Microeconomic Theory: A Heterodox Approach (2017)

By Frederic S. Lee, edited by Tae-Hee Jo. November 20, 2017, Routledge. ISBN: 9780415247313 (Hardback) 9781351265270 (eBook) [publisher website][flyer-with 20% discount code] [Request a review copy]


Microeconomic Theory: A Heterodox Approachdevelops a heterodox economic theory that explains the economy as the social provisioning process at the micro level. Heterodox microeconomics explores the economy with a focus on its constituent parts and their reproduction and recurrence, their integration qua interdependency by non-market and market arrangements and institutions, and how the system works as a whole.

This book deals with three theoretical concerns. Due to the significance of the price mechanism to mainstream economics, a theoretical concern of the book is the business enterprise, markets, demand, and pricing. Also, since heterodox economists see private investment, consumption, and government expenditures as the principal directors and drivers of economic activity, a second theoretical concern is business decision-making processes regarding investment and production, government expenditure decisions, the financing of investment, the profit mark-up and the wage rate, and taxes. Finally, the third theoretical concern of the book is the delineation of a non-equilibrium disaggregated price-output model of the social provisioning process.

This book explores the integration of these various theories with a theoretical model of the economy and how this forms a theory that can be identified as heterodox microeconomics. It will be of interest to both postgraduates and researchers.

Handbook of Research Methods and Applications in Heterodox Economics (2016)

Edited Frederic S. Lee and Bruce Cronin

April 2016 by Edward Elgar. Handbooks of Research Methods and Applications series [Details on the EE website][Look inside the book, TOC, Intro, Chapter 1]


Despite the important critiques of the mainstream offered by heterodox economics, the dominant method remains econometrics. This major new Handbook provides an invaluable introduction to a range of alternative research methods better suited for analysing the social data prominent in heterodox research projects, including survey, historical, ethnographic, experimental, and mixed approaches, together with factor, cluster, complex, and social network analytics. Introductions to each method are complemented by descriptions of applications in practice.




Marx, Veblen, and the Foundations of Heterodox Economics: Essays in Honor of John F. Henry (2015)

Marx, Veblen, and the Foundations of Heterodox Economics: Essays in Honor of John F. Henry, edited with Tae-Hee Jo, London: Routledge. ISBN: 9781138797796. Routledge Series in Advances in Heterodox Economics | website

John F. Henry is an eminent economist who has made important contributions to heterodox economics drawing on Adam Smith, Karl Marx, Thorstein Veblen, and John Maynard Keynes. His historical approach offers radical insights into the evolution of ideas (ideologies and theories) giving rise to and/or induced by the changes in capitalist society. Essays collected in this festschrift not only evaluate John Henry’s contributions in connection to Marx’s and Veblen’s theories, but also apply them to the socio-economic issues in the 21st century.

In Part I leading heterodox economists in the traditions of Marxism, Post Keynesianism, and Institutionalism critically examine Marx’s and Veblen’s theoretical frameworks (and their connections to each other) that have become the foundations of heterodox economics. Chapters in Part II showcase alternative theoretical explanations inspired by Marx, Veblen, and Henry. Topics in this Part include financial crisis, financialization, capital accumulation, economics teaching, and the historical relationship between money and class society. Part III is devoted to John Henry’s heterodox economics encapsulated in his “farewell” lecture, interview, and bibliography.

Essays in this book, individually and collectively, make an important point that the history of economic thought (or historical analysis of economic theory and policy) is an integral part of developing heterodox economics as an alternative theoretical framework. Anyone who is troubled by the recurring failure of capitalism as well as mainstream economics will find this book well worth reading.

Social Costs of Markets and Economic Theory (2014)

Social Costs of Markets and Economic Theory. Edited by Frederic S. Lee, Wiley-Blackwell, January 2014. ISBN: 978-1-118-86940-6 (hardcover),  978-1-118-86938-3 (paperback). | website

This book deals with the social costs of markets from a heterodox perspective. It deals with the degrading of work, decline of community, and rising income inequality in the United States as markets and especially financial markets come to dominate society. Of course, if there is an attempt to point out the social costs of markets, the response of mainstream economists is to silence the critics or even in Orwellian fashion redefine their critiques so as to eliminate any negative comments about markets. While critique is necessary, there also needs to be a constructive agenda, that is, the developing of an alternative, heterodox economic theory. So overall the book presents a critique of the social costs markets and the beginning of a heterodox economic theory of how the capitalist market system actually works.


