Central Banking, Monetary Policy and the Common Good

Edited by Louis-Philippe Rochon, Full Professor of Economics, Laurentian University, Canada, Editor-in-Chief, Review of Political Economy and Challenge, Founding Editor Emeritus, Review of Keynesian Economics and Co-Director, Monetary Policy Institute, Sergio Rossi, Full Professor of Economics, University of Fribourg, Switzerland and Guillaume Vallet, Full Professor of Economics, Université Grenoble Alpes and Research Fellow, Centre de Recherche en Economie de Grenoble (CREG), France

• Contents1 Introduction to central banking, monetary policy and thecommon good 1Louis-Philippe Rochon, Sergio Rossi and Guillaume Vallet2 Can lonely monetary technocrats contribute to the commongood? 10Vadym Syrota3 Central banking and the common good: crisis, contestation,and transformation 27Kanad Bagchi4 Rethinking common goods in monetary policy from afinancially integrated Global South framework: centralbanking, financial flows and the loss of monetary policyautonomy 53Sanchari Choudhury5 Financial market regulation and the common good: the failureof “too-big-to-fail” 74Peter Marshall and Wesley Marshall6 Competition for the common good: professional trajectoriesand universalist claims within central bank governing bodies 98Frédéric Lebaron and Aykiz Dogan7 The monetary circuit for the common good 129Louis-Philippe Rochon, Sergio Rossi and Guillaume Vallet8 Monetary and fiscal policies as public goods: rethinkingindividual policies as well as their coordination for economicgrowth and employment 144Eduardo Strachman, Jefferson Souza Fraga and VitorGuidorzzi Girotto9 Monetary policy, uneven development, and accounting forspatial justice 165Dan Cohen, Cameron Graham and Yongqi Ke10 From economics to ecology: the role of central banks asagents of the common good 190Sophie Harnay, Laurence Scialom and Guillaume Vallet11 The people’s bank: reimagining central banks as institutionsfor the common good 209Jalal Qanas and Malcolm Sawyer12 Central bank communication for the common good: howcan Habermas’s theory of deliberative democracy underpincentral bankers’ communication as an instrument to foster asense of legitimacy? 221Stefan Kesting and Hendrik Theine13 Political aspects of tax-driven money: redefining the commongood to include everyone 244Esteban Cruz Hidalgo, Stuart Medina Miltimore and Agustín Mario

‘Neoclassical economists reduced the scope of monetary policy to the control of inflation, and were proud of their achievements until the Global Financial Crisis blindsided them. Now we know that they don’t know, it's time to redefine what the purpose of monetary policy should be. This book begins this process by expanding the purview of central banks from a narrow and false model of economic equilibrium to the concept of monetary policy for the common good.’