Money and Macroeconomic Dynamics

  - Accounting System Dynamics Approach -
<Japanese Site>



    I have been working on the draft of Money and Macroeconomic Dynamics, and its system dynamics models since 2003. Latest Edition 6.0 (draft, 748 pages) is completed on June 15, 2022. The book describes macroeconomic system design (called public money system) in Part VI for sustainable futures in place of the current debt money systems of macroeconomy in Part II, III, IV and V. Specifically public money system is proposed to be the solution for the on-going financial and national debt crises that cannot be overcome by the existing macroeconomic policies.
Part VII proposes Electronic Public Money (EPM) as money of the futrues in the age of blockchain revolution.


  The original book is no longer available (out of stock, sorry for inconvenience) from the Amazon, Japan (in English) at
  http://www.amazon.co.jp (Category: Japanese Books, Keyword: Kaoru Yamaguchi)
  Accordingly, its text and diagrams are now freely downloaded for the convenience of readers.
 All SD models in this book now run more smoothly on the latest Vensim Model Reader Ver. 9.2 (May, 2022, free download)
.



Money and Macroeconomic Dynamics

- Accounting System Dynamics Approach -


Edition 6 (Draft Version)   June 20,  2022
 
(free download e-book)

No Quotations, Please!

The entire book of edition 6 (draft) is now hyper-linked to jump to any chapter and section easily. Accordingly, chapter copies of edition 6 are no longer available.

 Preface My Off-Rad Journey for A Better World (Contents included)
 
Preface to Edition 6
Part I:  Accounting System Dynamics
Chapter 1
System Dynamics (SD models 1)
Chapter 2
Demand and Supply (SD models 2)
Chapter 3
Accounting System Dynamics (SD models 3)
Part II:  Debt Money System
Chapter 4
Macroeconomic System Overview (SD models 4)
Chapter 5
Money 
Chapter 6
Creation of Money (SD models 6)
Chapter 7
Money as Debts  (SD models 7)
Chapter 8
Interest and Equity (SD models 8)
Part III:  IS-LM Models of Debt Money System
Chapter 9
Short-Run IS-LM Moel (SD models 9)
Chapter 10
Endogenous Money IS-LM Model (SD models 10)
Chapter 11  Long-Run IS-LM Model  (SD models 11)
Part IV:  Macroeconomic Systems of Debt Money
Chapter 12 A Macroeconomc System (SD models 12)
Chapter 13
A Macroeconomic System of Employment (SD models 13)
Part V:  Open Macroeconomic Systems of Debt Money
Chapter 14
Balance of Payments and Foreign Exchange (SD models 14)
Chapter 15
Open Macroeconomies as A Closed System (SD models 15)
Part VI:  Public Money System
Chapter 16
Designing A Public Money System (SD models 16)
Chapter 17
Workings of A Public Money System (SD models 17)
Chapter 18
Monetary and Financial Stability (SD models 18)
Chapter 19
Public Money and Sustainablity
Chapter 20
 Transition to Public Money System  (SD models 20)
Part VII:  Electronic Public Money
Chapter 21
 Electronic Public Money  (SD models 21)
 (Bibliography included)
All SD models here run only on Vensim Model Reader (free).
Editable ASD models are available directly from the author at kaoru3860@gmail.com



Accounting System Dynamics - Guest Lectures
at the Graduate School of System Design and Management, Keio University, Tokyo, Feb. 3, 2014

Part 1:  Theory

Accounting
                        System Dynamics Guest Lecture by Dr. Kaoru                        Yamaguchi

Accounting System Dynamics by Dr.
                      Kaoru Yamaguchi

Please view along with Chaper 3 and Lecture Slides



Innovative Features
(Video Presentation 2013)

This book, as a synthesis of the books by Fisher and Keynes in 1935, will revolutionize the way we analyze macroeconomic behaviors, and give us a hope for building an alternative economic system which will be free from the current financial and debt crises.

Irving Fisher. 100% Money, The City Printing Company, New Haven, 1935.

John M. Keynes. The General Theory of Employment, Interest and Money, Preface, December 13, 1935.


1.  Robust and comprehensive analytical method of the Accounting System Dynamics is applied for the first time in macroeconomic analysis.

     - Accounting System: robust double-entry booking foundation of social science.
     - System Dynamics: dynamic foundation of differential equations in natural science.


2.  Money always sits in the center of the macroeconomic analysis, allowing an inquiry into dynamic macroeconomic behaviors that have been unattainable under a traditional approach of money as an incidental addition to the economy.


3. Current macroeconomic system is identified as a debt money system whose structure causes not only recessions and unemployment, but also financial and debt crises. To avoid these economic instabilities and disasters, an alternative system is proposed as a public money system, and comparative analyses of these two systems are conducted.


4.  All analyses are based on the simulations of the system dynamics models included in the attached CD, so that readers can confirm them easily by running simulations by themselves. In addition they can perform their own scenario analyses on the basis of their own economic interests and economic hypotheses.


5.  All models are  built with standard frameworks found in macroeconomic textbooks, so that they can be easily expanded to the readers' behavioral sophistications as well as their case studies of real economies.


The original book is out of print from the Amazon, Japan (in English)
at http://www.amazon.co.jp (Category: Japanese Books, Keyword: Kaoru Yamaguchi)



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