TY  - SER
AU  - Cottin-Euziol, Edouard
AU  -  Piluso, Nicolas
TI  - Refutations of Say’s Law and Dynamics of a Monetary Economy of Production
SN  - 0486-6134
PB  - Review of Radical Political Economics
KW  -  Bank Credit
KW  -  Bank Debt
KW  -  Growth Phase
KW  -  Monetary Circuit Theory
KW  -  Monetary Economy of Production
KW  - Say’s Law
N2  - In a monetary economy of production, Say's law is invalid for several reasons. Based on some refutations, it is possible to state that revenues generated by the production process are structurally lower than the supply price of production, which means that firms create insufficient purchasing power to buy what they produce. Herein, we study the dynamics of such an economy and obtain two main results. First, the long-term debt level of that economy must increase during a growth phase to enable demand to grow at the same pace as supply. Second, because of the repayment of this debt, the gap between supply and net revenues generated by the production process widens along a growth phase.JEL Classification: E12, E2, E30, E42, G21
UR  - https://doi.org/10.1177/04866134231179758
ER  -