Markets, Competition, and the Economy as a Social System (2013)

Markets, Competition, and the Economy as a Social System. Edited by Frederic S. Lee. June 2013 by Wiley-Blackwell. ISBN: 978-1-118-69162-5 (Hardcover), ISBN: 978-1-118-69157-1 (Paperback) | website

  • Editor’s Introduction / Frederic S. Lee
  • Economy as a Social System: Niklas Luhmann’s Contribution and its Significance for Economics / Ivan Boldyrev
  • Social Network Analysis and the Sociology of Economics: Filling a Blind Spot with the Idea of Social Embeddedness / Dieter Boegenhold
  • Scmoller’s Method as a Critique and Alternative to Marginalist Economics: A Comment to Louzek / Carlo D’Ippoliti
  • The Economic Deterioration of the Family: Historical Contingencies Preceding the Great Depression / Michael Gillespie
  • The Market Concept: A Characterization from Institutional and Post Keynesian Economics / Eduardo Fernandez-Huerga
  • Understanding the Socio-Economics Impact of Actually Existing Markets: An Analytical Framework for Empirical Research / Lynn Chester
  • Three Makes of Competition in the Marketplace / William Redmond
  • Saving Private Business Enterprises: A Heterodox Microeconomic Approach to Market Governance and Market Regulation / Tae-Hee Jo
  • Consumer Market Cycles Riders, Industries and Environments in France and the United States, 1865-1914 /Thomas C. Burr
  • The End of the Consensus in Macroeconomic Theory? A Methodological Inquiry / John McCombie and Maureen Pike

In Defense of Post Keynesian and Heterodox Economics (2012)

In Defense of Post-Keynesian and Heterodox Economics: Responses to their Critics. Edited by Frederic S. Lee, Marc Lavoie. September 2012 by Routledge. 264 pages. Hardback: 978-0-415-69436-0: $130.00. Series: Routledge Advances in Heterodox Economics | website

Post-Keynesian and heterodox economics challenge the mainstream economics theories that dominate the teaching at universities and government economic policies. And it was these latter theories that helped to cause the great depression the United States and the rest of the world is in. However, most economists and the top 1% do not want mainstream theories challenged—for to do so would mean questioning why and how the 1% got where they are. Therefore, numerous efforts have been and are being made to discredit if not suppress Post-Keynesian and heterodox economics. These efforts have had some success; this book is a response to them.

This book makes it clear that Post Keynesian/heterodox economics is, in spite of internal problems, a viable and important approach to economics and that it should resist the attempts of the critics to bury it. The reader will also find arguments that directly engage the critics and suggest that their views/criticisms are vacuous and wrong. As such, this will appeal to all who are interested in economic theory, economic history and who believe in challenging the orthodoxy.

Social Provisioning, Embeddedness, and Modeling the Economy (2011)

Social Provisioning, Embeddedness, and Modeling the Economy: Studies in Economic Reform and Social Justice, Wiley-Blackwel, 2011. ISBN: 978-1-1182-4519-4 (hb), 500 pages | website | also appears as the 2011 November issue of the AJES.

This book consists of nine essays that model the economy much differently than mainstream economics models the economy.

  • Essays integrate the social surplus approach, social fabric matrix approach, input-output modelling, social accounting matrix, social structures of accumulation, stock-flow consistent modelling, and structure-agency.
  • Includes an essay that introduces state money and hence the financial sector into a input-output model—a somewhat new innovation in modelling the economy.

Social, Methods, and Microeconomics: Contributions to Doing Economics Better (2011)

Social, Methods, and Microeconomics: Contributions to Doing Economics Better, edited by Frederic S. Lee. June 2011, Wiley-Blackwell. ISBN: 978-1-4443-5033-3, 274 pages | website

  • Chapter 1. Lineages of Embeddedness: On the Antecedents and Successors of a Polanyian Concept (Gareth Dale).
  • Chapter 2. Social Ecological Economics: Understanding the Past to See the Future (Clive L. Spash).
  • Chapter 3. Would You Barter with God? Why Holy Debts and Not Profane Markets Created Money (Alla Semenova).
  • Chapter 4. Human Capital: Theoretical and Empirical Insights (Germana Bottone and Vania Sena).
  • Chapter 5. On Norms: A Typology with Discussion (Matthew Interis).
  • Chapter 6. The Battle of Methods in Economics: The Classical Methodenstreit (Menger vs. Schmoller, Marek Louzek).
  • Chapter 7. Emily Greene Balch, Political Economist (Robert W. Dimand).
  • Chapter 8. Who Do Heterodox Economists Think They Are? (Andrew Mearman).
  • Chapter 9. Microeconomics After Keynes: Post Keynesian Economics and Public Policy (Steven Pressman).
  • Chapter 10. Morgenstern’s Forgotten Contribution: A Stab to the Heart of Modern Economics (Philipp Bagus).

Evaluating Economic Research in a Contested Discipline (2010)

Evaluating Economic Research in a Contested Discipline: Ranking, pluralism, and the future of heterodox economics (edited with W. Elsner), Wiley-Blackwell, 2010; also appears as the 2010 November issue of the AJES.

