On July 4, 2023, Lawrence C. Marsh, Professor Emeritus, Department of Economics, released his latest book Money Flow in a Dynamic Economy published by Avila University Press. Larry argues that the financial markets on Wall Street were originally intended to create money to support economic growth in the real economy on Main Street. But the money flow has become reversed in the decades following the Great Recession of 2008-2009 when the Federal Reserve used QE to inject enormous amounts of money into the financial markets causing the stock market on Wall Street to grow faster than most investments in the real economy on Main Street. Nonfinancial firms discovered that they could make more money on Wall Street than investing in their own businesses. This has suppressed productivity and economic growth in the real economy.
Professor Marsh also has a MailChimp “Money Flow Newsletter” that goes out each month with the contents posted to his “Notre Dame Economist” webpage at: sites.nd.edu/