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International Journal of Political Economy· 2026Q2

The Expansive Potential of the Public Bank as an Ordinary Instrument of Economic Policy

Riccardo Zolea

Short summary

Public banks can be ordinary instruments to boost aggregate demand and economic growth, offering advantages over fiscal policy incentives.

AI-generated from the title and abstract; the full text is not read.

Key points

  • Public banks can serve as ordinary instruments for economic policy.
  • They are effective in increasing aggregate demand and promoting economic growth.
  • Public banks offer distinct monetary, industrial, and distribution policy perspectives.
  • Their use presents advantages over traditional fiscal policy incentives.

AI-generated from the title and abstract; the full text is not read.

Abstract

The focus of this article is the analysis of the importance of the public bank instrument in increasing aggregate demand and promoting economic growth in the post-Keynesian and classical-Keynesian theoretical framework. In particular, the monetary, industrial and distribution policy perspectives that the public bank opens up to the policy maker are discussed. Furthermore, the advantages of such a choice over incentives through fiscal policies are illustrated.

The authors' abstract, as published at the source. International Journal of Political Economy, 2026 · DOI ↗

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Field: General Economics, Econometrics and Finance

General Economics, Econometrics and FinanceEconomics, Econometrics and Finance