I will start by outlining the essential features of monetarism, set out my interpretation of today's consensus macro model, and interpret the role of monetarism in shaping this consensus.
Whatever the lasting influence of monetarism, this journey will still find no explicit role for money in the consensus model and little or no explicit role in the current practice of monetary policy, at least in the United States. This leads me to explore whether current models and current practice undervalue the role of money. I.