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You ask for sources on MMT and then sources on development of monetary theory. I don't know about the former (but I know there are some users here who are fans of MMT so hopefully they will hook you up with some good sources) but when it comes to the latter then a classic text that covers development of contemporary monetary theory is Walsh Monetary Theory ...


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For Modern Monetary Theory, this is a list of textbooks/books that I used in a primer. Macroeconomics, by William Mitchell, L. Randall Wray, and Martin Watts. Red Globe Press, 2019. ISBN: 978-1-137-61066-9 (Note: This is an undergraduate text, and is an overall heterodox approach to economics. Would need to be supplemented by more advanced materials for ...


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This was due to the idea of liquidity trap, and due to Keynes thinking that in economic recession it is easy for an economy to slip into the liquidity trap. Liquidity trap is a situation where preference for holding cash becomes virtually infinite. Keynes (1936) in the 'General Theory' states: There is the possibility...that, after the rate of interest has ...


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You have to make distinction between short-run and long-run. Short-run: In short-run money is not neutral, meaning that in short-run money and other nominal variables can affect real output. A one example why this is true are sticky wages. In presence of sticky wages wages (for example due to nominal contracts that take time to renegotiate) a fall in money ...


1

I didn't read it, but it seems like there is a deficit of textbooks on such subject. So, here is my suggestion, what I have found: 600-page long "Macroeconomics" by William Mitchell. William Mitchell is a Professor in Economics and Director of the Centre of Full Employment and Equity (CofFEE), at the University of Newcastle, NSW, Australia. He is ...


1

You might be inspired by Joshua Angrist (MIT) who talks in this podcast about the craft of econometrics--how to use economic thinking and statistical methods to make sense of data and uncover causation. Using natural experiments is a good way to establish causation. A natural experiment is an empirical setting in which individuals are exposed to the ...


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Actually Costa Rica publishes inflation target. See the graph below provided by IMF where the inflation target is given by orange band (it is completely normal to target range rather than precise number): There are no proxies that can be just lifted from statistics that I know of but there are ways how to discover how central banks set monetary policy even ...


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