The fundamental role of money and banking in macroeconomic analysis and policymaking

Sergio Rossi

International Journal of Pluralism and Economics Education, 2012, vol. 3, issue 3, 308-319

Abstract: The crisis that burst in 2007 has revealed a number of conceptual and methodological flaws of neoclassical economic analysis, based on rational behaviour, representative agents, and microfounded macroeconomics, where money and banking are considered as pertaining to the microeconomics of goods and business activities. Macroeconomic analysis requires a systemic approach to money and banking, both of which are essential for the working of any economic system. In this perspective, the paper explains how both have to be integrated into that analysis. It points out that macroeconomic analysis and policy making require a deep knowledge of the history of monetary thinking.

Keywords: macroeconomics; methodology; money; banking; monetary circuit; economic crisis; financial crisis; neoclassical economics. (search for similar items in EconPapers)
Date: 2012
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.inderscience.com/link.php?id=51140 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ids:ijplur:v:3:y:2012:i:3:p:308-319

Access Statistics for this article

More articles in International Journal of Pluralism and Economics Education from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker ().