The aim of this article is twofold. In a first step, we estimate a large variety of standard Post-Keynesian investment functions for France over the period 1979–2020 by rigorously following the original features of a theoretical macro-model of growth and distribution. In a second step, for each of these investment functions, we also assess the corresponding demand regime contributing to the current profit-led/wage-led debate. Our results show that the French economy seems to be wage-led. Besides, the intensity of the regime varies greatly with the specific form of the investment function under consideration.
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Sébastien Charles (2024) studied this question.
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