Monetary Realism

Understanding The Modern Monetary System…

Recommended Readings

Monetary Realism (MR) is a set of understandings that help to describe how the monetary system functions (see here for our full primer). This sytem is deep, complex and often misunderstood.  We hope to bring balance and objective insights to the discussion in order to clarify many of the misconceptions about money, economics and the monetary system.  Our goal with MR is to focus on the core operational realities of the economy while any policy ideas are entirely peripheral to MR.

To obtain  a better understanding of Monetary Realism we recommend the following reading:

1.  Understanding The Modern Monetary System

2.  The “Dismal Science” and Getting Back to Da Vinci’s Methodology

3.  Understanding Inside & Outside Money

4.  Understanding Moneyness

5.  Credit IS Money

6.  The Disaggregation of Credit

7.  Where Does Cash Come From?  

8.  The Human Body, The Economy & The System of Flows

9.  Understanding the Fed’s Primary Purpose

10  JKH on Saving, Investment and S=I+(S-I)

11. The Treasury and Central Bank: A Contingent Institutional Approach

12.  Saving, stock/flow consistency and Kalecki

13.  Banking in the Abstract

14.  Some Simple Banking Examples

15.  What Makes Monetary Realism Unique?

Some of these documents use the term MMR to refer to MR.  These were published prior to the official name of the school of thought as MR.