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The International Papers in Political Economy (IPPE) series explores the latest developments in political economy. This fifth volume focuses on the theme of path dependency and macroeconomics in terms of both theory and applications. The volume deals with the meaning of the concept of path dependency, and examines how path dependency is linked with notions of fundamental uncertainty, non-ergodicity and hysteresis, which have been highlighted in the generation of path dependency. The implications of the notion of path dependency for macro-economic analysis are discussed in terms of the interrelationship between aggregate demand and supply potential and the availability of future resources. This book offers detailed analysis and informed comment on the real economic issues involved in path dependency and macroeconomics. It is essential reading for all postgraduates and scholars looking for expert discussion and debate of the issues surrounding path dependency in economics.