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The Great Depression and the Friedman-Schwartz hypothesis

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  • Lawrence J. Christiano
  • Roberto Motto
  • Massimo Rostagno

Abstract

We evaluate the Friedman-Schwartz hypothesis that a more accommodative monetary policy could have greatly reduced the severity of the Great Depression.

Suggested Citation

  • Lawrence J. Christiano & Roberto Motto & Massimo Rostagno, 2003. "The Great Depression and the Friedman-Schwartz hypothesis," Proceedings, Federal Reserve Bank of Cleveland, pages 1119-1215.
    • Handle: RePEc:fip:fedcpr:y:2003:p:1119-1215
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    More about this item

    Keywords

    Monetary policy; economic conditions - United States; Depressions;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E40 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - General
    • E51 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Money Supply; Credit; Money Multipliers

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