Monetary Theory

Where is Bernanke going to create the next bubble, the one that will mask the hangover from the housing bubble in the same way that the housing bubble masked the hangover from the tech stock bubble?

The ancient transgressions of murder, pillage, bestiality, thievery, and rape still shout from the headlines.

Because of Iran's great oil wealth, it has been able, thus far, to stave off a hyperinflationary blow-off.

Inflation, as this term was always used everywhere and especially in this country, means increasing the quantity of money and bank notes in circulation and the quantity of bank deposits subject to check. But people today use the term "inflation" to refer to the phenomenon that is an inevitable consequence of inflation, that is the tendency of all prices and wage rates to rise.

That’s the effect of minimum wage laws, says John Egge

Sophistpundit gives What Has Government Done to Our Money (

The heady mix of human credulity and overeasy money was still producing the same old, intoxicating brew in the marketplace.

And, perhaps, it also explains why a careful analysis of the time structure of production (not in terms of an "average" period of production) is a necessary basis for a satisfactory analysis of the trade cycle.

Historically, you know, we have a couple of grievances with the Japanese.

In a neat admission that his bosses are rotting the money in our pockets, Chicago Fed economist Francois Velde has come up with