The course aims to explain how the two monetary circuits – central bank deposits and bank deposits – are intertwined. It is also shown how government spending injects money into the economy. We discuss real world problems with a focus on the economic crisis in the Eurozone. Specific issues discussed are quantitative easing, the TARGET2 system and the way the European Central Bank works.
Fitting it should be given at Maastricht!
Modern Monetary Theory and European Macroeconomics
Teacher/coordinator: Dirk H. Ehnts, PhD