At #LiNoEcon, three Nobel Laureates explored economists’ understanding of how policies on taxes, public spending and interest rates work together in a time of crisisAt #LiNoEcon, three Nobel Laureates explored economists’ understanding of how policies on taxes, public spending and interest rates work together in a time of crisis
Nobel Laureate Christopher Sims argues that since fiscal policy guarantees the value of fiat money, central banks can never be truly independent of governmentNobel Laureate Christopher Sims argues that since fiscal policy guarantees the value of fiat money, central banks can never be truly independent of government
In my previous post about Christopher Sims’s lecture at Lindau, I concentrated on his remarks about the increasing “moneyness” of financial assets. When both conventional “money” and other financial assets are highly liquid and fungible, monetary and fiscal policy become indistinguishable. What does that imply for price stability and the role of central banks? The traditional quantity […]
