One of the differences between traditional monetary quantity theory and Keynesian and monetarist monetary theory is that

1956, Friedman developed the theory of money demand in the article Money Quantity-Restatement. When discussing the reasons why people hold money, Friedman took a different approach from Keynes. Instead of studying people's motives for holding money, he regards money as a kind of wealth asset, and studies the demand for money by influencing people to choose asset types to preserve value. In fact, this is the application of asset demand theory in money demand theory. According to Friedman, money is a substitute for bonds, stocks and commodities, and the demand for money is a function of the expected rate of return of wealth and other assets owned by individuals relative to money. According to Keynes's economic theory, macroeconomic trends will restrict the specific behavior of individuals. /kloc-since the late 8th century, "political economics" or "economics" has been based on the continuous development of production to increase economic output, and Keynes believed that the reduction of total demand for goods was the main reason for economic recession. From this perspective, he believes that measures to maintain the data balance of overall economic activities can balance supply and demand at the macro level. Therefore, Keynes and other economic theories based on Keynesian theory are called macroeconomics, which is different from microeconomics that focuses on individual behavior.

The main conclusion of Keynesian economic theory is that there is no powerful automatic mechanism for the development of production and employment to full employment in the economy. This is contrary to the so-called Say's law in neoclassical economics, which holds that the automatic adjustment of prices and interest rates will tend to create full employment. The attempt to link macroeconomics with microeconomics has become the most fruitful economic research field after Keynes's General Theory. On the one hand, microeconomics tries to find the macro expression of its thoughts, on the other hand, taking monetarism and Keynesian economists as examples, it tries to find a solid micro foundation for Keynesian economic theory. After World War II, this trend developed into a comprehensive school of neoclassicism.