Tag Archives: Bernanke

Draghi: Hits a Nerve

The collapse of velocity (public spending) throughout the entire European monetary union isn’t something any Central Bank can fix.  This is a structural problem best resolved by politico’s.  Having the Central Bank assume responsibility for political problems that are intrinsically … Continue reading

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Why There’s NO Inflation

Ok, let’s set the record straight:  you need two things for inflation.  You need to print money and you need monetary velocity (people spending). Question:  why is there no inflation? The answer just isn’t a lack of velocity.  The real … Continue reading

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Henry Kaufman: Critiques The Federal Reserve Strategy

The monetary policy of this Federal Reserve is to pump more money into the economy to raise the rate of inflation, in so doing, this Chairman hopes to gain an increase of the rate of personal consumption. This is really … Continue reading

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Fundamentals Of Economic Growth

Money does not drive economic growth.  Investment does.  Growing the money supply in relation to production (read inflation) can influence investment and economic growth by lowering the price of money (interest rate) and by shifting more of the national income … Continue reading

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