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On p. 40 of the General Theory Keynes wrote: 
 
"To say that net output to-day is greater, but the price-level lower, 
than ten years ago or one year ago, is a proposition of a similar 
character to the statement that Queen Victoria was a better queen but not 
a happier woman than Queen Elizabeth -- a proposition not without meaning 
and not without interest, but unsuitable as material for the differential 
calculus.  Our precision will be a mock precision if we try to use such 
partly vague and non-quantitative concepts as the basis of a quantitative 
analysis." 
 
Am I missing something, or is this a rejection of the concept of the price 
level as a theoretically useful tool?  Isn't the price level still an 
important concept in macrotheory?  Has Keynes been refuted or has this 
view been seriously discussed in the Keynes literature? 
 
David Andrews 
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