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The Quantity Theory Is Always and Everywhere Controversial--Why?

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  • Laidler, David

Abstract

Controversy about the quantity theory has been marked by common themes since the eighteenth century. These include the definition of money, the relationship between correlation and causation, and the transmission mechanism. Controversy has continued because of the technical difficulty of sorting out the direction of causation running between money and prices, and, on a deeper level, because ideological concerns about the viability of market mechanisms are at stake in the controversy. Copyright 1991 by The Economic Society of Australia.

Suggested Citation

  • Laidler, David, 1991. "The Quantity Theory Is Always and Everywhere Controversial--Why?," The Economic Record, The Economic Society of Australia, vol. 67(199), pages 289-306, December.
  • Handle: RePEc:bla:ecorec:v:67:y:1991:i:199:p:289-306
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    References listed on IDEAS

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    1. Dornbusch, Rudiger, 1989. " Real Exchange Rates and Macroeconomics: A Selective Survey," Scandinavian Journal of Economics, Wiley Blackwell, pages 401-432.
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    Cited by:

    1. Kenneth Clements & Yanrui Wu & Jing Zhang, 2006. "Comparing international consumption patterns," Empirical Economics, Springer, pages 1-30.
    2. JAYANTHAKUMARAN, Kankesu & PAHLAVANI, Mosayeb, 2007. "Structural Breaks In Trade And Income Per Capita In Asean-5 Countries: An Application Of Innovational Outlier Models," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 7(2).
    3. Abbas Valadkhani, 2005. "Modelling Demand For Broad Money In Australia ," Australian Economic Papers, Wiley Blackwell, vol. 44(1), pages 47-64, March.
    4. Abbas Valadkhani & Mohammad Alauddin, 2003. "Demand for M2 in Developing Countries: An Empirical Panel Investigation," School of Economics and Finance Discussion Papers and Working Papers Series 149, School of Economics and Finance, Queensland University of Technology.
    5. Robert W. Dimand, 2012. "The Roots of the Present are in the Past: The Relation of Postwar Developments in Macroeconomics to Interwar Business Cycle and Monetary Theory," Chapters,in: Keynes’s General Theory, chapter 5 Edward Elgar Publishing.
    6. Abbas Valadkhani, 2008. "Long- and Short-Run Determinants of the Demand for Money in the Asian-Pacific Countries: An Empirical Panel Investigation," Annals of Economics and Finance, Society for AEF, pages 77-90.
    7. Maria Cristina Marcuzzo & Annalisa Rosselli, 1994. "Ricardo's Theory of Money Matters," Revue Économique, Programme National Persée, vol. 45(5), pages 1251-1268.
    8. repec:sgh:erfinj:v:2:y:2017:i:2:p:79-97 is not listed on IDEAS
    9. Scheide, Joachim, 1998. "Central banks: No reason to ignore money," Kiel Discussion Papers 316, Kiel Institute for the World Economy (IfW).
    10. Levrero, Enrico Sergio, 2015. "An initial 'Keynesian illness'? Friedman on taxation and the inflationary gap," MPRA Paper 68547, University Library of Munich, Germany.
    11. Michael T. Belongia, 1992. "Selecting an intermediate target variable for monetary policy when the goal is price stability," Working Papers 1992-008, Federal Reserve Bank of St. Louis.
    12. Scheide, Joachim, 1993. "Preisniveaustabilität: Geldmengen auch für unabhängige Notenbanken," Kiel Working Papers 561, Kiel Institute for the World Economy (IfW).
    13. David Laidler, 2013. "Mark Blaug on the quantity theory: a skirmish on the border between science and ideology in the history of economic thought," Chapters,in: Mark Blaug: Rebel with Many Causes, chapter 7, pages 63-77 Edward Elgar Publishing.
    14. Kenneth W. Clements & Yanrui Wu & Jing Zhang, 2004. "Comparing International Consumption Patterns," Economics Discussion / Working Papers 04-04, The University of Western Australia, Department of Economics.
    15. Scheide, Joachim, 1993. "Geldmenge, Einkommen und Preisniveau: wie stabil ist der Zusammenhang nach der deutschen Wiedervereinigung?," Kiel Working Papers 582, Kiel Institute for the World Economy (IfW).
    16. Abbas Valadkhani, 2003. "Long and Short-Run Determinants of Money Demand in New Zealand: Evidence from Cointegration Analysis," School of Economics and Finance Discussion Papers and Working Papers Series 132, School of Economics and Finance, Queensland University of Technology.
    17. Scheide, Joachim, 1993. "Preisniveaustabilität: Geldmengenregeln auch für unabhängige Notenbanken," Open Access Publications from Kiel Institute for the World Economy 1575, Kiel Institute for the World Economy (IfW).

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