Central bankers follow inflation "target" in their pursuit of "price stability." Not surprisingly, they usually miss their targets -- quite badly -- and we now are living one of those moments.
Two days before Christmas, 1913, the infamous "creature from Jekyll Island," the Federal Reserve System, was birthed into our body politic. It has been devouring the economy ever since.
Central bankers follow inflation "target" in their pursuit of "price stability." Not surprisingly, they usually miss their targets -- quite badly -- and we now are living one of those moments.
Only Father Time helps us cut through the policy nonsense and understand interest rates conceptually.
Keynesians believe that economic growth can occur only with an expanding supply of money. Growth doesn't need more money; it needs more savings.
Long before there was the infamous German inflation of 1923, the Reichsbank created the scenario of monetary debasement.
Only Father Time helps us cut through the policy nonsense and understand interest rates conceptually.
Keynesians believe that economic growth can occur only with an expanding supply of money. Growth doesn't need more money; it needs more savings.
Keynesian economists claim that deflation is as bad or worse than inflation. But deflation not only reverses inflation's bad effects but also allows new wealth creation.
A serious political discussion at the federal level would center on structural problems of war and peace, debt and the dollar, and entitlements. But America in 2022 is a deeply unserious country.
