This book aims to showcase and advance recent debates over the extent to which undergraduate macroeconomics teaching models adequately reflect the latest developments in the field. It contains 16 essays on topics including the 3-equation New Consensus model, extensions and alternatives to this...

Introduction, Keynes’s Own IS-LM Approach -- Prologue to Keynes’s IS-LM, 1930 to 1932 -- The Advent of Keynes’s IS-LM, 1933 -- “The Missing Link”: Keynes’s Own Lecture Notes, December 4, 1933, Impact and Implications -- Reconstructing Keynes’s IS-LM Approach, 1931 to 1937 --...

What readers "made of" a text is an object of historical study that is distinct from the "original purposes" that its author may have had. Later commentators will typically bring to bear concerns and perspectives of their own time when interpreting earlier economic writings. Simply condemning...

The concept of "liquidity trap" has recently seen a revival in macroeconomics. Its definition, however, is not univocal. It may be useful, therefore, to turn back to the original meaning of this expression in the works of the economists that first introduced it into economic analysis, John M....

chapter 1 The triumph of Keynesianism? The key role of liquidity preference theory in Keynes’ heresy -- chapter 2 Some reflections on Keynes’ “finance motive” for the demand for money -- chapter 3 The loanable funds fallacy: Exercises in the analysis of disequilibrium -- chapter 4 On...

This chapter explores Keynes’s monetary thought with a focus on financial instability and crises. Keynes’s early monetary work, Indian Currency and Finance (1913), shows his keen concerns for financial instabilities and his appreciation of central banks’ lender-of-last-resort role. In his...