Promotional Information

This clearly written and carefully crafted book identifies fundamental questions that a good theory of money should be designed to answer, then offers convincing examples of insights about practical problems borne by their theory. The authors' status as leading creators of the tools that they describe so well comes through clearly in the conviction and clarity with which they write good economics. -- Thomas Sargent, New York University A terrific book on modern monetary theory that guides students right up to the research frontier where monetary economics and finance have joined forces to deliver an exciting new approach to asset valuation with frictions. -- Martin Schneider, Professor of Economics, Stanford University This is state-of-the-art economics -- the topics are important and interesting, the microfoundations constitute the very best of research in macro and monetary theory, and the presentation is first rate. I read and taught from the first edition, and it was always a tremendous resource for both teacher and student. The second edition has made some of the previous material even better, and includes several very important developments made over the last few years. I highly recommend this book to anyone who is serious about macro, finance, and monetary economics. -- Randall Wright, Ray Zemon Professor of Liquid Assets, University of Wisconsin, Madison

About the Author

Guillaume Rocheteau is Professor of Economics at the University of California, Irvine.

Ed Nosal is Vice President and Senior Research Advisor at the Federal Reserve Bank of Chicago.