Pp. 38-57 (20)
Maria Alejandra Madi
This chapter aims to present different perspectives on the theory of money.
Firstly, we refer to Eugen von Böhm-Bawerk’s theoretical approach developed in the
late 1880s that highlights the concept of interest rate in the context of inter-temporal
allocation decisions. Then, we consider John Maynard Keynes’s contribution privileges
that money is non-neutral and that the rate of interest is a monetary phenomenon.
Finally, we include the Keynesian approach developed by James Tobin to monetary
issues in bank money and banking strategies in order to clarify the dynamics of banks’
decisions toward profitable assets.
rate, Non-neutrality of money, Process of bank money
World Economics Association, State University of Campinas, Av. Angélica 1711, cj. 111, São Paulo, SP, Brazil