Once upon a time, there was a discussion about interest rates set by banks. Do banks:The first position is called the verticalist position, the second the horizontalist.…
- increase interest rates when they face a specially large demand or
- set interest rates and then ignore the demand for loans
@Dirk Ehnts
ReplyDeleteWrong rhetorical question: “Why I am a horizontalist”
Right question: “Why I never got macroeconomics right”*
Egmont Kakarot-Handtke
* See ‘The fundamental problem of economics: scientific incompetence aka stupidity’
http://axecorg.blogspot.de/2017/04/the-fundamental-problem-of-economics.html