The paper addresses the features of stock-flow consistent (SFC) canonical versions of neo-Kaleckian (NK) and Supermultiplier (SM) models that introduce either the accumulation of debt of households or firms. The aim of this comparison is twofold: (i) to analyze the implications of a debt...

Standard models of aggregate demand treat money and credit asymmetrically; money is given a special status, while loans, bonds, and other debt instruments are lumped together in a "bond market" and suppressed by Walras' Law. This makes bank liabilities central to the monetary transmission...