A Schumpeterian Analysis of the Credit Market
Messori, Marcello (2013) A Schumpeterian Analysis of the Credit Market. [Working Paper]. LUISS Academy, Roma. p. 32. Working Paper (1/2013). ISBN 978-88-6856-000-3.
Schumpeter shows that bank credit acts as money-‐capital and, therefore, constitutes the necessary premise for the realization of the innovative processes planned by entrepreneurs. This makes it important to specify the debt contracts between each bank and entrepreneurs during the prosperity phase of Schumpeter’s cyclical development. The present paper aims to point out the achievements and the limits of Schumpeter’s monetary theory with respect to this point, that is the debt contract design. On the side of the limits, I maintain that Schumpeter’s approach, although representing one of the most stimulating contributions in the history of economic analysis, ask for refinements as regard to the objective-‐function of the individual banks, the determination of the interest rates, and the usableness of the credit demand and supply curves. Schumpeter’s posthumous treatise on money provides stimulating insights for the definition of these refinements.
|Item Type:||Report / Paper (Working Paper)|
|Research documents and activity classification:||Working Papers > Refereed Working Papers / of international relevance|
|Divisions:||Department of Political Science|
|Uncontrolled Keywords:||Banking activity. Monetary theory. Development. History of economic analysis.|
|MIUR Scientific Area:||Area 13 - Economics and Statistics > SECS-P/01 Political Economy|
|Deposited by:||Barbara Scipioni|
|Date Deposited:||22 Jan 2014 15:53|
|Last Modified:||22 Apr 2015 00:15|
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