Category Archives: Inflation

Supply Side Inflation

There are three types of inflation.  The most common is demand-pull.  The other two are cost-push. Professor John T. Harvey likes to label these as cost-push/Act of God & cost-push/market power.  Another name for these is supply side [shock] inflation. … Continue reading

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Job Guarantee and Inflation Control

In this vein we are suggesting that politicians should set a minimum acceptable living standard and ensure that a base level job is always available to allow all citizens to achieve that living standard independent of welfare payments. This is … Continue reading

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Controlling Inflation

There are two broad ways to control inflation and buffer stocks are involved in each: Unemployment buffer stocks: Under a mainstream NAIRU regime (the current orthodoxy), inflation is controlled using tight monetary and fiscal policy, which leads to a buffer … Continue reading

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NAIRU is a myth

Originally posted April 16th, 2009 The dreaded NAIRU is still about! I was thinking – rather optimistically – that it would just disappear from whence it came! But sorry to disappoint. Some economists just won’t learn. Yesterday the ABS released … Continue reading

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What is Inflation?

Welcome back everyone.  Happy New Year!  I hope your Christmas and New Year was not too perilous.  Back to Work… In this blog I am only considering inflationary pressures that arise from nominal demand (spending) growth outstripping the real capacity … Continue reading

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