recession can pull the Phillips Curve ‘to the right’ (Stockhammer 2008 , Vane 2013 ). The path is opened to multiple ‘non-inflationary’ rates.
Many New Keynesian (and post-Keynesians) also reject monetarist claims of money’s source. Instead they accept the so-called ‘new monetary consensus’ adopted by most central bankers, in Britain from as early as the 1959 Radcliffecommission, that the money supply is endogenous, provided by bank credit in response to firms’ demands (Lavoie 2009 ). Central bankers can only control money’s price, the interest rate. New Keynesian