The first part of this chapter describes and elaborates upon the contributions made to this expanding literature by Tom Cate, J. Ronnie Davis, David Laidler, Joseph Aschheim and George Tavlas regarding the claim that inter-war Chicago exhibited unique quantity theory characteristics. The second part examines the so-called “‘Chicago Plan’ of Banking Reform”, described by Albert Hart (1935), a Chicago graduate student of the 1930s. The Chicago Plan was a response to the Great Depression which required all banks to hold 100% reserves against their deposits, thus eliminating the instability caused by fractional reserves.
Leeson, R. (2003). How unique was the Chicago tradition? - Introduction. In R. Leeson (Ed), Keynes, Chicago and Friedman, Vol. 2 (3). London, United Kingdom: Pickering and Chatto.