I thought that original Godley&Lavoie tables would be better understood by Minsky software users if they are transposed. I will attach some of them here.
Last edit: Kresimir 2018-06-23
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Subscript letters don't work well in excel cells so when in table is -1 it it means previous period and not -1. Similar is with other subscript letters. This are only examples I made. They have mistakes. Original tables are in book from Godley and Lavoie.
Last edit: Kresimir 2018-06-23
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In ticket https://sourceforge.net/p/minsky/tickets/849/ I have made some files which simulate running Godley&Lavoie tables based on profesor Keen model. There are usefull for understanding Godley&Lavoie book and their tables. At least to me.
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I could probably run transaction flow matrix from above in normal, not transposed position, if I put inputs of sectoral tables to intersectoral table. Intersectoral table would be used just for display and maybe for additional control. I puted that flows to equity columns of intersectoral table, although they are not the same as equity, but they are to some degree similar, except for the investitions and lower part which balances upper part to zero.
I had to record investments in sectoral tables as something which is imidiately spended. It is not done like that in ordinary accounting. Probably I could turn off that rows with switch function and turn that intersectoral table to full integration matrix , income and expenditure matrix or some similar matrix and record intersectoral flows of equity with depreciation instead of investment and without lower part which balance column to zero.
In this model government spend only on firms, households are not diveded in groups, financial sector don't consume firms products and utilities and so on.
I played a little with tables and for full integration matrix it is said that first five rows are equal to last five rows of transaction flow matrix but with an opposite sign, (Godley&Lavoie page 43 and 44). So I created this table which is similar to full integration table but insted of using lower part of transaction matrix with opposite sign, I used upper part of transaction flow matrix with its normal sign, on net wealth or net worth columns of new table. I am for now not sure is it a sideway or right way.
Playing with this tables enabled me to memorise all the variables and its posible simplifying assumptions. It is the model from the beginning of the book, and is one of their most complex model, which they left without equations in the book. Only their model "Growth" and "Open" can be compared to it.
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This model has not a "discount window" because central bank has only government bills on its asset side. It seems that Wynne Godley saw something special, or fixed, in governemt bills (not bonds). And that government has some gain from it with inflation (Godley&Lavoie page 412 - growth model- king-pin of a model). Also in this tables, which are from the begining of the book, government has not assets at all, Firms have not money account and government don't spend on citisens (health system, pensions, subventions and so on).
Last edit: Kresimir 2019-12-24
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For the video above, this is the file which I didn't completed, because of some bug I reported. And that bug makes me difficult to retrive sum of flows of a column which I needed for intersectoral table.
I have only achieved sum of zero in a column for households of a intersectoral table. You have to press button "zoom to fit" first.
Perhaps, their tables should be looked as modified "minsky tables" and not the opposite. I think, for now, that there is some posibility that the minsky tables are better. Because minsky tables are more close to the ordinary accounting.
Last edit: Kresimir 2019-12-24
If you would like to refer to this comment somewhere else in this project, copy and paste the following link:
I have made few improvements and added sectoral tables for additional control. But in sectoral tables everything is opposite, assets are liabilities, and liabilities are assets, since in version 2.17 I can pair only asset with liabilities and cannot pair asset with asset and liabilitie with liabilitie. Still that sectoral tables with opposite asset and liabilites could be usefull for control and finding of a mistakes and later can be deleted.
File still don't run very well and has mistakes of which I am aware. I am not sure will I have time to finish it because I have lesss time than before so I will put it here.
But if Godley&Lavoie models from book can be runned this way, at least roughly, it would be of some benefit.
I thought that original Godley&Lavoie tables would be better understood by Minsky software users if they are transposed. I will attach some of them here.
Last edit: Kresimir 2018-06-23
Balance sheet matrix: table 2.4
Last edit: Kresimir 2018-06-23
Transaction flow matrix: table 2.6
Last edit: Kresimir 2018-06-23
Full integration matrix: table 2.7
Last edit: Kresimir 2018-06-23
excel file
Last edit: Kresimir 2018-06-23
Subscript letters don't work well in excel cells so when in table is -1 it it means previous period and not -1. Similar is with other subscript letters. This are only examples I made. They have mistakes. Original tables are in book from Godley and Lavoie.
