Credit, Money and Macroeconomic Policy: A Post-Keynesian Approach (New Directions in Modern Economics series)

With recent turmoil in financial markets around the world, this unique and up-to-date book addresses a number of challenging issues regarding monetary policy, financial markets and macroeconomic policy. While some of the chapters address the recent crisis as well as adjustments to the Basel Accord, others analyse the required changes to the conduct of monetary and fiscal policies. The distinguished authors offer an in-depth and comprehensive analysis of macroeconomics and provide alternative policies to deal with a number of persistent modern-day problems. Offering an interesting analysis of current economic issues from a Post-Keynesian perspective, this book will appeal to academics and graduate students of macroeconomics and financial markets. ‘The volume Credit, Money and Macroeconomic Policy edited by Claude Gnos and Louis-Philippe Rochon, represents a most important contribution to our understanding of the nature and role of credit and money in modern economies. It deals with some of the most pressing issues of our time; as such it constitutes an invaluable guide for the comprehension of the effects of the last twenty years of inflation targeting policies.’ – Giuseppe Fontana, University of Leeds, UK and University of Sannio, Italy. Contributors: A. Asensio, R. Bellofiore, R.W. Dimand, A. Fumagalli, C. Gnos, R. Guttmann, J. Halevi, E. Hein, S. Karagiannis, T.T. Koutsobinas, S. Lucarelli, Y. Panagopoulos, A. Parguez, L.-P. Rochon, S. Rossi, M. Sawyer, U. ?ener, M. Setterfield, R. Sobreira, A.D. Spiliotis, A. Truger, P. Zendron. Introduction / Claude Gnos and Louis-Philippe Rochon PART I: ENDOGENOUS MONEY AND FINANCIAL CRISIS: 1. A Minsky Moment? The Subprime Crisis and the {u2018}New{u2019} Capitalism / Riccardo Bellofiore and Joseph Halevi 2. Lessons from the 1929 Crash and the 1930s Debt Deflation: What Bernanke and King Learned, and What They Could Have Learned / Robert W. Dimand 3. The Collapse of Securitization: From Subprimes to Global Credit Crunch / Robert Guttmann PART II: MONETARY POLICY AND POLICY RULES: 4. From Monetary to Fiscal Policy Rule: A Matter of Adjustment or Choice? / Theodore T. Koutsobinas 5. Money Creation, Employment and Economic Stability: The Monetary Theory of Unemployment and Inflation / Alain Parguez 6. Monetary Policy Without Reserve Requirements: Central Bank Money as Means of Final Payment on the Interbank Market / Louis-Philippe Rochon and Sergio Rossi 7. Post-Keynesian Interest Rate Rules and Macroeconomic Performance: A Comparative Evaluation / Louis-Philippe Rochon and Marc Setterfield PART III: MONETARY POLICY UNDER THE BASEL II ACCORD: 8. Basel II: A New Regulatory Framework for Global Banking / Robert Guttmann 9. The Basel II Influence on the Money Supply Process: A Comparative Analysis of the Eurozone and the United States / Stelios Karagiannis, Yannis Panagopoulos and Aristotelis Spiliotis 10. Implications of Basel II for National Development Banks / Rogério Sobreira and Patricia Zendron PART IV: INFLATION TARGETING, NEW CONSENSUS MACROECONOMICS AND MACROECONOMIC POLICY: 11. Inflation Targeting Drawbacks in the Absence of a {u2018}Natural{u2019} Anchor: A Keynesian Appraisal of the Fed and ECB Policies from 1999 to 2006 / Angel Asensio 12. Fiscal Policy in the Macroeconomic Policy Mix: A Critique of the New Consensus Model and a Comparison of Macroeconomic Policies in France, Germany, the UK and Sweden from a Post-Keynesian Perspective / Eckhard Hein and Achim Truger 13. Re-thinking Macroeconomic Policies / Malcolm Sawyer 14. Turkish Monetary Policy in a Post-Crises Era: A Further Case of {u2018}New Consensus{u2019}? / Ulas Sener 15. Instability and Uncertainty in Cognitive Capitalism / Andrea Fumagalli and Stefano Lucarelli Index. With recent turmoil in financial markets around the world, this unique and up-to-date book addresses a number of challenging issues regarding monetary policy, financial markets and macroeconomic policy. While some of the chapters address the recent crisis as well as adjustments to the Basel Accord, others analyze the required changes to the conduct of monetary and fiscal policies. The distinguished authors offer an in-depth and comprehensive analysis of macroeconomics and provide alternative policies to deal with a number of persistent modern-day problems. Offering an interesting analysis of current economic issues from a Post-Keynesian perspective, this book will appeal to academics and graduate students of macroeconomics and financial markets. With recent turmoil in financial markets around the world, this unique and up-to-date book addresses a number of challenging issues regarding monetary policy, financial markets and macroeconomic policy. While some of the chapters address the recent crisis as well as adjustments to the Basel Accord, others analyze the required changes to the conduct of monetary and fiscal policies. The distinguished authors offer an in-depth and comprehensive analysis of macroeconomics and provide alternative policies to deal with a number of persistent modern-day problems. -- Back cover