Abstract
The standard neoclassical model is the foundation of most mainstream macroeconomics. Its basic structure dominates the analysis of macroeconomic phenomena, the teaching of the subject and even the formation of economic policy. And, of course, the modern quantity theory of money and its attendant monetarist prescriptions are grounded in the model’s strict separation between real and nominal variables.
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© 2012 Wynne Godley
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Godley, W., Shaikh, A. (2012). An Important Inconsistency at the Heart of the Standard Macroeconomic Model. In: Lavoie, M., Zezza, G. (eds) The Stock-Flow Consistent Approach. Palgrave Macmillan, London. https://doi.org/10.1057/9780230353848_4
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DOI: https://doi.org/10.1057/9780230353848_4
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-33275-5
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