This book challenges the view that using SSCI journal citations (especially its impact factor score) and peer review/evaluation are the best ways (in that they are the most objective ways) to evaluate economic research.

  • First extensive ranking of heterodox economics journals
  • First ranking of mainstream and heterodox journals
  • Ranking of mainstream and heterodox graduate programs in the US
  • Impact of national research assessment exercises on heterodox economics in Italy and Australia
  • Use of social network analysis to examine the diffusion of heterodox economicsCritique of the use of citation metrics and heterodox economics; Social Science Citation Index with respect to economics is deliberately biased in favour of mainstream journals


A History of Heterodox Economics (2009)

A History of Heterodox Economics: Challenging the mainstream in the twentieth century.
By Frederic Lee. 2009 by Routledge. 358 pages. Hardback: 978-0-415-77714-8: $145.00. Paperback: 978-0-415-68197-1: $42.95. Series: Routledge Advances in Heterodox Economics | website

Economics is a contested academic discipline between neoclassical economics and a collection of alternative approaches, such as Marxism-radical economics, Institutional economics, Post Keynesian economics, and others, that can collectively be called heterodox economics. Because of the dominance of neoclassical economics, the existence of the alternative approaches is generally not known. This book is concerned with the community history of heterodox economics, seen primarily through the eyes of Marxian-radical economics and Post Keynesian economics.

Throughout the 20th century neoclassical economists in conjunction with state and university power have attacked heterodox economists and tried to cleanse them from the academy. Professor Lee, his groundbreaking new title discusses issues including the contested landscape of American economics in the 1970s, the emergence and establishment of Post Keynesian economics in the US and the development of heterodox economics in Britain from 1970 to 1996.

Radical Economics and Labor (2009)

Radical Economics and Labour: Essays inspired by the IWW Centennial. Edited by Frederic Lee, Jon Bekken. 2009 by Routledge. 196 pages. Hardback: 978-0-415-77723-0: $140.00. Series:  Routledge Advances in Heterodox Economics | website

To celebrate the centenary of the most radical union in North America – The Industrial Workers of the World – this collection examines radical economics and the labor movement in the 20th Century. The union advocates direct action to raise wages and increase job control, and it envisions the eventual abolition of capitalism and the wage system through the general strike.

The contributors to this volume speak both to economists and to those in the labor movement, and point to fruitful ways in which these radical heterodox traditions have engaged and continue to engage each other and with the labor movement. In view of the current crisis of organized labor and the beleaguered state of the working class—phenomena which are global in scope—the book is both timely and important. Representing a significant contribution to the non-mainstream literature on labor economics, the book reactivates a marginalized analytical tradition which can shed a great deal of light on the origins and evolution of the difficulties confronting workers throughout the world.

This volume will be of most interest to students and scholars of heterodox economics, those involved with or researching The Industrial Workers of the World, as well as anyone interested in the more radical side of unions, anarchism and labor organizations in an economic context.

Post Keynesian Price Theory (1998)

Frederic S. Lee. 1999. Post Keynesian Price Theory. Cambridge, UK: Cambridge University Press. 292 pp. ISBN: 9780521328708 (hb, 1999), ISBN: 9780521030212 (pb, 2006) | website Reprinted in paperback, November, 2006.

Frederic Lee sets out the foundations of a post-Keynesian price theory through developing an empirically grounded production schema. The administered, normal cost and mark-up price doctrines are explained in parts I-III of the book, as many of their theoretical arguments are important for developing the foundations. This involves discussing the work of Gardiner Means, Philip Andrews, and Michal Kalecki as well as the developers of the doctrines, such as Edwin Nourse, Paolo Sylos Labini, Harry Edwards, Josef Steindl and Alfred Eisner. Drawing upon the arguments and formal modelling offered by the doctrines, in conjunction with empirical evidence from one hundred studies on pricing and production, Dr Lee develops an empirically grounded pricing model and production schema. He argues that the model and the schema together constitute the foundations for post-Keynesian price theory.

A Monetary Theory of Employment by Gardiner C. Means (1994)

A Monetary Theory of Employment by Gardiner C. Means (edited with Warren Samuels), M.E.Sharpe, 1994.

Oxford Economics and Oxford Economists 1922 – 1971 (1993)

Oxford Economics and Oxford Economists 1922 – 1971: Recollections of Students and Economists (edited), Bodliean Library, Oxford, 1993, (MS. Eng. c. 4819).

The Economics of P. W. S. Andrews (1993)

The Economics of P. W. S. Andrews: A Collection, (edited with Peter E. Earl), Edward Elgar, 1993.

Oxford Economics and Oxford Economists

Oxford Economics and Oxford Economists, (co-authored with Warren Young), Macmillan, 1993.

The Heterodox Economics of Gardiner C. Means (1992)

The Heterodox Economics of Gardiner C. Means: A Collection, (edited with Warren J. Samuels), M.E. Sharpe, 1992.