Abstract:
The 1970s witnessed the rise of two fashionable macroeconomic schools of thought--monetarism and the so-called "new classical" macroeconomics, the latter usually closely identified with one of the fundamental components, the rational expectations hypothesis. Both schools traice their acnestory to older economic doctrines, but it is just in the last decade that they have moved into the mainstream of post-war macroeconomics.
