Re: Central Banks and Deflation

[Warren Mosler <mosler@xxxxxxxxxxxxxx>]

>
>  Gunnar if you would read Keynes's 1935 essay on a
> "Mnetary Theory of
> Production"  [ in CWK, vol 13], you will see that
> Keynesw explicitly indicates
> that he is working (in 1935) on a theory that
> rejects the neutrality of money
> axiom in both the short-run and the long -run.

Right, Keynes described the currency as if it were a
state run monopoly, though never in those exact words.
And any good n/c would agree that the monopolized
object- the currency itself in this case- particularly
when the object itself is a creation of the state, is
the polar opposite of neutral.

warren


=====
Warren Mosler, www.mosler.org
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