The Role of Money School Essay by Master Researcher

The writer notes that money, it is sometimes said, lies at the root of all evil; it can also be said confidently that money lies at the root of economic theory. The following paper examines the role of money in the Keynesian and Monetarist schools of economic thought and notes how each school differs in the role it assigns to currency vis-a-vis economic phenomena. The writer points out that the former holds that increasing the quantity or flow of money is a bad thing while the Keynesian school believes that an increased outflow actually can be and often is quite salutary.