Liquidity Preference in International Finance: The Case of Developing Countries

Citation

Dow S (1995) Liquidity Preference in International Finance: The Case of Developing Countries. In: Wells P (ed.) Post-Keynesian Economic Theory. Recent Economic Thought Series, 45. Dordrecht: Kluwer Academic Press, pp. 1-15. http://link.springer.com/chapter/10.1007/978-1-4615-2331-4_1#

Abstract
Keynes's monetary theory isbased on the view that money is fundamentally nonneutral. Money is an institution integral to the capitalist process, and monetary developments are part of the process that determines output and employment. Keynes's theory has been developed to apply to modern conditions by Post-Keynesian monetary theory (see Davidson, 1972; Minsky 1985; and Wray, 1990).