ABSTRACT
Since the publication of the paper “Regional Finance: A Survey” in 1997, the literature addressing the influence of money and banking on regional development has experienced substantial growth. This chapter explores that literature through the lens of the original analytical framework developed by Professor Sheila Dow, a framework which is sustained on three interrelated pillars: endogenous money, uncertainty and methodological pluralism. The argument put forward in this chapter maintains that it is strictly necessary to consider these three mentioned pillars if we really want to increase our knowledge about how money influences regional growth. Only this approach would allow us to go beyond the dualism implicit in those approaches that consider a theory is either right or false, and that empirical testing always provides unambiguous results.
