Faster economic growth does not make the economy stable and strong.
Whereas, only focussing on the quantity of growth does not imply the quality derived is equally beneficial for the masses
Nordic nations have much smaller economies with slower growth rates compared to India, etc
Whereas, only focussing on the quantity of growth does not imply the quality derived is equally beneficial for the masses
Nordic nations have much smaller economies with slower growth rates compared to India, etc
A prime example of this argument is the Chilean Economy before the military coup d'état of September, 11th of 1973.
The aggregate demand expanded rapidly, and the economy boomed for a year or so under Allende.
Later runaway rate of inflation took all the benefits away.
#shocks
The aggregate demand expanded rapidly, and the economy boomed for a year or so under Allende.
Later runaway rate of inflation took all the benefits away.
#shocks
This QE Quantitative Easing we have seen since the GFC has now devastated the Western World.
Inflation rates are at an all-time high since the 1970s.
Reflationery Economics has not helped the West to understand that expectations affect monetary policy more than the central bank
Inflation rates are at an all-time high since the 1970s.
Reflationery Economics has not helped the West to understand that expectations affect monetary policy more than the central bank
The faster the pace of any economic variables, especially money supply or government spending, the more carefully economic agents need to fasten their seat belts and hope the airbag will come out if there is a road crash!
That is akin to driving a sports car.
That is akin to driving a sports car.
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