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Monthly Archives: September 2019

The problem with monetarist’s view of inflation

Long-run stability of the velocity, or the filpside of it, money demand, however, is not a empirically founded assumption.

The repo spike is not liquidity crisis; it is a crisis for Fed’s floor system

The floor system needs a cap on top of it. The sooner the Fed realizes it, the better they will be prepared for the coming financial turmoil.