Publisher: Tulika Books
About the Book
The author argues that in order to understand the viability of the capitalist system and the stability of money over long stretches of time, capitalism needs to be seen as necessarily ensconced within a pre-capitalist setting, a view originally advanced by Rosa Luxembourg.
The present book, while arguing this thesis, takes a close look at the Walrasian-Monetarist, Ricardian, Marxist and Keynesian system, highlighting in particular the monetary theory embedded in each.
The book also looks at the International Monetary System, in particular, the post-Bretton Woods arrangement. It argues that this arrangement does not entail a break with commodity money at the global level despite not being linked to gold. It characterises this arrangement as the ‘oil-dollar standard’ and explores some of the political implications of such a characterisation. Theory, especially monetary theory forms the main focus of this book.
About the Author
Prabhat Patnaik is Professor of Economics at the Centre for Economic Studies and Planning, Jawaharlal Nehru University, New Delhi and is currently Vice-Chairman of the State Planning Board, Government of Kerala. He is the author Of Time, Inflation and Growth (1998), Economics and Egalitarianism (1991), Whatever Happened to Imperialism and other essays (1995), Accumulation and Stability under Capitalism (1997), and has edited Lenin and Imperialism: An Appraisal of Theories and Contemporary Reality (1986) and Macroeconomics (1995).
Introduction: The Argument and Its Setting
Chapter 1: The Great Divide in Economics
PART I: THE INFIRMITY OF MONETARISM
The Monetarist Theory
Equilibrium and Historical Time: Inherited Payment Commitments
The Modus Operandi of Monetarist Theory
The Cash-Transactions Approach to Monetarism
An Excursus on Rational Expectation Equilibria
An Excursus on Methodological Individualism
An Excursus on Walrasian Equilibrium and Capitalist Production
PART II: THE SUPERIORITY OF PROPERTYISM
A Critique of Ricardo’s Theory of Money
Marx on the Value of Money
An Excursus on Marx’s Theory of Value
Marx’s Solution to a Dilemma
Alternative Interpretations of Keynes
A Digression on a Keynesian Dilemma
Marx, Keynes and Propertyism
PART III: THE INCOMPLETENESS OF PROPERTYISM
The Incompleteness of Propertyism
A Solution to the Incompleteness
Capitalism as a Mode of Production
Money in the World Economy
Capitalism and Imperialism
Appendix: Factors Underlying Secular Movements in the Terms of Trade