"Theory of money: compare and contrast the post-Keynesian with the institutional perspective"

Abstract

The purpose of this paper is to compare and contrast the Post-Keynesian and the Institutional views on the theory of money. The paper starts with the various definitions of money, reviews the monetary theory of production and then delves into the two money theories represented by each camp's main representatives' such as Domar, Harrod and Sollow (Post-Keynesians) and Veblen and its cronies (Institutional). The paper concludes that there are both some convergent as well as divergent views regarding the theory of money, since each camp basically examines money from a different perspective and uses their own interpretation.