Knut Wicksell and Ludwig von Mises on Money, Interest and Price Dynamics

In a first section, we shall discuss the main issues that divided Wicksell and Mises during a debate that took place between them in 1914. We will first analyze how the two authors conceived the link between the “commodity market” and the “money market” as well as their respective stance on the question of the independence of the “loan rate of interest” from the “natural rate of interest.” Then, in a second section, we shall analyze how those differences did affect Wicksell and Mises' theories of economic dynamics.