tag:blogger.com,1999:blog-2761684730989137546.post6469760946022227645..comments2024-03-28T07:50:06.102-04:00Comments on Mike Norman Economics: The Economist on MMTmike normanhttp://www.blogger.com/profile/03296006882513340747noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-2761684730989137546.post-20147647502909679682011-12-29T11:22:30.196-05:002011-12-29T11:22:30.196-05:00I agree on the market monetarism comments. All th...I agree on the market monetarism comments. All the theory seems to comes down to is mainstream monetarism plus the claim that money is currently too "tight". They are just monetarists who have a disagreement with the current Fed about the appropriate policy direction, and what quantity should be employed as the main target quantity.<br /><br />Despite their zeal in defending their policy prescriptions, they are just like other monetarists in never coming up with clear notions of how the policy tools of the Fed are transmitted to the real economy. They are just absolutely convinced that the Fed, through some combination of open market operations and psychological expectations setting can *somehow* achieve whatever level of aggregate demand they want.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-84512324722348365912011-12-29T09:30:26.837-05:002011-12-29T09:30:26.837-05:00Another weakness in the NGDP argument is that it i...Another weakness in the NGDP argument is that it is not new. That is, contrary to the claims of NGDP enthusiasts, central banks (CBs) do not target JUST inflation. If they did, then as NGDP enthusiasts rightly point out, CBs would pitch demand too low when inflation is cost push. Well not all CBs make this mistake.<br /><br />The Bank of England has tumbled to the fact that the UK’s 5% inflation is to significant extent cost push (and temporary), so it is not doing much to reduce this inflation. I.e. the BoE is a closet NGDP targeter.Ralph Musgravehttps://www.blogger.com/profile/09443857766263185665noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-55218374990144467722011-12-29T06:39:01.141-05:002011-12-29T06:39:01.141-05:00Agreed on the Monetarist comments.Agreed on the Monetarist comments.mike normanhttps://www.blogger.com/profile/03296006882513340747noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-25666845574430673452011-12-29T00:18:43.440-05:002011-12-29T00:18:43.440-05:00My biggest beef with the article is it's claim...My biggest beef with the article is it's claim that market monetarism is a heterodox school of thought...and that is damaging to MMT because it throws us in with a hodgepodge of other theories and confuses potential converts. The last thing MMT needs is some theory called "market monetarism" competing with it....not to mention that the two have funky names and can be summarily dismissed by those with dismissive attitudes.Payamnoreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-45691729658072878912011-12-29T00:09:17.095-05:002011-12-29T00:09:17.095-05:00I reposted my comment at The Economist as an updat...I reposted my comment at The Economist as an update to the original post.<br /><br />Kudos to Warren. Making The Economist is a big deal. We are now officially on the map, and the finish line is in sight.Tom Hickeyhttps://www.blogger.com/profile/08454222098667643650noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-83868507110118656172011-12-29T00:01:13.317-05:002011-12-29T00:01:13.317-05:00I am so proud of Warren. He is awesome! What a guy...I am so proud of Warren. He is awesome! What a guy!!mike normanhttps://www.blogger.com/profile/03296006882513340747noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-7032251598597579272011-12-28T23:17:49.747-05:002011-12-28T23:17:49.747-05:00I skimmed the article. It seems reasonable with r...I skimmed the article. It seems reasonable with regard to MMT, but damns us by also being reasonable to "market monetarists" (Scott Sumner) and Austrians. I consider these latter two to be just as idiotic as the mainstream -- probably moreso. <br /><br />If my skimming was decent, it seems that The Economist didn't bother to separate the nonsense from the substance. Still, it's good to have them join the conversation...Detroit Danhttps://www.blogger.com/profile/03718490473585220856noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-20627492826331573572011-12-28T21:57:10.100-05:002011-12-28T21:57:10.100-05:00=) When you guys make it into the Economist, you ...=) When you guys make it into the Economist, you have made it.Ryan Harrishttps://www.blogger.com/profile/04815033054435303399noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-66323690343651242482011-12-28T21:29:07.629-05:002011-12-28T21:29:07.629-05:00Even The Queen (who doesn't know who Eric Clap...Even The Queen (who doesn't know who Eric Clapton is) knows the mainstream are FOS.<br /><br />this is the best news in this regard I have got today... Thanks Tom!Matt Frankohttps://www.blogger.com/profile/11978352335097260145noreply@blogger.com