Monetary Economics after Wicksell: Alternative Perspectives within the Theory of the Monetary Circuit

  • Riccardo Bellofiore

Abstract

Augusto Graziani’s main theoretical contribution has been the development of the theory of the monetary circuit. This contemporary approach has its roots in the monetary heterodoxy of the end of the nineteenth century and the first thirty years of the twentieth century. Graziani’s theoretical enterprise has never divorced positive contributions to economic thought from an appraisal of past theories and authors. His position is highly original. Usually, two conflicting visions are held. The first move backwards from modern theories to older antecedents, on the assumption that the former are a progress relative to the latter because either they have overcome prior errors or encapsulated the partial truth sedimented by past developments. It is a continuist view. The second is a discontinuist view, stressing paradigm shifts, advancing no pretence that formal refinements mean that the older views are wrong or outdated. The door is then open to conflict among different viewpoints in contemporary theorising.

Keywords

Depression Income Expense Librium Rium 

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Bellofiore, R. (1985) ‘Money and Development in Schumpeter’, Review of Radical Political Economics, no. 1–2, pp. 21–40.CrossRefGoogle Scholar
  2. Also in John Cunningham Wood, (ed.), Joseph Alois Schumpeter: Critical Assessments, IV (London: Routledge, 1991), pp. 371–94.Google Scholar
  3. Bellofiore, R. (1992) ‘Monetary Macroeconomics before The General Theory. The circuit theory of money in Wicksell, Schumpeter and Keynes’, Social Concept, no. 2, pp. 47–89.Google Scholar
  4. Bellofiore, R. (1998) ‘Between Wicksell and Hayek. Mises’ Theory of Money and Credit Revisited’, American Journal of Economics and Sociology, October, pp. 531–78.Google Scholar
  5. Graziani, A. (2002) Teoria economica: Macroeconomia, 5th edn, Naples: ESI.Google Scholar
  6. Graziani, A. (2003) The Monetary Theory of Production (Cambridge University Press).CrossRefGoogle Scholar
  7. Keynes, J.M. (1975) The Treatise on Money, 2 vols, The Collected Writings of John Maynard Keynes (London: Macmillan).Google Scholar
  8. Mises, L. von (1971) The Theory of Money and Credit (New Haven: Yale University Press) [Theorie des Geldes und des Umlaufsmittel, Munich and Leipzig: Duncker & Humblot, 1912; 2nd edn, 1924; 3rd edn, 1953].Google Scholar
  9. Realfonzo, R. (1998) Money and Banking, (Aldershot: Edward Elgar).Google Scholar
  10. Schumpeter, J.A. (1934) The Theory of Economic Development. An Enquiry into Profits, Capital, Credit, Interest and the Business Cycle (Cambridge, MA: Harvard University Press [From the 2nd German edn, Theorie der wirtschaftlichen Entwicklung. Eine Untersuchung über Untemehmergewinn, Kapital, Kredit, Zins und den Konjunkturzyklus, Leipzig: Dunker & Humblot, 1912].Google Scholar
  11. Schumpeter, J.A. (1939) Business Cycles (Philadelphia, PA: Porcupine Press).Google Scholar
  12. Wicksell, K. (1936) Interest and Prices (London: Macmillan) [Geldzins und Güterpreise, Jena: G. Fischer, 1898].Google Scholar

Copyright information

© Riccardo Bellofiore 2005

Authors and Affiliations

  • Riccardo Bellofiore

There are no affiliations available

Personalised recommendations