Chapter 39 Investment, expectations and the marginal efficiency of capital
Jan Kregel
Article Category:
Reference Entry
Publication Date:
22 Feb 2019
Page Range:
246–248
Collections:
Economics 2019
DOI:
https://doi.org/10.4337/9781788118569.00049
Restricted access

Keynes considered investment to be the most important and most volatile determinant of the level of economic activity because of the essential role of expectations in influencing the expenditure decisions of private corporations. He expressed the relationship between expectations of future income from investment and its current financing in the form of a concept he called the marginal efficiency of capital which covered both the supply price and the demand price of capital in relation to financial conditions.

You are not authenticated to view the full text of this chapter or article.

Access options

Get access to the full article by using one of the access options below.

Other access options

Redeem Token

Institutional Login

Log in with Open Athens, Shibboleth, or your institutional credentials

Login via Institutional Access

Personal login

Log in with your Elgar Online account

Login with you Elgar account
Cover The Elgar Companion to John Maynard Keynes
The Elgar Companion to John Maynard Keynes
Editors:
Robert W. Dimand
and
Harald Hagemann
Reference & Dictionaries
Publication Date:
22 Feb 2019
Print ISBN:
9781847200082
eISBN:
9781788118569
DOI:
https://doi.org/10.4337/9781788118569
Page Count:
672
Collections:
Economics 2019
Buy Print