PRICE THEORY AND MONEY COUPLED: SOME
REMARKS ON THE AYRES-MARTINÁS THEORY
Zsolt GilányiInstitute for Economic and Social Sciences - University of West Hungary
|INDECS 11(1), 29-36, 2013
Full text available here.
Received: 7 April 2011
The main concern of economic science is to explain the Wealth of Nations. This tradition implies on the one hand, that wealth must be evaluated i.e.: economic science must elaborate a price theory; on the other hand, money should be integrated in economic theories because prices are expressed in monetary terms. Mainstream economic theory succeeds in price determination (with some limits) but fails on money integration, while non-mainstream monetary models succeed on money integration but fail on price determination. In this paper I argue that the Ayres-Martinás theoretical framework is a promising tentative to cope with this challenge of economic science.
microeconomic foundations, macroeconomics
JEL: D01, D58, E13