A Reconsideration of the Theory of Inflation

  • Robert W. Clower


Recent discussions of inflation are disturbingly reminiscent of similarly topical discussions of unemployment that preceded and followed publication of Keynes’s General Theory of Employment, Interest and Money in 1936. Now, as then, traditionalists argue that the economy will work best if left to itself. Now, as then, a much larger group of puzzled or simple uncommitted economists question whether private ownership economies can work well without constant governmental prodding. Now, as then, a small but vocal group of radicals contends that such economies cannot work well under any circumstances. Now, as then, finally, debate tends to be carried on largely at cross-purposes because adherents to different camps are unable to agree upon a common framework of analysis as a basis for rational discussion of their differences.


Trade Credit Monetary Authority Full Equilibrium Monetary Theory Fractional Reserve Banking 
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Copyright information

© Michael Allingham and M. L. Burstein 1976

Authors and Affiliations

  • Robert W. Clower

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