Monetary History Of The United States, 1867-1960 — A

Before this book, the prevailing Keynesian consensus held that monetary policy was largely ineffective, especially during deep downturns. Friedman and Schwartz challenged this by demonstrating that:

In the long run, the growth of the money supply primarily affects the price level (inflation), while in the short run, it can lead to changes in real output. A Monetary History of the United States, 1867-1960

The aftermath of the Civil War and the return to the gold standard. Before this book, the prevailing Keynesian consensus held

Populist efforts for bimetallism and the deflationary pressures of the late 19th century. It has had a lasting impact on central

The transition from private clearinghouses to a centralized monetary authority.

The work served as the foundation for , emphasizing stable monetary rules over discretionary government management. It has had a lasting impact on central banking; former Fed Chairman Ben Bernanke famously conceded to the authors on behalf of the Federal Reserve: "You're right, we did it. We're very sorry. But thanks to you, we won't do it again".

Published in 1963, by Milton Friedman and Anna J. Schwartz is considered one of the most influential economics books of the 20th century. It fundamentally shifted the economic consensus by arguing that the money supply is a primary driver of economic activity and stability. The Core Thesis: "Money Matters"