Central Banking, Monetary Policy and Income Distribution

Edited by Sylvio Kappes, Assistant Professor, Federal University of Alagoas, Brazil, Louis-Philippe Rochon, Full Professor, Laurentian University, Canada, Editor-in-Chief, Review of Political Economy and Founding Editor Emeritus, Review of Keynesian Economics and Guillaume Vallet, Full Professor, Université Grenoble Alpes and Research Fellow, Centre de Recherche en Economie de Grenoble (CREG), France

Contents:

Introduction to Central Banking, Monetary Policy and Income
Distribution 1
Sylvio Kappes, Louis-Philippe Rochon and Guillaume Vallet

PART I THEORY
1 A primer on monetary policy and its effect on income
distribution: a heterodox perspective 20
Louis-Philippe Rochon and Mario Seccareccia
2 Monetary policy and functional income distribution:
a Marxist view 35
Marcelo Milan
3 Savings glut, secular stagnation, demographic reversal,
and inequality: beyond conventional explanations of lower
interest rates 57
Matías Vernengo
4 The evolution of monetary institutions and of the theory
of money: the value of a monetary theory of production
and distribution 81
Michel Betancourt, Santiago Capraro, Carlo Panico and
Luis Daniel Torres-González
5 Monetary policy and the distribution of income in
a transfer theory of debt 114
Jan Toporowski

PART II EVIDENCE
6 Monetary policy and income distribution 128
James K. Galbraith
7 The rate of interest and income distribution: an
examination of the Pasinetti index in Latin America 139
Noemi Levy-Orlik and Jorge Bustamante
8 Why central bank policy is not income-distribution
‘neutral’: history, theory and practice 164
Mario Seccareccia and Guillermo Matamoros Romero

PART III POLICY
9 Advancing the monetary policy toolkit through outright
transfers and tiered reserve remuneration 191
Sascha Bützer
10 On interest and interest-rate policy 242
Massimo Pivetti
11 The distributional impacts of inflation-targeting strategies 261
Sergio Rossi

Index