Saturday, 19 August 2017

Milton Friedman

The Inflation Tax

Posted by Jerry Jordan
July 20, 2017

Can you name an official at a major central bank who expresses worries that inflation is now, or soon will be, too high?  Can you identify any financial publication–even the Wall Street Journal–that does not report that recent inflation data have been “disappointing?” To paraphrase former President Nixon, are we “all inflationists now?” Twenty years […]

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A Cure for What Ails Us

Posted by Gonzalo Schwarz
June 12, 2012

It is not enough to encourage enterprise and limit regulation—we need a fixed system of value. By James Grant Bailouts, bear markets and joblessness will surely put capitalism on the November ballot. How do you like your enterprise, Mr. and Ms. American Voter—free or stifled or a little something in between? The 2012 election promises […]

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When Low Inflation is Too High

Posted by Tyler Watts
May 2, 2011

Milton Friedman famously stated, “Inflation is always and everywhere a monetary phenomenon.” In other words, whenever you see persistent, high inflation, you know the cause was too much money. When too much money is chasing the same amount of goods, as they say, prices tend to rise; the faster the money supply is increased, the […]

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Where Did the Free Banking Debate Go?

March 31, 2011

The discussion in monetary institutions is becoming increasingly relevant in economics. How to deal and avoid financial crisis is an important issue. The recent financial crisis showed that economics might not be as suited to foresee and deal with these problems as the theory seems to suggest. This analysis requires a benchmark in the same […]

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The Legacy of Milton Friedman – Ben Bernanke

Posted by Tom Duncan
March 10, 2011

“Friedman’s emphasis on avoiding monetary disruptions arose, like many of his other ideas, from his study of U.S. monetary history. He had observed that, in many episodes, the actions of the monetary authorities, despite possibly good intentions, actively destabilized the economy. The leading case, of course, was the Great Depression, or as Friedman and Schwartz […]

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Was Gold Standard too Expensive?

March 3, 2011

There are two main reasons usually mentioned to prefer fiat money over gold standard. One is that fiat money offers more flexibility to do fine tuning on the economy and also central banks will have their hand free if they need to go into a monetary stimulus. The other reason is that a regime of […]

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