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Johnson, H. Comment on Mayer on Monetarism. Credit and Capital Markets – Kredit und Kapital, 9(2), 145-153.
Johnson, Harry G. "Comment on Mayer on Monetarism" Credit and Capital Markets – Kredit und Kapital 9.2, 1976, 145-153.
Johnson, Harry G. (1976): Comment on Mayer on Monetarism, in: Credit and Capital Markets – Kredit und Kapital, vol. 9, iss. 2, 145-153, [online]


Comment on Mayer on Monetarism

Johnson, Harry G.

Credit and Capital Markets – Kredit und Kapital, Vol. 9 (1976), Iss. 2 : pp. 145–153

1 Citations (CrossRef)

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Johnson, Harry G.

Cited By

  1. Revolutions and counterrevolutions in monetary economics: Keynes, keynesians, and new classicists

    Aschheim, Joseph

    Tavlas, George S.

    Atlantic Economic Journal, Vol. 18 (1990), Iss. 4 P.1 [Citations: 0]


  1. 1. J. R. Hicks, The Crisis in Keynesian Economics, Oxford: Clarendon Press, 1974.  Google Scholar
  2. 2. J. R. Hicks, What Is Wrong With Monetarism, Lloyd’s Bank Review, No. 118, October 1975, pp. 1-13.  Google Scholar
  3. 3. N. Kaldor, The New Monetarısm, Lloyd’s Bank Review, July 1970, pp. 1-18.  Google Scholar


Comment on Mayer on Monetarism

Discussion of monetarism belongs to a recently passed era of U.S. policy debates and runs the danger of formalization. Of Mayer’s“ propositions, the crucial one is the assumption of a stable demand for money which differentiates monetarism from both Keynesian theory and the old quantity theory (unstable velocity) that Keynes attacked. Classical quantity theory went through two phases; the “neutrality of money” phase, designed to clear the way for real general equilibrium analysis; and “the conditions for money equilibrium analysis”, of disturbances to real and monetary equilibrium in a monetary economy. Prewar II theorists never regarded policy changes in money supply as a destabilizing factor, and treated expectational change in money demand as involving instability of velocity; to be offset by policy. Modern quantity theorists instead make policy a chief disturber of equilibrium, in the face of a stable demand for money.