New Keynesian economists have focused on inside money (bank credit) as the transmission mechanism for monetary policy, but this omits government money's role in determining the price level.

factualpending

Speaker

John Cochrane

Evidence Quote

New Keynesian models basically don't have banks in there at all

Source

Will Western governments soon hit their debt limits? Prof. John CochraneMoney & Macro Talks
Created: 8/12/2026, 6:10:20 PM

My Notes

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