Last edit: Kresimir 2018-06-23
In ticket https://sourceforge.net/p/minsky/tickets/849/ I have made some files which simulate running Godley&Lavoie tables based on profesor Keen model. There are usefull for understanding Godley&Lavoie book and their tables. At least to me.
I will try that in other way. Maybe I didn't need to transpose tables.
I could probably run transaction flow matrix from above in normal, not transposed position, if I put inputs of sectoral tables to intersectoral table. Intersectoral table would be used just for display and maybe for additional control. I puted that flows to equity columns of intersectoral table, although they are not the same as equity, but they are to some degree similar, except for the investitions and lower part which balances upper part to zero.
I had to record investments in sectoral tables as something which is imidiately spended. It is not done like that in ordinary accounting. Probably I could turn off that rows with switch function and turn that intersectoral table to full integration matrix , income and expenditure matrix or some similar matrix and record intersectoral flows of equity with depreciation instead of investment and without lower part which balance column to zero.
In this model government spend only on firms, households are not diveded in groups, financial sector don't consume firms products and utilities and so on.
Last edit: Kresimir 2019-11-27
picture
Godley & Lavoie balance sheet matrix original view (not-transposed).
transaction flow matrix in original view
full integration matrix in original view
I played a little with tables and for full integration matrix it is said that first five rows are equal to last five rows of transaction flow matrix but with an opposite sign, (Godley&Lavoie page 43 and 44). So I created this table which is similar to full integration table but insted of using lower part of transaction matrix with opposite sign, I used upper part of transaction flow matrix with its normal sign, on net wealth or net worth columns of new table. I am for now not sure is it a sideway or right way.
Last edit: Kresimir 2019-12-24
Playing with this tables enabled me to memorise all the variables and its posible simplifying assumptions. It is the model from the beginning of the book, and is one of their most complex model, which they left without equations in the book. Only their model "Growth" and "Open" can be compared to it.
This model has not a "discount window" because central bank has only government bills on its asset side. It seems that Wynne Godley saw something special, or fixed, in governemt bills (not bonds). And that government has some gain from it with inflation (Godley&Lavoie page 412 - growth model- king-pin of a model). Also in this tables, which are from the begining of the book, government has not assets at all, Firms have not money account and government don't spend on citisens (health system, pensions, subventions and so on).
Last edit: Kresimir 2019-12-24
For the video above, this is the file which I didn't completed, because of some bug I reported. And that bug makes me difficult to retrive sum of flows of a column which I needed for intersectoral table.
I have only achieved sum of zero in a column for households of a intersectoral table. You have to press button "zoom to fit" first.
And this is the file in which I meant to implement posible new intersectoral table. it doesn't work for now.
You have to "zoom to fit" to find a table.
It is in version 2.17.
Here is the LibreOffice file
It seems to me like an idea worth of exploring, at least.
Last edit: Kresimir 2019-12-25
Perhaps, their tables should be looked as modified "minsky tables" and not the opposite. I think, for now, that there is some posibility that the minsky tables are better. Because minsky tables are more close to the ordinary accounting.
Last edit: Kresimir 2019-12-24
I have made few improvements and added sectoral tables for additional control. But in sectoral tables everything is opposite, assets are liabilities, and liabilities are assets, since in version 2.17 I can pair only asset with liabilities and cannot pair asset with asset and liabilitie with liabilitie. Still that sectoral tables with opposite asset and liabilites could be usefull for control and finding of a mistakes and later can be deleted.
File still don't run very well and has mistakes of which I am aware. I am not sure will I have time to finish it because I have lesss time than before so I will put it here.
But if Godley&Lavoie models from book can be runned this way, at least roughly, it would be of some benefit.
video