About the Meeting
The SIAS Annual General Meeting will commence at 5.45pm. The latest report is available below:
This is followed by a talk given by the well known economist and author, Steve Keen, at 6pm. A live webinar will be available.
WHEN REGISTERING, PLEASE INDICATE YOUR PREFERENCE TO ATTEND IN PERSON OR VIA THE ONLINE WEBINAR.
Please arrive at 5.15pm to sign-in before a 5.45pm start. Sandwiches and drinks will be served after the talk.
A monetary approach to economics
Most non-economists would be amazed to find that conventional macroeconomic models do not include money, or debt, or banks: they believe, naively, that economists are experts on such matters. In fact, mainstream have made a series of "simplifying assumptions" that, if they were true, would mean that banks, debt and money would be irrelevant to macroeconomics. These are crystallized in the "Loanable Funds" model of banks as intermediaries, rather than originators of money and debt, and the "Money Multiplier" model of money creation which accompanies it and ascribes ultimate responsibility for problems in money creation to government rather than the banking sector.
50 years after non-mainstream economists asserted that banks were not intermediaries, several Central Banks (including the Bank of England and the Bundesbank) have concurred with the non-mainstream economists that the Loanable Funds model is structurally false, as is the Money Multiplier model.
In this talk, Steve Keen, will simply explain how banks create money, and show how this radically alters macroeconomics, making it essential that macroeconomics become monetary, and abandon the 19th century practice of equilibrium modelling. He will introduce the Minsky system dynamics program he has designed to make this approach to modelling feasible (see https://www.patreon.com/hpcoder/).