Author : TheMoneyIllusion

Let’s review the (alleged) zero bound problem.  The nominal interest rate falls to zero.  The Fed injects base money, and banks choose to hold it...

Here’s Paul Krugman’s latest: David Beckworth has a good post pointing out that the Fed has been signaling all along that the big expansion in the monetary...

I’m incredulous.  And when you are incredulous you are probably missing something important. You always need to ask yourself WWTCT (what would Tyler Cowen think?)...

For six years Paul Krugman has been engaged in an intellectual war against the forces of evil on the right.  Those who claim that monetary...

Next to mankind and his livestock, is there any animal more dangerous to the global ecosystem than this one: Eager beavers are rampaging across the...

Here’s Paul Krugman, in his pessimistic mood: You might think that it’s a fundamental insight that doubling the money supply will eventually double the price...

Over the past few years I’ve done a few posts on an underreported story, the fact that industrial production (IP) has been rising much faster...

Before beginning, I’d like to announce that Gabe Newell (CEO of Valve) has generously funded the next year of Hypermind’s NGDP futures market, and I...

I always try to find something interesting to say about the jobs report.  The obvious headline was the 321,000 new jobs, plus an upward revision...