This work presents a semiotic approach to the economy, underlining that any economic phenomena is at the same time a communicative act as it is contingent to sense-making. The article discusses this topic by focusing on a specific phenomenon studied by economics: the underground economy. It shows that the conceptualization of the underground economy in terms of sense-making processes offers a thought-provoking perspective for theoretical development. More in general, the discussion proposed makes it clear that in order to deepen our vision of economic phenomena in a more thoughtful and realistic way we need to rethink these phenomena as being reciprocally and circularly embedded in the semiotic flow of life. The economy is within sense-making and it is shaped by it; at the same time sense-making is within the economy, as its semiotic substance.

The paper outlines a cultural–psychological interpretation of the current European societies’ socio-institutional crisis. To this end, preliminarily, the cultural psychological view of social behaviour is outlined, focusing on the idea that socio-political choices depend on how people make sense of their world. Second, the paper provides an interpretation of the current socio-political European scenario of crisis, based on the main results of a recent study that has mapped the cultural dynamics underpinning some European countries. The interpretation focuses on two complementary facets: on the one hand, the lack of symbolic resources (defined: semiotic capital) enabling people to perceive the collective dimension of life as a lived, subjectively relevant fact of experience; on the other hand, the relevance of a cultural form (defined: paranoid belongingness) that channels a trajectory of sensemaking consisting of the affective connotation of otherness in terms of threat and enemy. Third, the paper deepens the interplay between these cultural dynamics and the social, political and economic conditions that may have been triggered by them. In that perspective, the function of semiotic regulation played by the enemization of the other is highlighted. The conclusive part of the work is devoted to discuss implications the analysis suggests for policy makers.

No abstract

The aim of this paper is to show that Marxian labour theory of value can be consistently interpreted in terms of the monetary circuit model, where firms need initial finance to start production and where the money supply is endogenous. In contrast to the recently revived Marxian monetary models, in particular the New Interpretation, it is argued here that although the money wage is bargained for on the labour market, the real wage is determined by firms' choices, since firms autonomously determine the structure of production and hence real consumption for the working class as a whole. This does not mean that firms are able to set the real wage without economic and social constraints. Starting from our circuitist reading of the labour theory of value and distribution, a model is developed in order to determine the level of employment and income distribution, on the assumptions that (i) the industrial reserve army affects wage bargaining and labour effort and that (ii) workers react to the failure of their expectations on the real wage by reducing their work intensity. In this context, it is shown that firms may increase their share of profits over time only be means of innovations.

This paper analyses the Italian economic stagnation in a Kaldorian framework. On the theoretical ground we propose an interpretation of the Italian economic stagnation based on the continuous reduction of aggregate demand and labour productivity. We also consider the role of the banking sector as a factor driving aggregate demand and, in turn, labour productivity. We estimate a VAR for the period 2002–2015 to analyse jointly the evolution of private consumption, real GDP, private investments, credit supply, labour compensation and productivity. Our main empirical finding is that aggregate demand and credit supply significantly affect the path of labour productivity, consistently with Kaldor–Verdoorn Law