Advanced Search
MyIDEAS: Login

Money In Modern Macro Models: A Review of the Arguments

Contents:

Author Info

  • Franz Seitz

    ()
    (Weiden Technical University of Applied Sciences, Germany)

  • Markus A. Schmidt
Registered author(s):

    Abstract

    This paper provides an overview of the role of money in modern macro models. In particular, we are focussing on New Keynesian and New Monetarist models to investigate their main findings and most significant shortcomings in considering money properly. As a further step, we ask about the role of financial intermediaries in this respect. In dealing with these issues, we distinguish between narrow and broad monetary aggregates. We conclude that for theoretical as well as practical reasons a periodic review of the definition of monetary aggregates is advisable. Despite the criticism brought forward by the recent New Keynesian literature, we argue that keeping an eye on money is important to monetary policy decision-makers in order to safeguard price stability as well as, as a side-benefit, ensure financial market stability. In a nutshell: money still matters.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.lifescienceglobal.com/independent-journals/journal-of-reviews-on-global-economics/volume-3/85-abstract/jrge/919-abstract-money-in-modern-macro-models-a-review-of-the-arguments
    Download Restriction: no

    Bibliographic Info

    Article provided by Lifescience Global in its journal Journal of Reviews on Global Economics.

    Volume (Year): 3 (2014)
    Issue (Month): ()
    Pages: 156-174

    as in new window
    Handle: RePEc:lif:jrgelg:v:3:y:2014:p:156-174

    Contact details of provider:
    Web page: http://www.lifescienceglobal.com

    Related research

    Keywords: Money; New Keynesian model; New Monetarist model; financial intermediaries;

    Find related papers by JEL classification:

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:lif:jrgelg:v:3:y:2014:p:156-174. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Faisal Ameer Khan).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.