"Treatment of the capital account separately from the production and income account of the economy is... a first step, a simplification... justified by convenience... The strategy is to regard income account variables as tentatively exogenous... and to find equilibrium in the markets for stocks of assets conditional upon assumed... outputs, incomes, and other flows."
James Tobin

January 1, 1970

Quote Details

Sources

pp. 15-16.

https://en.wikiquote.org/wiki/James_Tobin