The team of internationally-respected authors deliver a thorough critique both of traditional neoclassical macroeconomic theory and the reasoning that underpins it, whilst presenting their own well-reasoned practical and philosophical arguments to support the heterodox MMT approach that they advocate. This exciting new book encourages students to take a more critical approach to the subject.
From the Back Cover This groundbreaking new core textbook encourages students to take a more critical approach to the prevalent assumptions around the subject of macroeconomics, by comparing and contrasting heterodox and orthodox approaches to theory and policy. The first such textbook to develop a heterodox model from the ground up, it is based on the principles of Modern Monetary Theory (MMT) as derived from the theories of Keynes, Kalecki, Veblen, Marx, and Minsky, amongst others. The internationally-respected author team offer appropriate fiscal and monetary policy recommendations, explaining how the poor economic performance of most of the wealthy capitalist countries over recent decades could have been avoided, and delivering a well-reasoned practical and philosophical argument for the heterodox MMT approach being advocated. The book is suitable for both introductory and intermediate courses, offering a thorough overview of the basics, while covering everything needed for more advanced courses. Issues are explained conceptually, with the more technical, mathematical material in chapter appendices, offering greater flexibility of lecturer use. Key features include; Pluralistic coverage of macro thought, with both mainstream neoclassical principles and the MMT alternative defined and discussed in detail, offering students a critical analysis of the subject. Valuable historical context is provided, showing the evolution of macroeconomics as a discipline, and the emergence and divergence of its different schools. A focus on the realities of how money and banks operate, and on applied theories of financial instability, combined to give an unrivalled real-world insight into how the economy actually works. Truly global approach and perspective, with a high-profile author team drawn from the US and Australia. Companion website offers additional resources including an instructor's manual, worked examples, tutorial questions, and additional references.