Michael Hudson — Asset-Price Inflation and Rent Seeking

A Total-Returns Profile of Economic Polarization in America
Michael Hudson
Based on work with Dirk Bezemer, with charts by Howard Reed

Michael Hudson — On Finance, Real Estate And The Powers Of Neoliberalism
Asset-Price Inflation and Rent Seeking
Michael Hudson | President of The Institute for the Study of Long-Term Economic Trends (ISLET), a Wall Street Financial Analyst, Distinguished Research Professor of Economics at the University of Missouri, Kansas City, and Guest Professor at Peking University

Edward Harrison — Hyman Minsky And Asset Price Inflation Versus Consumer Price Inflation

Hyman Minsky’s financial theory of investment rests on a bifurcation of an economy’s price systems. On the one hand, there’s the price system for goods and services. And inflation here is what central banks look to hold in check. But at the same time, there is a wholly separate price system for assets. And it’s here where stability leads to asset price inflation, a build up in debt, instability, and, eventually, crisis.

Economics professor Randall Wray is a real Minsky scholar. He studied under Minsky at Washington University in St. Louis. And last year, he wrote a book “Why Minsky Matters: An Introduction to the Work of a Maverick Economist“. Here’s what Wray says about Minsky’s two price systems:

Credit Writedowns
Hyman Minsky And Asset Price Inflation Versus Consumer Price Inflation
Edward Harrison