JMK and the Fourth Grand Monetary Discussion

Abstract

Keynes was a monetary economist concerned above all with monetary policy. His specific objectives have been well described by E. A. G. Robinson:

Indeed it is difficult not to be impressed by the consistency of his main strategic objectives: the full employment of resources; the achievement of balance of payments for all countries by methods that would not be inconsistent with full employment; as a means to this, a system of exchange rates that would combine the short-term virtues of fixity and predictability with the long-term virtues of flexibility; and, as a means to full employment, low interest rates. (Robinson 1947, p. 45)