Thinking About Inflation and How to Fix It
Today at 9:00 a.m. ET
I’m working from home today, catching up on e-mail and writing assignments for my students. I’m a multitasker, so I usually have something going on in the background. (Never music, though. Way too distracting.) This morning, I’ll tune in to a livestream to hear how some other economists are thinking about our inflation problem and how to fix it. I know many of these people and suspect I know what most of them will say. But it’s always good to listen for new insights. The event will be streaming soon. There’s no need to register. Just click here if you’d like to listen in.
I missed it. Does anyone know how to re-play that video event?
Stephanie, I look forward to any of your responses, hopefully in your next The Lens post.
Thanks!
Paul Dandurand
The way to fix inflation is for M2 money stock to shrink. The Fed needs to focus less on short rates and more on shrinking its balance sheet via asset sales. This will drive up long rates but it's what must happen. Government spending must be reigned-in and the Fed needs to stop monetizing deficit spending. Finally, government needs to stop trying to shut down the oil & gas industry. It's simple but not easy.