globally, and our very low rate of inflation.

What if my analysis is used for evil purposes?

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One of my Patrons posed a very good question to me: in a nutshell, how would I respond to a politician who took my ideas and perverted them for political gain? Here’s Andre’s full query:

Hi Steve, thank you, you’ve given me the gift of some of the most important ideas and explanations I’ve come across in my lifetime.

I was wondering how you might respond to a politician who misreads your latest book, and then declares:

1.  People will love me, because Steve Keen says I can become known as a master of managing my country’s economy by engineering a private debt boom

Can we avoid another financial crisis?

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Help me rebuild economics at https://www.patreon.com/ProfSteveKeen

Help me rebuild economics at https://www.patreon.com/ProfSteveKeen

Can we avoid another financial crisis?

In 2008, conventional economics led us blindfolded into the greatest economic crisis since the Great Depression. Almost a decade later, with the global economy wallowing in low growth that they can’t explain, mainstream economists are reluctantly coming to realise that their models are useless for understanding the real world.

How did mainstream economists not see the crisis coming? Was it unpredictable, as they now assert, or did their theory blind them to the real causes? Will another financial crisis occur?
These questions and others are asked and answered in Can we avoid another financial crisis? , a short (25,000 word) explanation for the lay reader of how we got into this economic mess, and why we are unlikely to get out of it.

Support me on Patreon

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As I explain in this video, government attempts to turn University entrance into a marketplace have had the unintended side-effect of undermining pluralist economics. The UK government has removed controls on the number of places that Universities can offer in first year courses, and as a result there has been an increase in humanities places offered by highly ranked Universities. Final year high school students have flocked to these Universities, and enrolments at lower-ranked Universities have fallen substantially.

Infrastructure conference in Westminster Tuesday 24th

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A new organisation called NEKS (for “New Economic Knowledge Services”, see www.neks.ltd) is holding its inaugural conference on the economics of infrastructure In Westminster on Tuesday January 24th, and you should attend.

Why NEKS, and why Infrastructure? The economic importance of infrastructure is obvious, but the actual performance of infrastructure often differs radically from what is predicted when it is being planned. Three forms of delusion make many infrastructure projects far less beneficial than expected by their proponents: the complexity of execution is underestimated, the benefits are overestimated, and benefits are also calculated poorly using dodgy economic theory.

Teaching Economics the Pluralist Way

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This is a talk I gave in Amsterdam to launch the Amsterdam Rethinking Economics critique of the current state of economics “education” in the Netherlands. The text of my slides is reproduced below.

–Read the original sources—journals & books—not textbooks

  • Let experts teach maths & computing, not economists
  • Facts exist & are not theory-neutral

–Rules of accounting versus Money Multiplier

Prof. Steve Keen on private debt and his solution people’s QE

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I’ve had some tough interviews over the years (such as the BBC HARDtalk! interview earlier this year with Stephen Sackur), but I’d have to credit the student interviewers at the University of Amsterdam’s Room for Discussion event with giving me the toughest, well-informed grilling my ideas have had in public. I’m following up later today with a keynote speech at the Dutch Rethinking Economics event tonight, and I’ll post that here later this week.

My Speech at Occupy Sydney Five Years Ago

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Apparently it’s the fifth anniversary of the day I gave this talk, to the Occupy movement in Sydney, in Martin Place, right outside the offices of the Reserve Bank of Australia. The day after, the site was shut down by the police. It seems I was jinxed, because the same thing happened in New York, the day after I simply dropped off a couple of copies of my book Debunking Economics. The speech holds up pretty well, though I’ve developed my technical arguments a lot since then.

Olivier Blanchard, Equilibrium, Complexity, And The Future Of Macroeconomics

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I have observed and appreciated Olivier Blanchard’s intellectual journey over the last decade. It began in August 2008, with what must be regarded as one of the worst-timed papers in the history of economics. In a survey of macroeconomics entitled “The State of Macro”, he concluded, one year after the financial crisis began, that “The state of Macro is good” (Blanchard, 2008). However, Blanchard did not remain locked into that position, and he had the rare intellectual courage to say so in public and in academic papers. His most recent post, before the one I am responding to today (“Further Thoughts on DSGE Models: What we agree on and what we do not”), stated that, far from the state of macro being good:

Incorporating energy into production functions

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In my last post on my Debtwatch blog, I finished by saying that the Physiocrats were the only School of economics to properly consider the role of energy in production. They ascribed it solely to agriculture exploiting the free energy of the Sun, and specifically to land, which absorbed this free energy and stored it in agricultural products. As Richard Cantillon put it in 1730:

The Land is the Source or Matter from whence all Wealth is produced. The Labour of man is the Form which produces it: and Wealth in itself is nothing but the Maintenance, Conveniencies, and Superfluities of Life. (Cantillon, Essai sur la Nature du Commerce in Général (Essay on the Nature of Trade in General)

BBC Hardtalk on reforming economics

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This interview, which was just recorded today, will go to air tomorrow. The broadcast details are:

BBC News Channel: 02.30 BST, 04.30 BST and 20.30 BST Tuesday 16th August 2016, and 00.30 BST Wednesday 17th August 2016

HardTalkPromo

And from the 04.30 TX it will then be available within the UK on BBC iPlayer for one year.

BBC World News Channel: 03.30 GMT; 08.30 GMT; 14.30 GMT and 19.30 GMT Tuesday 16th August 2016

It will also go out at numerous timeslots on Friday on the BBC World Service.