tag:blogger.com,1999:blog-6276561747841568697.post4967025668248938491..comments2024-03-19T05:15:56.934-04:00Comments on Krugman-in-Wonderland: All is well -- on the inflation front! (If you like inflation)William L. Andersonhttp://www.blogger.com/profile/01802990642236807359noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-6276561747841568697.post-7128760480244372272012-09-27T01:47:35.946-04:002012-09-27T01:47:35.946-04:00So now that we have a little hindsight, it appears...So now that we have a little hindsight, it appears Krugman was right and you were wrong. Inflation is low and has stayed low and is expected to continue to be low by everyone but Austrians who simply believe (dogmatically) all monetary expansion must result in inflation even when the economy is below capacity - somehow prices are rising SOMEWHERE (even if the FED later contracts the supply).<br /><br />Krugman was right about the volatility of non-"core" inflation. And he was right about oil and raw materials prices being high at the time due to supply and demand, not inflation.<br /><br />Also, by the FED's latest actions, they are conceding Krugman's predictions, that more action - whether fiscal or monetary - was crucial to get the economy back on its feet.<br /><br />What do you have to say, now?<br /><br />(We should all be accountable for the words and ideas we toss out there...)Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6276561747841568697.post-30525284295278058982011-05-02T21:19:39.304-04:002011-05-02T21:19:39.304-04:00Will, the fed can target any NGDP number they want...Will, the fed can target any NGDP number they want. Scott Sumner suggests about 5%, Bill Woolsey suggests 3%, and Hayek suggests 0%. Japan has more or less been targeting 0% nominal gdp and have been experiencing deflation. A 3% target would probably lead to a stable price level. 5% NGDP level is what the current Fed has been reaching in what's been called the Great Moderation in the past 20 years or so.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6276561747841568697.post-56893234011692594642011-05-02T01:04:35.835-04:002011-05-02T01:04:35.835-04:00Or is the difference government spending vs. monet...Or is the difference government spending vs. monetary policy?Willhttps://www.blogger.com/profile/02615855799727413456noreply@blogger.comtag:blogger.com,1999:blog-6276561747841568697.post-29715397182164333832011-05-01T21:06:59.957-04:002011-05-01T21:06:59.957-04:00Would targeting NGDP, like Hayek suggests, lead to...Would targeting NGDP, like Hayek suggests, lead to less inflation than targeting unemployment like Keynes suggests?Willhttps://www.blogger.com/profile/02615855799727413456noreply@blogger.comtag:blogger.com,1999:blog-6276561747841568697.post-91876788515057232502011-04-29T19:59:56.290-04:002011-04-29T19:59:56.290-04:00You'll love this link. The name "Paul Kru...You'll love this link. The name "Paul Krugman" gets mentioned at a town hall meeting. I won't ruin the rest.<br /><br />http://bcove.me/u3mrqbvaEric in Texasnoreply@blogger.comtag:blogger.com,1999:blog-6276561747841568697.post-54751831547832166792011-04-29T10:13:24.934-04:002011-04-29T10:13:24.934-04:00I give Ron Paul and the Austrians lots of credit. ...I give Ron Paul and the Austrians lots of credit. They have made the Keynesians become explicit about what their theories are:<br /><br />1. That there is a bizarre and other-worldly universe of “macro” where normal forms of logic and economics do not apply.<br /><br />2. That “the printing money” by the Ben Bernank causes prosperity.<br /><br />3. That massive unpayable government debt to finance massive spending programs causes prosperity.<br /><br />Only a noodle-brain Keynesian would believe such nonsense. Average people will reject it every time and they are doing that. Our role is to demonstrate to average people that the Keynesians’ BS line of “this is too complicated for you to understand” crap is just that, crap.<br /><br />We are NEVER going to reach the little minds of the Keynesians but we have a great opportunity to turn the masses against the Keynesians as the creators of their misery.Bob Roddishttps://www.blogger.com/profile/17263804608074597937noreply@blogger.comtag:blogger.com,1999:blog-6276561747841568697.post-31430710934694481412011-04-29T05:01:58.749-04:002011-04-29T05:01:58.749-04:00http://blog.andyharless.com/2011/03/not-inflation....http://blog.andyharless.com/2011/03/not-inflation.htmlAnonymousnoreply@blogger.com