Inflating
pennies-15727_1280

GAO Endorses Small Change

– May 12, 2019

In a recent report, the Government Accountability Office recommends altering the metal content of the nickel and casts doubt on the benefits of suspending production of the penny.

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Inflating, Monetary Policy
scnote

MMT Is a Recipe for Revolution

– April 2, 2019

MMT in the colonial period often led to periods of ruinous inflation and, less well-understood, revolution-inducing deflation.

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Fiscal Policy, Inflating
pesos

What Should Modern Monetary Theory Learn From Argentina?

– March 27, 2019

Can governments run large fiscal deficits financed with new money without generating significant inflation? The experience of Argentina calls this view into doubt.

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Inflating
zimbawbe

Why Dollarization Doesn’t Work in Zimbabwe

– August 9, 2018

Replacing a country’s failed currency with a reserve currency such as the dollar – so called “dollarization” – is not as easy as it sounds.  

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Inflating
inflation

Inflation in the News, but What Is It?

– July 12, 2018

Always ask yourself: when using the term “inflation,” what are you seeking to explain? If it is monetary policy, you are best off looking at monetary statistics. If it is prices, follow the Everyday Price Index. If it is the relationship between monetary policy and prices, follow good economic theory.

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Inflating
german_inflation_1

Policy Uncertainty and Post-WWI Hyperinflation

– June 6, 2018

A new NBER working paper quantifies the relationship between post-WWI policy uncertainty in Europe and hyperinflation.

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Inflating, Unemployment
fredgraph-3

Revenge of the Zombies, Part 2

– May 30, 2018

Some Keynesians argue that today’s combination of low inflation and unemployment contradicts the natural-rate hypothesis. But is the labor market really as robust as they claim?

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Inflating
fredgraph

A Better Argument for Targeting Core Inflation

– May 30, 2018

If the central bank should keep inflation in check, what sense does it make to ignore changes in food and energy prices?

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Inflating
Two Price Levels

A Tale of Two Price Levels: Consumer Price Index vs. Producer Price Index

– May 26, 2018

Keeping the consumer price level stable in the presence of productivity gains does not mean inflation disappears.

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Inflating
fredgraph

A Tale of Two Price Levels

– May 6, 2018

A distinction between theoretical and empirical price levels is useful for articulating why one might prefer a nominal-GDP-level target to a price-level target. 

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