What analytical framework for Sovereign Money? Some insight from the 100% Money literature, and a comment on criticisms
| Autor: | Demeulemeester, Samuel |
|---|---|
| Přispěvatelé: | Triangle : action, discours, pensée politique et économique (TRIANGLE), École normale supérieure de Lyon (ENS de Lyon)-Université Lumière - Lyon 2 (UL2)-Sciences Po Lyon - Institut d'études politiques de Lyon (IEP Lyon), Université de Lyon-Université de Lyon-Université Jean Monnet - Saint-Étienne (UJM)-Centre National de la Recherche Scientifique (CNRS) |
| Jazyk: | angličtina |
| Rok vydání: | 2022 |
| Předmět: |
Sovereign Money
JEL: E - Macroeconomics and Monetary Economics/E.E3 - Prices Business Fluctuations and Cycles endogenous money [SHS.ECO]Humanities and Social Sciences/Economics and Finance JEL: E - Macroeconomics and Monetary Economics/E.E3 - Prices Business Fluctuations and Cycles/E.E3.E30 - General JEL: B - History of Economic Thought Methodology and Heterodox Approaches/B.B2 - History of Economic Thought since 1925 100% money full reserve banking JEL: E - Macroeconomics and Monetary Economics financial instability B26 JEL: E - Macroeconomics and Monetary Economics/E.E4 - Money and Interest Rates JEL: E - Macroeconomics and Monetary Economics/E.E4 - Money and Interest Rates/E.E4.E42 - Monetary Systems • Standards • Regimes • Government and the Monetary System • Payment Systems JEL: B - History of Economic Thought Methodology and Heterodox Approaches/B.B2 - History of Economic Thought since 1925/B.B2.B26 - Financial Economics E30 E42 |
| Popis: | The 2007-2008 Global Financial Crisis has brought renewed interest in the 100% Money reform idea of the 1930s', the essence of which was to require 100% reserves on transaction deposits so as separate money issuance from bank loans. A modern version of this idea, the Sovereign Money proposal, has been much discussed in recent years. Some heterodox economists have harshly criticized Sovereign Money advocates for lacking a clear analytical framework, as well as for disregarding "established" literature on such topics as the causality relationship between money and prices, the accommodation of business needs, financial instability, or the seigniorage privilege. The literature on 100% Money, however, appears to have been largely overlooked by both sides of the debate-even though, as this article shows, it could have brought valuable theoretical insight to the discussion. Building upon the arguments of the 100% Money writers, this paper concludes that many of the criticisms addressed to the Sovereign Money proposal are either inconclusive or misplaced. |
| Databáze: | OpenAIRE |
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