Chicago school

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Related to Chicago school economics: Milton Friedman

Chicago school

a group of economists at Chicago University, most notable of whom is Milton FRIEDMAN, who have adopted and refined the QUANTITY THEORY OF MONEY, arguing the need for governments to control the growth of the MONEY SUPPLY over the long term. Within the broad parameters set by stable money growth, the Chicago school stresses the importance of the market system as an allocative mechanism, leaving consumers free to make economic decisions with minimal government interference. See MONETARISM.
References in periodicals archive ?
He says that Chicago School Economics theory disregards the need for trade laws by assuming that "our economy is protected by fully informed individuals entering into voluntary contracts."
Krugman's heavy pounding of Chicago School economics goaded Cochrane, a professor of finance, into some bad-tempered counter-punching on the university's Web site, much of which consisted of a personal attack on Krugman's scientific integrity.
This decade's version of Reinventing Government is Freakonomics, by Steven Levitt and Stephen Dubner, which in its 95 weeks on The New York Times' bestseller list has popularized the idea that "incentives are the cornerstone of modern life." Freakonomics brings Chicago School economics to the masses.

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