Routledge Modern Monetary Theory and European Macroeconomics

Modern Monetary Theory and European Macroeconomics offers a fresh methodological approach to understanding money and macroeconomics. Moving away from abstract equilibrium models that often miss the fundamental issues of a modern monetary economy, this book focuses on the stylized balance sheets of primary economic actors. By examining how money is born on the balance sheets of central and commercial banks, this text provides a practical framework for understanding the monetary system. It explains the relationship between households, firms, and banks, specifically how bank deposits relate to central bank reserves. This perspective is essential for anyone looking to understand the mechanics of the two monetary circuits: central bank deposits and bank deposits. This Routledge International Study in Money and Banking serves as a necessary resource for students and professionals studying international accounting and macroeconomics.