Mises Daily
Author:
David Howden
Online Publish Date:
of the Federal Reserve System changed everything dramatically. With the ability to economize on bank reserves and to create fiat money at whim, the inflation rate (We will discount these future cash flows at the long-run rate of nominal GDP growth of 5.5 percent.) The greater metropolitan area of New York City generated $1.3 in particular has only “returned” about 7 percent once we adjust the figures for economic growth since 1803. The purchase of Manhattan hasn’t fared much better, and