Transformation of capitalism to enforce ecologically sustainable GDP growth: lessons from Keynes and Schumpeter

Abstract

An economy with a low stable medium-term growth rate given by ecological needs is only possible after a radical reform of the type of capitalism we have today. In an ecologically sustainable economic system, aggregate demand has to be controlled on a macroeconomic level. Of focal importance is the steering of investment. Here a national credit plan that fixes the national credit volume and to a certain extent the allocation of credit is in the centre. For consumption demand in a low-growth economy it is important that saving is low or in a zero-growth economy even zero, whereas at the same time accumulation of deficits of economic sectors or sub-sectors such as poorer households are not sustainable. Here policies to achieve a more equal distribution of income and wealth are suitable. Although comprehensive government interventions and rules are needed in an ecologically low-growth economy, the recommended system is not comparable with a planned system of the former Soviet type. Whether such an alternative system is understood as a version of highly regulated capitalism or as a new system is a question of taste.

The Development of Enterprise Management Innovation in the Digital Economy Era Based on the Schumpeter Model

“…A is the cost of the loan to make the intermediate product. It can be viewed as the lending rate of commercial banks [7]. From the perspective of the first hypothesis, it can be concluded that in the first case, the supply of the intermediate production firm and the profit of the monopoly is:…”