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HJeco0450200810.pdf
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👤 Author: Mark3!motoya
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Summary

Most classical and neoclassical economists treat money as neutral, having no effect on economic agents' decisions. However, money affects agents' behaviors through various channels. An alternative framework is needed to analyze the monetary production economy, characterized by the 'money-commodity-more money' circuit aimed at realizing monetary profits. Marx's theory of money is examined in view of Keynes's taxonomy of economic systems, highlighting the key role of a specific use-value of money in understanding the monetary production economy. The M-C-M' circuit, where money is advanced to purchase commodities and then sold for more money including profits, is distinct from the C-M-C circuit, where money is neutral and serves only as a vehicle to facilitate commodity exchange.

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Most classical and neoclassical economists treat money as neutral, having no effect on economic agents' decisions.

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  • File Format: PDF
  • File Size: 225 KB
  • Pages: 11
  • Language: EN
  • Author: Mark3!motoya
  • Total Downloads: 95
  • Last Updated: 1 month ago

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