Thank you all for your informative answers. I will, in time, read the essay recommended in this thread. Just one further question. Is it correct of me to think that the monetarist, the Chicago School of thought so to speak, differs from the Austrian School in that they think money should be regulated by government instead of the market. Is this the key difference between these schools of economic thought on the matter of money. And is this the key critique of the Austrian school against the monetarist? That is, their faith in the governments ability to outdo the market is fallicious and that we cannot entrust government with taking care of monetary matters?