Bank Mergers, Monopoly Power and Unemployment: A Monetary Circuit Approach

  • Guglielmo Forges Davanzati
  • Riccardo Realfonzo


In the present macroeconomic debate there is widespread agreement between neoclassical scholars and supporters of the standard Keynesian theory concerning the following points:
  1. (a)

    money supply is exogenous (depending on the autonomous decisions of the central banks);

  2. (b)

    money can be significant only where it is required for keeping a stock of liquid wealth;

  3. (c)

    income distribution reflects the marginal productivity of inputs.



Interest Rate Bargaining Power Consumer Good Banking Sector Capital Good 
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© Guglielmo Forges Davanzati and Riccardo Realfonzo 2005

Authors and Affiliations

  • Guglielmo Forges Davanzati
  • Riccardo Realfonzo

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