Table Of ContentThomas Tooke and the
Monetary Thought of
Classical Economics
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Routledge Studies in the History of Economics
Thomas Tooke and the Monetary
Thought of Classical Economics
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r This study provides a comprehensive account and reconsideration of the contri-
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b bution to political economy of Thomas Tooke (1774–1858), English classical
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e economist and influential monetary historian and theorist. It clarifies Tooke’s
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p monetary thought and its legacy to modern economics. The study shows Tooke
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possessed a rich and extensive political economy, covering many aspects of eco-
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1 nomic activity relevant to key policy issues. Tooke’s political economy is shown
2 to be a unified and coherent body of intellectual thought in the classical tradition
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2: which, like most of his nineteenth-c entury contemporaries, was much influenced
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t by Adam Smith’s economics. More particularly, Tooke’s monetary thought,
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] especially his novel banking school theory, is shown to be theoretically coherent
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w from the standpoint of nineteenth-c entury classical economics. It is also shown
ta that, besides contributing towards a better understanding of the behaviour of
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O monetary systems in general, key elements of Tooke’s banking school theory
of make an important contribution to explaining distribution, growth and price
y inflation in modern economics.
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s In reconstructing Tooke’s political economy the study provides insights into
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v the conceptual properties of classical economics: into, for example, the approach
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n to explaining market prices and their fluctuation, into explaining income distri-
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[ bution, the doctrine of free trade, the meaning of ‘Say’s Law’ and explaining the
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b fluctuation and trend movement in the general price level. The focus of the study
d is on reconstructing Tooke’s monetary thought and, in doing so, to clarify the
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d conceptual framework of monetary theory in classical economics. It is shown
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o that Tooke’s banking school theory contributes not only towards the construc-
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w tion of an ‘endogenous money’ theory as an alternative to the quantity theory of
o money approach, but that in the modern formulation of classical analysis it con-
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tributes towards a well-g rounded conception of monetary forces, in particular,
monetary policy, exerting a lasting influence on real economic variables such as
income distribution, aggregate output and employment.
This book will be of interest to students and researchers of the history of eco-
nomic thought and those interested in the foundations of the development of
monetary thought and policy.
Matthew Smith is a Lecturer in Economics at the University of Sydney, Australia.
Routledge studies in the history of economics
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b Willie Henderson Vol. 1
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e From the beginnings to 1945
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p 2 Socialism and Marginalism in Robert W. Dimand and
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S Economics 1870–1930 Mary Ann Dimand
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