The premise of this paper is that in a monetary production economy, policy decisions of the central bank, or more generally the ‘monetary authority’, set the tone not only for nominal interest rates but also for ‘real’ interest rates defined in the usual way. This is a different question...

This paper confronts the argument that the globalization of capital markets now effectively rules out the independent conduct of monetary, fiscal, and other policies in the individual national jurisdictions. It argues that an independent policy stance continues to be feasible as long as the...

This paper suggests that the near-optimal setting of the real policy rate of interest (the real overnight rate in Basil Moore's home country of Canada) is zero. This will achieve as close an approximation as possible to a fair distribution of income in a particular sense. It will also promote...