Monetary Policies and Full Employment

Monetary Policies and Full Employment offers an in-depth exploration of the intricate relationship between monetary policy and the attainment of full employment. This comprehensive study examines key propositions regarding equilibrium, savings-investment mechanisms, and the impacts of wage and price adjustments on employment and economic stability. The book advocates for integrating monetary, fiscal, and wage-price policies to prevent major recessions and mitigate mass unemployment without resorting to abrupt institutional changes. Through a detailed analysis of cyclical trends and long-term economic growth, the author emphasizes the critical role of well-timed and measured interventions in fostering stable economic conditions while avoiding the pitfalls of rigid full employment guarantees.

The second edition builds on its original insights with updated references and reflections on revised economic estimates, particularly those of Simon Kuznets. By addressing changes in consumption, capital formation, and output trends, the author reinforces the applicability of the study's conclusions despite shifts in statistical data. This scholarly work serves as a pivotal resource for understanding how nuanced monetary policies can balance economic growth with societal goals, all while navigating the complexities of modern economic systems and power dynamics.

This title is part of UC Press's Voices Revived program, which commemorates University of California Press's mission to seek out and cultivate the brightest minds and give them voice, reach, and impact. Drawing on a backlist dating to 1893, Voices Revived makes high-quality, peer-reviewed scholarship accessible once again using print-on-demand technology. This title was originally published in 1947.