IDEAS home Printed from
   My bibliography  Save this article

Taking Money Seriously


  • David E. Laidler


This survey paper argues that Walrasian markets and monetary exchan ge are alternative, not complementary, arrangements for coordinating economic activity; that if one realizes this, many informational anomalies and price rigidities that appear "irrational" in a Walrasia n context can be understood as the outcome of maximizing behavior in a monetary economy; and that the precautionary approach to modelin g the demand for money takes on a particular importance in this way of looking at things. Empirical evidence on the demand for money is cite d in support of this point of view, which tends to reinstate the quantity of money as an important economic variable, in contrast to the New Classical vision of the economy whi ch downgrades money's importance.

Suggested Citation

  • David E. Laidler, 1988. "Taking Money Seriously," Canadian Journal of Economics, Canadian Economics Association, vol. 21(4), pages 687-713, November.
  • Handle: RePEc:cje:issued:v:21:y:1988:i:4:p:687-713

    Download full text from publisher

    File URL:
    Download Restriction: only available to JSTOR subscribers

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cje:issued:v:21:y:1988:i:4:p:687-713. 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: (Prof. Werner Antweiler). General contact details of provider: .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.