The Growth Spiral

1. Front Matter

   Pages i-xii

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2. Introduction

   • Hans Christoph Binswanger

   Pages 1-5

3. Money and the Market

   1. Front Matter

      Pages 7-7

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4. Money and the Market

   1. The Difference Between Market and Barter: Money and the Making of Markets

      • Hans Christoph Binswanger

      Pages 9-13

   2. Capital and the Firm: The Firm as the Engine of the Market Process

      • Hans Christoph Binswanger

      Pages 15-36

   3. Money and Money Creation in a Two-Stage Banking System

      • Hans Christoph Binswanger

      Pages 37-46

5. Market and Production

   1. Front Matter

      Pages 47-47

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   2. The Development of the Theories of Production: Valid Insights and Shortcomings

      • Hans Christoph Binswanger

      Pages 49-74

   3. Production Involving Nature and Imagination

      • Hans Christoph Binswanger

      Pages 75-91

   4. Income Distribution in the Process of Growth

      • Hans Christoph Binswanger

      Pages 93-105

6. Money and Production in the Dynamics of the Growth Spiral: Growth Imperative and Growth Impetus

   1. Front Matter

      Pages 107-107

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7. Money and Production in the Dynamics of the Growth Spiral – Growth Imperative and Growth Impetus

   1. From the Theory of Growth to the Theory of the Growing Economy

      • Hans Christoph Binswanger

      Pages 109-113

   2. The Economic Process as a Growth Spiral

      • Hans Christoph Binswanger

      Pages 115-120

   3. The Increase of the Present Value of Profits as the Growth Impetus

      • Hans Christoph Binswanger

      Pages 121-127

   4. The Avoidance of Losses as the Growth Imperative

      • Hans Christoph Binswanger

      Pages 129-145

   5. Growth Opportunities and Growth Obstacles: The Role of the State

      • Hans Christoph Binswanger

      Pages 147-151

   6. Summary and Outlook

      • Hans Christoph Binswanger

      Pages 153-157

8. Back Matter

   Pages 159-165

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This book develops a new theory of the modern economy. Conventional economic theory is (still) based on an essentially static notion of equilibrium. In contrast, this book offers an analysis of the economic process based on a truly dynamic approach. It understands modern economic activity as manifesting itself in a growth spiral. There are two main drivers of the dynamics of this spiral: steady money creation in the banking system, on the one hand; and the continuous inflow of energy and raw materials through the exploitation of natural resources, on the other. Both driving forces are generally neglected by the conventional theory. Understanding their role is absolutely essential for preventing our economy from being more and more exposed to financial and ecological crises. This book offers important insights about the functioning of the modern economy and addresses the specialist as well as the interested lay reader.

• Economic Growth
• History of Economic Thought
• Macroeconomics
• Money and Credit
• Sustainability

From the reviews:

 

“The subtitle of the book encapsulates the author’s ambitious research agenda combining growth theory, monetary policy, environmental economics, economy history, and economic dynamics to build ‘the foundations for a new theory of the modern economy.’ … This book is intended to appeal to a broad audience of academics, policymakers, and lay readers.” (Jesse Perla, Journal of Economic Literature, Vol. LI (4), December, 2013)

• , Institute for Economy, University of St.Gallen, St. Gallen, Switzerland

  Hans Christoph Binswanger

Hans-Christoph Binswanger is a Professor Emeritus of economics at the University of St. Gallen, Switzerland, where he was also Head of the Institute of Economics and Director of the Institute for Economy and the Environment. He holds a phd and a habilitation from University of Zurich, Switzerland. He has published extensively in books and journals on environmental and resource economics as well as monetary economics, and has been awarded several research and policy prizes.

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