The Cambridge Monetary Theory emphasizes the role of money in the economy. It was developed by economists at Cambridge University, including John Maynard Keynes. According to the cash balance equation, the value of money is determined by the demand for and supply of money. If demand for money increases while supply remains constant, prices will fall. The theory includes equations from economists like Marshall, Robertson, Keynes, and Pigou. Criticisms of the theory include its assumptions of stable demand for money and full employment. It does not account for factors like income distribution, financial intermediaries, or fiscal policy.