Thursday, March 17, 2016

Egypt Raises Rates

Going directly to the rote monetarist playbook in an effort to reduce nascent "inflation".  Same thing will happen ANYWHERE "inflation" is ever thought to develop.  Will not help the situation in fact will probably make "inflation" be interpreted as more of a problem going forward.


mmcosker said...
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mmcosker said...

Inflation goes up as the new risk free rate in forward pricing formulas is higher.