Within the New Consensus Macroeconomics, monetary policy is upgraded while fiscal policy is downgraded. This new monetary policy has been the main instrument of policy under the guise of inflation targeting, an approach pursued by a number of central banks worldwide. This book raises problems relating to this new monetary and macroeconomic policy.

Within the New Consensus Macroeconomics, monetary policy is upgraded while fiscal policy is downgraded. This new monetary policy has been the main instrument of policy under the guise of inflation targeting, an approach pursued by a number of central banks worldwide. This book raises problems relating to this new monetary and macroeconomic policy.

List of Tables and Figures Notes on the Contributors Introduction; Philip Arestis, Eckhard Hein & Edwin Le Heron Does Inflation Targeting Increase the Deflationary Bias in the World Economy?; Basil Moore What is Endogenous when Monetary Policy is Transparent?; Peter Howells Monetary Policy Formation at The Long-Term Margin: A Kahn-Tobin Framework; Theodore T. Koutsobinas Bank Lending and Regulation in Insider Financial Systems: A Theoretical Assessment; Elisabeth Springler Monetary and Budgetary-Fiscal Policy Interactions in a Keynesian Context: Revisiting Macroeconomic Governance; Angel Asensio Monetary Policy from a Circuitist Perspective; Claude Gnos A Policy-Game Framework for the Dollar-Euro Exchange Rate; Philip Arestis & Elias Karakitsos The New Governance in Monetary Policy: A Critical Appraisal of the Fed and the ECB; Edwin Le Heron AS-AD Disequilibrium Dynamics and the Taylor Interest Rate Policy Rule: Euro-Area Based Estimation and Simulation; Peter Flaschel & Christian R.Proaño How The Maastricht Regime Fosters Divergence as well as Instability; Jörg Bibow Germany's Post-2000 Stagnation in the European Context - A Lesson in Macroeconomic Mismanagement; Eckhard Hein & Achim Truger Macroeconomic Policy in the UK under New Labour: The End of Boom and Bust?; Philip Arestis & Malcolm Sawyer Index