ABSTRACT
The purpose of this contribution is to develop a Post Keynesian monetary policy model, presenting its goals, tools, and channels. The original contribution this paper develops, following (Keynes’s 1936Keynes, J. M. (1936 [1973B]), The General Theory of Employment, Interest and Money. The Collected Writings of John Maynard Keynes, VII, Londres: Royal Economic Society., 1945Keynes, J. M. (1945 [1980]), Activities 1940-1946: Shaping the Post-War world - employment and commodities. The Collected Writings of John Maynard Keynes, XXVII, Londres: Macmillan.) proposals, is the use of debt management as an instrument of monetary policy, along with the interest rate and regulation. Moreover, this paper draws its monetary policy model by broadly and strongly relying on Keynes’s original writings. A monetary policy model erected upon this basis relates itself directly to the Post Keynesian efforts to offer a monetary policy framework substantially different from the Inflation Targeting Regime of the New Macroeconomic Consensus.
KEYWORDS:
Keynesian Theory; Monetary Policy; Economic Policy; Interest Rate; Debt Management.
Source: Authors’ own construction.
Source: Authors’ own construction.