DeLong: Simple Keynesianism for Monetarists: A Primer - Brad DeLong's Scrapbook: "DeLong: Simple Keynesianism for Monetarists: A Primer (follow link)
Marginal Revolution: My email to Brad DeLong: "I think, however, you put too much emphasis on interest elasticity. Which is the relevant 'M' in the equation of exchange? Surely not currency. Yet I can earn an interest return on most parts of M2, if I care to.
The key arguments for sometimes using fiscal rather than monetary policy have, I think, to do with targeting very particular parts of the real economy.
Plus maybe the Fed doesn't have a strong enough political constituency to be asked to handle the entire macroeconomic problem."
Marginal Revolution: My email to Brad DeLong: "I think, however, you put too much emphasis on interest elasticity. Which is the relevant 'M' in the equation of exchange? Surely not currency. Yet I can earn an interest return on most parts of M2, if I care to.
The key arguments for sometimes using fiscal rather than monetary policy have, I think, to do with targeting very particular parts of the real economy.
Plus maybe the Fed doesn't have a strong enough political constituency to be asked to handle the entire macroeconomic problem."
No comments:
Post a Comment