In Fed and Out, Many Now Think Inflation Helps

Re:In Fed and Out, Many Now Think Inflation Helps by nwj on Sunday October 27, 2013 @10:34PM (#6624769)

Scott Sumner over at http://www.themoneyillusion.com/ has played a big part in changing peoples's views on this.

He is definitely worth reading regularly if you are interested in or want to learn more about monetary policy.

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Re:In Fed and Out, Many Now Think Inflation Helps by nazgulnarsil on Sunday October 27, 2013 @11:11PM (#6624889)

Actually, noticing that inflation and the quantity of dollars in the system have a non-linear interaction is the core of his point if I understand him correctly. He preaches de-emphasizing inflation in favor of NGDP, but this is not the same as saying that inflation should be higher. Rather, he says that NGDP and inflation are more orthogonal than previously thought.

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Re:In Fed and Out, Many Now Think Inflation Helps by hudibras on Sunday October 27, 2013 @10:42PM (#6624787)

I think some people would say that Paul Krugman might have helped out a bit, too.

http://krugman.blogs.nytimes.com/2013/10/27/the-economics-of...

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Re:In Fed and Out, Many Now Think Inflation Helps by clarkm on Sunday October 27, 2013 @11:07PM (#6624878)

A good overview of his viewpoint can be found here:

http://en.wikipedia.org/wiki/Market_monetarism

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