Testing Times for Central Banks is There Room for Austrian Ideas at the Top Table?

Abstract:     
Central banks are facing an unprecedented test in the wake of the credit crisis. We briefly outline prevailing theoretical frameworks and argue that central bankers effectively have a choice between three separate frameworks: Vienna, Cambridge and Chicago. Despite Austrian economics being the least acknowledged we survey increasing exposure in mainstream media, suggesting a role for a more explicit use. We provide implications for policy-makers and claim that Austrian ideas have a place at the top table of policy debate.

Number of Pages in PDF File: 6

Accepted Paper Series