Monetarism, economic crisis, and the Third World / Karel Jansen -- The origins and evolution of monetarism / Robert Mundell -- What is wrong with monetarism? / Francis Cripps -- Monetarism : is the debate closed? / Arnold Heertje -- World crisis and the monetarist answer / Ernest Mandel --...

We evaluate the Friedman-Schwartz hypothesis that a more accommodative monetary policy could have greatly reduced the severity of the Great Depression. To do this, we first estimate a dynamic, general equilibrium model using data from the 1920s and 1930s. Although the model includes eight...