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Monetary Policy and the Theory of Interest

Harold M. Somers

Cambridge Hospital

Quarterly Journal of Economics 1941

Situation before the publication of Keynes' General Theory, 488.— New controversial issues, 488.— I. Rates of return on economic resources: securities, 490; cash, 492; production, 493; consumption, 494.— Nature of the rates of return, 495.—II. Fundamentals of economic behavior: individuals, 496; firms, 496; banks, 497; governments, 498.— Significance of an arbitrary monetary policy, 498.— III. The theory of interest: the marginal productivity theory, 500; the time-preference theory, 501; the liquidity-preference theory, 503; the loanable-funds theory, 505. — Validity of the theories of interest, 506.

DOI
10.2307/1885641
Volume
55 (3)
Pages
488
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