Money Capital: New Monetary Principles for a More Prosperous Society

by Haizhou Huang & Patrick Bolton

Money Capital is by Patrick Bolton, a professor at Imperial College, and Haizhou Huang, an influential Chinese economist. The monetarism associated with Milton Friedman and Anna Jacobson Schwartz needs too many modifications to work, and the authors use the insights of corporate finance to suggest a neat solution: to view money as the equity capital of a nation. This is a major paradigm shift, and the book is important not just for what it proposes, but also how seriously it’s being taken by Chinese policymakers. (Note: this book has equations).