Money and Employment

Money and Employment examines the analytical role of money within classical, neoclassical and Keynesian theories of output and employment.The book argues that an endogenously determined money supply is inconsistent with the essential structure of neoclassical economic theory but a necessary condition for a long run interpretation of Keynes's theory of unemployment. It carefully examines Nicholas Kaldor's theory of endogenous money, linking it with Kaldor's treatment of interest and employment. The structure of Kaldor's theory is then shown to overcome important problems with Keynes's 1936 theory of unemployment. A macro model incorporating insights from Kaldor's approach to monetary analysis as well as contributions from the work of Basil Moore is also developed, which may be used as a foundation for further research of long run monetary explanations of unemployment. Exploring the theoretical structure and implications of endogenous money, this book will be a fascinating read for a wide ranging audience, including: academics, students and researchers with an interest in the role of money and interest rates in economic systems, and more specifically, post Keynesian theorists, macroeconomists, central bankers, and historians of economic thought.