Intermediate Macroeconomics

Edited by Hassan Bougrine, Full Professor, Laurentian University, Canada, Louis-Philippe Rochon, Full Professor, Laurentian University, Canada, Editor-in-Chief, Review of Political Economy and Founding Editor Emeritus, Review of Keynesian Economics and Co-Director Monetary Policy Institute and Mario Seccareccia, Professor Emeritus, University of Ottawa, Canada and Editor, International Journal of Political Economy

• ContentsIntroduction: The urgent need for an alternative explanation in a postpandemic era xiiiHassan Bougrine, Louis-Philippe Rochon and Mario SeccarecciaPART I MACROECONOMICS: THE BIG PICTURE1 The market system and the public sector: Rivals or complements? 3Tae-Hee Jo2 What is money? The role of commercial banks and the central bank 19Hassan Bougrine3 What determines consumption and saving? Mapping the classstructure of society 37Mario Seccareccia4 What determines investment? The real economy versus thedominance of finance 59Leila E. Davis5 Is there a Phillips curve? Unemployment and inflation 77Marc Lavoie6 What is fiscal policy? Implications for growth and income distribution 99Hassan Bougrine7 What is monetary policy? Implications for growth and incomedistribution 113Lilian Rolim and Sylvio Antonio Kappes8 Should central banks be independent? 127Wesley Marshall and Louis-Philippe Rochon9 Should full employment be a policy objective? 143Pavlina R. Tcherneva and Kyle Mohr10 Should wealth and income inequality matter? 165Rishabh KumarPART III OPEN ECONOMY MACROECONOMICS11 The balance of payments and exchange rates: what are the policyoptions? 183Robert A. Blecker12 Free trade versus regulated trade: what are the implications forgrowth, structural change and sustainability? 207Pierre Kohler13 Exchange rate arrangements: fix, float or manage? 233Nathaniel Cline, Carlos Schönerwald da Silva and Matías Vernengo14 Capital control versus free mobility: What are the implications forgrowth? 245Gerald Epstein15 Globalization of capital versus globalization of poverty: worseningworldwide inequality? 263Suranjana Nabar-Bhaduri

‘This reader-friendly textbook edited by Hassan Bougrine, Louis-Philippe Rochon and Mario Seccareccia offers much needed realistic interpretations of the macroeconomy as well as a deep understanding of the key ideas shaping debates on macro theory and policy. Its fifteen chapters, all written by experts in the field, are analytically crisp and sharp, painstakingly referenced, and up to date for the post-pandemic era. In each chapter, mainstream thought is compared with (demonstrably more realistic) the heterodox tradition. The result is a major feat: an exceptionally interesting, exciting and remarkable textbook that is ideal for courses in intermediate macroeconomics, that without doubt will be loved by students, and that will nurture an indestructible sensitivity to realistic macroeconomic thinking in future economists. Highly recommended.’