Monetary Theory of Production

In mainstream economic theory money functions as an instrument for the circulation of commodities or for keeping a stock of liquid wealth. In neither case is it considered fundamental to the production of goods or the distribution of income. Augusto Graziani challenges traditional theories of monetary production, arguing that a modern economy based on credit cannot be understood without a focus on the administration of credit flow. He argues that market asset configuration depends not upon consumer preferences and available technologies but on how money and credit are managed. A strong exponent of the circulation theory of monetary production, Graziani presents an original and perhaps controversial argument which will stimulate debate on the topic. * Augusto Graziani is one of Italy's most distinguished elder economists who has played a leading role in public and academic life in the country * Offers a theoretical approach that is deeply rooted in the Keynesian tradition that is outside mainstream economics * Presents an original and perhaps controversial argument which will stimulate debate on the topic